Duty on digital business contradicts govt policy

Staff Correspondent

26 June, 2019 12:00 AM printer

Businesses on Tuesday claimed the proposed duty on digital business contradicts with government policy to drive the country towards a cashless economy.

Traders urged the government to reconsider the duty on electronic commerce to foster the growth of e-commerce business as well as creating more employments.

E-commerce Association of Bangladesh (E-Cab) made the recommendations while addressing a post budget press conference in the capital on Tuesday expressing concern over the newly imposed duty on e-commerce sector.

E-Cab President Shomi Kaiser presented the keynote paper while Secretary General Abdul Wahed Tomal presided over the programme at Best Western La Vinci Dhaka. Finance Secretary of the association Muhammad Abdul Haque was also present on the occasion.

Finance Minister Mustafa Kamal proposed a 7.5 percent tax on service and product shipments through virtual business for next fiscal year which caused some inconveniences to the business community.

Businesses also emphasised on introducing special code for the sector according to the definition mentioned in National Digital Commerce Policy.

Organisers claimed the proposed duty will create obstacles in the flow of employment generation and transparency in the sector.

Addressing the meeting, E-Cab President Shomi Kaisar said there is no alternative of transformation of business in the line with technology to achieve Digital Bangladesh vision.

“A wrong concept has been created among policy makers on e-commerce to cover the digital marketing of Facebook and Google under the proposed tax structure. There is far difference between digital marketing and electronic trading. We hope, the policy makers will consider the issue in revised budget,” Shomi explained.