A tax dispute has arisen between the National Board of Revenue and Nobel Laureate Prof Muhammad Yunus over gifting of earned money to family members.

The NBR argued that the Nobel laureate had given out about Tk 77 crore as gifts to his family members and others over three assessment years, against which Tk 15.39 crore as tax was payable to the state.

But a legal counsel for Yunus said the amount should get tax exemption as per rules as the money was given to family members for maintenance.

Earlier this month, the microcredit pioneer went to the High Court challenging the NBR decision to impose tax on the amount he had given out from his already-taxed money. The case is still pending.

Meanwhile, a field office of the tax authority, Tax Zone-6, yesterday issued a letter to Yunus asking him or his representatives to attend a meeting with Tax Commissioner Md Meftha Uddin Khan at the commissioner's office on March 29. 

Kazi Ershadul Alam, legal adviser to Prof Yunus, acknowledged the receipt of the letter. He said an authorised representative would attend the meeting.

“Since the matter is sub-judice, we would like to wait until the court decides the matter,” said Alam.

The dispute surfaced last year when the NBR's field office claimed the gift tax against the money he had handed over as gifts through three trusts during the income assessment years of 2011-2012, 2012-2013 and 2013-2014.

The field office imposed the tax in January last year, saying the money given away to these trusts do not fall within the tax exemption list of Gift Tax Act, 1990.

Following the decision, Yunus appealed to the tax office only to be turned down. He then went to the Taxes Appellate Tribunal, which in November last year upheld the decision of the tax office.

Later, the Nobel laureate filed an application before the High Court.

Since the beneficiaries of these trusts are family members (wife and daughters) of Yunus, the gifts should be exempted under the Gift Tax Act, Alam said.

Asked, the tax commissioner said the scheduled meeting is part of the routine work of his office to realise dues from taxpayers.

The NBR now claims Yunus owes Tk 11.77 crore as gift tax, as he has already deposited Tk 3.6 crore and Tk 2.07 crore before filing the appeal at the Tax Appellate Tribunal and the High Court respectively in line with the rules.