An amnesty provided to black money invested in economic zones and hi-tech parks is unlikely to be continued from the next fiscal year of 2024-25 as per plans of the National Board of Revenue (NBR). 

Currently the tax authority does not raise questions about the source of investment if any person invests undisclosed wealth in the construction of factories inside economic zones and high-tech parks and pay a 10 percent tax on the invested amount.

The amnesty was available since the first day of July 2019 and is to last till June 30, 2024, said the NBR in an income tax law 2023.

"As the benefit is going to expire next month, we are not considering extending it further," said a senior official of the NBR.

Bangladesh began establishing economic zones under public and private arrangements over a decade ago to encourage investment, create jobs and enable organised industrialisation.

The authorities of the industrial enclaves offered land, utility services and other investment-related services to encourage investment.

Currently, the public and private sectors are operating 11 economic zones.

Around $4.78 billion has been invested in the economic zones as of June 2023, according to Bangladesh Economic Zones Authority.

Besides, 11 hi-tech parks are in operation where Bangladesh Hi-Tech Park Authority (BHTPA) has allotted land and space to 230 firms.

It has given co-working space rent free to 151 startups. The investment in the parks contributed to the creation of 28,000 jobs, said the BHPTA.

Apart from the amnesty's discontinuation, the NBR may bring changes in a provision in the law that enables undeclared income to be legalised when invested in buildings and flats, according to the NBR.

As per the income tax law, any such investment "will be considered as ones which have already gone through the process of their source being explained" with field officials of the tax administration if a specified amount of tax is paid per square metre area of flats or buildings.

The rate of taxes varies depending on the location of the flats or buildings.