15pc income tax on private varsities illegal: HC

15pc income tax on private varsities illegal: HC

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Dhaka: The High Court on Monday declared illegal the government’s two gazettes imposing 15 percent tax on private universities, private medical, dental and engineering colleges.
An HC bench comprising Justice Sheikh Hassan Arif and Justice Bhishmadev Chakrabortty passed the order after hearing 46 writ petitions filed by different private universities. UNB News Agency Reported.
The court also asked the National Board of Revenue (NBR) to return the additional money, collected as income tax under the two gazettes, to the universities.
Barrister Mohammad Sakhawat Hossain and Shah Mohammad Ashiqul Morshed stood for 25 petitioners while deputy attorney general Sardar Mohammad Rashed Jahangir represented the state.
The NBR issued a gazette on June 28, 2007 imposing 15 percent tax on private universities.
It issued another gazette on July 1, 2010 imposing 15 percent tax on private medical, dental and engineering colleges along with private universities.
Later, some 46 writs were filed with the High Court from 2010 to 2016.
Talking to reporters, Barrister Sakhawat Hossain said the court observed that the two gazettes are contradictory to articles 15, 17, 27, 31 and 32 of the constitution. Even, they are contrary to the section 44(4) of the Income Tax Ordinance-1984.
Responding to a question, the deputy attorney general said the government will file appeal with the Supreme Court against the HC order.

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