Microcredit lender Grameen Bank will enjoy income tax exemption until 2029 upon conditions, including submission of annual income tax returns.
A statutory regulatory order by the National Broad of Revenue was issued on Friday, referring to sub-article 5 and 6 of article 72 of the income tax law 2023, also stated that incomes from the tax exemption will be channeled through banking sources.
Earlier, Grameen Bank, which won the Nobel Peace Prize jointly with its founder Muhammad Yunus in 2006, submitted an application on August 27 seeking income tax exemption.
A NBR board meeting held on September 25 approved the appeal.
Muhammad Yunus is now serving as the chief adviser of the interim government that assumed power after the overthrow of then prime minister Sheikh Hasina-led Awami League regime on August 5 amid a student-led mass uprising.
Founded in 1983, Grameen Bank enjoyed income tax exemption till 2020 for its focus on poverty alleviation. The benefit is typically renewed every five years and was last extended until December 2020.
The previous Awami government stopped renewal of the privilege.
In a separate announcement, the NBR also waived income tax on donations made to the As-Sunnah Foundation, a registered charity organisation.
This tax exemption will remain in effect until June 2029.
The As-Sunnah Foundation, established in 2017 by Shaikh Ahmadullah, is a non-political and non-profit organisation.