B Mirror Desk : The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has demanded that the corporate tax rate for the export-oriented ready-made garment industry be maintained at 12 percent.

These proposals were put forward during the pre-budget discussion of the National Board of Revenue (NBR) held at the Revenue Board Building in Agargaon in the capital on Tuesday (April 15), ahead of the budget for the 2025-26 fiscal year.

The organization has also sought exemption from Value Added Tax (VAT) on the production of recycled fiber (reusable yarn) locally.

BGMEA says that the corporate tax rate for the export-oriented ready-made garment industry is 12 percent and 10 percent for LEED certified factories, which will be in force until June 30, 2028. Changing the corporate tax rate in the ready-made garment industry will lead to a lack of confidence among local and foreign entrepreneurs.

In addition to BGMEA, BKMEA, top officials of BTMA and SME Foundation were present. NBR Chairman Md. Abdur Rahman Khan and top officials of NBR were present at the event.

On the other hand, the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) has proposed that the NBR formulate an investment-friendly tax policy in the budget proposal.

Other proposals include VAT exemption on goods and services required for export-oriented ready-made garment factories and tax concession on imports for the replacement of various fire safety equipment, etc.