Tax rebate for employers of physically challenged or third gender people to amend

Finance Minister AHM Mustafa Kamal proposed to amend both the existing provisions to make it such that if any employer employs 10% or more than 25 persons from the physically challenged or the third gender community, the employer will be entitled to get 75% of the salary paid to these people or 5% of the tax payable, whichever is less, as tax rebate.

While presenting the budget proposal for FY2022-23, he expressed his view of providing employment and giving better living standards and ensuring social and economic inclusion of the physically challenged and people of third gender.

The minister said, "I propose in this august House to further expand the existing tax incentives provided to them. Under the present provisions, an employer is allowed 5% rebate on payable tax if at least 10% of the total workforce is recruited from the physically challenged population.

"Also, tax rebate to the tune of 75% of the total salary paid to the workers from the people of third gender or 5% of the tax payable, whichever is less, is allowed to an employer employing 10% or more than 100 persons of the total workforce from the people of third gender," he added.

He also noted that the tax-exempt income ceiling is even higher for females, senior citizens, and physically challenged people, members of the third gender, and freedom fighters, who were wounded in the war.

"The physically challenged people and people of third gender constitute a large part of the marginal and underprivileged section of the society. Compared to others, these people are lagging behind in socio-economic standards, and are also left outside the mainstream of society. Social inclusion of this population can be ensured by engaging them in productive employment," the minister remarked.

Finance Minister AHM Mustafa Kamal has placed the Tk6,78,064 crore national budget for FY23 at Jatiya Sangsad according top priority to safeguarding marginal people from inflation fuelled by the Russia-Ukraine conflict.

This is the fourth budget of the third consecutive term of the government led by Prime Minister Sheikh Hasina and also the overall 51st budget of the country.

The proposed budget is Tk74,383 crore higher than the original budget size of the FY2021-22 fiscal year, which was Tk6,03,681 crore.