TIB calls reckless and suicidal money laundering plan
Transparency International Bangladesh (TIB) yesterday urged the government not to provide any opportunity to legalize black money in the upcoming budget, calling the facility discriminatory, unconstitutional and conducive to corruption.
The TIB also expressed its surprise and indignation at the statement by the Minister of Finance on the extension of the opportunity given by the government to launder black money for an indefinite period.
“In the long run, the benefits of black money laundering will discourage honest taxpayers and encourage the institutionalization of the culture of default in the tax system,” the anti-corruption body said in a statement.
“This opportunity will create a liberal situation in the country conducive to corruption as there will be no possibility to question the source of income. This will undermine any attempt to establish the rule of law and good governance by weakening the anti-corruption stance. of the government. “
In view of these fears and in accordance with the “zero tolerance policy” against corruption, the TIB urged the government not to provide the black money laundering opportunity in the 2021-2022 budget.
Last week the finance minister said that as long as there is undisclosed money in the economy, there will be an opportunity to launder it.
In such a reality, the plan to maintain black money laundering opportunities indefinitely will highlight the issue of justice and fairness in the tax system, TIB executive director Iftekharuzzaman said in the statement. Press release.
“And that will be seen as a new incentive for the corrupt at the time of Covid-19. Thus, the government is expected to move away from these reckless and suicidal plans.”
If there was an opportunity to legalize black money with just 10 percent tax, why should honest taxpayers pay 25 to 30 percent income tax, he asked.
“Even if the government temporarily derives revenue from such an opportunity, it will gradually encourage a large number of taxpayers to default, which will increase the level of long-term revenue loss and institutionalize a new culture of tax evasion,” said Iftekharuzzaman.
The time has come to end the long-standing unconstitutional practice of providing black money laundering opportunities, the TIB’s executive director said.