Income tax on fish, poultry farming goes up in Budget FY22

Income tax on fish, poultry farming goes up in Budget FY22

Fish farming sector has long been enjoying the reduced tax rate facility, says the finance minister

The income tax for fish and poultry hatchery farmers will be raised and a new tax slab will be introduced in the proposed national budget of the 2021-22 fiscal year.

Finance Minister AHM Mustafa Kamal has proposed imposing 10% tax on income of over Tk20 lakh and 15% for over Tk30 lakh, up from the present 10%.

“We, the Bangalis, live on fish and rice. Hence, with a view to promoting fish farming, this sector has long been enjoying the reduced tax rate facility,” the minister said in his budget speech on Thursday.

 

“Keeping this privilege in place, I propose to rationalize the existing tax rate and introduce only one additional slab of tax on income from fisheries exceeding a certain limit,” he added.

Currently, fish and poultry hatchery farmers do not have to pay any tax for an annual income of Tk10 lakh.

Only 5% tax is payable on the next Tk10 lakh in income. On annual incomes of over Tk20 lakh, 10% is payable as tax, whereas the highest rate of tax for an individual is 25%.