The National Board of Revenue (NBR) recently froze the bank accounts of ten private universities for their failure to pay the 15% tax.
In response, the Association of Private Universities of Bangladesh criticized the move, stating that the final verdict on an appeal regarding the 15% tax imposed by the NBR is still pending.
The universities affected by the frozen bank accounts include North South University, American International University of Bangladesh, World University, University of Asia Pacific, East West University, Southeast University, Daffodil University, Independent University-Bangladesh, University of Liberal Arts Bangladesh, and Prime University.
The association expressed discontent, stating that the action was taken abruptly without allowing time for necessary measures to be taken to pay the tax.
According to the Association of Private Universities, university employees rely solely on student fees as they do not receive any government incentives. The sudden seizure of university bank accounts has left teachers and staff uncertain before Eid-ul-Fitr.
A letter sent to the Registrar of Universities on March 4 stated that a dues payment notice had been issued according to section 214 of the Income Tax Act-2023, with a request to pay the tax by March 15. Failure to comply may result in further legal actions, including penalties, as per Section 275 of the Income Tax Act-2023.
