The corporate tax rate for private universities in Bangladesh has been cut from 10 percent to 5 percent after parliament approved an amendment to the Finance Bill.
The proposal was passed by a voice vote during the budget session on Monday, reports bdnews24.com.
The reduced tax rate also applies to private medical colleges, dental colleges, engineering colleges and information technology-based educational institutions.
The tax rate for these institutions had previously been 15 percent.
The interim government reduced it to 10 percent for the 2025-26 fiscal year, and the current government initially proposed retaining that rate in its first budget.
Following demands from stakeholders, the government has now lowered it to 5 percent.
The parliamentary sitting began in the morning with Speaker Hafiz Uddin Ahmad in the chair.
Leader of the Opposition Shafiqur Rahman took part in the budget discussion before Prime Minister Tarique Rahman addressed the House.
During his speech, the Tarique proposed reducing the tax rate from 10 percent to 5 percent.
He said universities receiving the tax benefit should increase investment in research, establish language education programmes and language clubs, and expand tuition-free opportunities for poor and meritorious students.
Bangladesh currently has 116 approved private universities, of which 106 are in operation.