The National Board of Revenue (NBR) has offered an opportunity to disclose undeclared gold, diamond and silver by paying a certain amount of tax by June 30, 2019.
Under the facility, taxmen will not raise any question on the source of money or the tenure of possession of the disclosed precious metals and diamond.
Authorised dealers, gold businessmen or gold jewellery manufacturers are entitled to avail the opportunity and declare their undisclosed stock of gold, diamond and silver to taxmen.
However, businesses who will avail the opportunity will be required to comply with some conditions.
Officials said the board initiated the move to bring the undisclosed precious metals into formal channel as per the Gold Policy, 2018.
The NBR's Income Tax Wing issued a Statutory Regulatory Order (SRO) in this regard on Wednesday.
In the SRO, the NBR has set Tk 1,000 as tax for declaring per 'bhori' of gold and gold jewellery;Tk 6,000 for per carat polished diamond; and Tk 50 for per 'bhori' silver.
Officials said the dealers or gold businessmen will have to obtain registration from the Ministry of Commerce.
Talking to FE, Kanon Kumar Roy, the NBR member (tax policy), said businesses having undisclosed gold, silver and diamond have to declare their quantity of gold, diamond and silver to taxmen within the given timeframe.
"A gold, diamond or silver business could sell a maximum one to half 'bhori' of gold in a day, except for some particular clients. I wonder how they survive." The NBR thought that this area needs to be addressed properly, he also said.
Another senior income tax official said the gold businesses will be able to formalise their stock of gold, silver and diamond by paying a small amount of money in taxes under the new facility.
"They were supposed to pay tax at 10 per cent to 30 per cent alongwith penal tax to disclose the undeclared gold and diamond," he added.
As per the condition tagged to the opportunity, the businesses must have Taxpayer's Identification Number (TIN) and submit income tax returns within deadline as per Section 75 of the Income Tax Ordinance 1984.
They have to submit the 'chalan' of tax payment and detailed information on declaration of gold, diamond and silver with the tax returns.
The businesses will have to keep record of inventory and sales in their business account books separately. Details of selling gold, diamond and silver ('bhori'/carat) from the declared stock as well as their prices have to be furnished in the income tax returns.
Anwar Hossain, president of the Bangladesh Jewellery Manufacturers and Exporters Association, said imposition of the tax will affect the mid-level businesses, who have stocks ranging from 100 'bhori' to 1,000 'bhori'.
"The consumers might have to pay additional amount as making charge of gold ornaments."
He said large businesses will be benefited by the NBR-offered opportunity to legalise their large volume of stocks.
He also claimed that there is no illegal gold in the country, as gold is either inherited or brought under baggage rule by overseas passengers.
