Dhaka, June 20 -- The interim government has decided to move forward with a significant increase in the turnover tax for individual taxpayers operating cottage, micro, small, and medium enterprises (CMSMEs) from the upcoming fiscal year despite strong opposition from business leaders and experts.

From the current 0.25 per cent, the tax rate has been raised to 1.0 per cent.

The decision aligns with recommendations from the International Monetary Fund (IMF) to boost the country's tax-to-gross domestic product (GDP) ratio, according to National Board of Revenue (NBR) sources.

This increase means the taxpayers' gross revenue will be taxed irrespective of business profitability.

Speaking on condition of anonymity, NBR officials said there ...