Dhaka, Oct. 6 -- State-owned Palli Sanchay Bank (PSB) has sought a 10-year exemption from income tax and Value Added Tax (VAT) to facilitate investments aimed at socio-economic development of poor rural people.

The bank's Managing Director (MD) Salma Banu recently requested the government to take necessary steps to grant the benefit for the period from fiscal year 2017-18 to 2026-27.

The then Prime Minister's Office gave instruction to implement an 11-point suggestion, including offering 10-year tax and VAT exemption on all income of the bank following a bilateral meeting between the Financial Institutions Division (FID) and Rural Development and Co-operatives Division.

The MD argued that the exemption would enable the rural-centric ba...