52U. Deduction from payment on account of local letter of credit.

52U. Deduction from payment on account of local letter of credit.-

1. The bank or financial institution, through which any local letter of credit or any financing agreement, called by whatever name, is made between two or more persons within the country for purchasing or procuring of any goods and proceeds of such goods are paid, shall deduct tax at the rate of three per cent, on the total proceeds exceeding five lakh taka, at the time of paying or crediting such proceeds to the account of the person or persons providing such goods:

        3..1[The tax shall be deducted at the rate of two percent (2%) local letter of credit (L/C) and any other financing agreement in respect of purchase or procurement of rice, wheat, potato, onion, garlic, peas, chickpeas, lentils, ginger, turmeric, dried chillies, pulses, maize, coarse flour, flour, salt, edible oil, sugar, black pepper, cinnamon, cardamom, clove, date, cassia leaf ²[, computer or computer accessories, jute, cotton, yarn] ^{Added F. A. 2015} and all kinds of fruits.

       .3[4. Nothing in this section shall limit the applicability of section 52.] 

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¹ Subs. for "the proviso of this section shall not be applicable" by F. A. 2020

² Ins by F. A. 2015

3 Ommited Sub-section (4) by F. A. 2020

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Mijan Niloy