The Centre for Policy Dialogue (CPD) has strongly criticized the Bangladesh government’s proposal to legalize undisclosed income — or ‘black money’ — in the housing sector through a 10% tax under the proposed 2025–26 national budget.
Terming the move ‘unethical’ and ‘contradictory’ to the spirit of anti-discrimination reforms, CPD called for the immediate withdrawal of this provision.
At a budget review event held in Dhaka on Tuesday, CPD Executive Director Dr. Fahmida Khatun stated that allowing black money to be whitened in this manner undermines both tax ethics and fair governance.
“Such a facility directly contradicts the theme of the proposed budget and the anti-discrimination rhetoric being promoted for the upcoming July–August period,” she said.
Dr. Khatun warned that this approach would morally discourage honest taxpayers and reward those who have evaded taxes, thus fostering an environment of inequality. “It sets a dangerous precedent and weakens the credibility of fiscal policy,” she noted.
While she acknowledged positive elements in the budget — such as improved allocations in infrastructure and power, and increased tax-free income thresholds for freedom fighters and general taxpayers — the black money legalization provision stood out as a major ethical concern.
CPD urged the government to reconsider the move and focus instead on reforming revenue collection through institutional strengthening and transparency, rather than offering controversial amnesty schemes.
