An investigation by the Central Intelligence Cell (CIC) in the revenue sector has uncovered that Summit Group has evaded payment of Tk 11.12 billion in taxes in the single-largest case of tax-dodging in Bangladesh, officials say.

The tax avoidance has occurred by way of not deducting withholding tax on dividend payments from two of its outfits, one opened in the trade entrepot of Singapore.

It is the largest private -sector participant in the power sector during the previous government’s tenure, when quick-rental power deals offered a sort of indemnity to certain private power producers.

A CIC official described it as “the country’s largest TDS (Tax Deducted at Source) scandal” discovered so far.

The tax demand has been unearthed by the CIC following cancellation of discriminatory tax privileges for the company not available for similar type of other power companies, officials said.

As per the CIC findings, Summit Corporation Limited failed to deduct 20-percent withholding tax while paying dividends to its shareholder Summit Power Limited.

Similarly, Summit Corporation Limited did not deduct 15-percent withholding tax while transferring dividends to Summit Power International, a Singapore-listed company.বিস্তারিত