Yunus to pay Tk 125m as tax as his appeal dismissed

The Appellate Division has dismissed all three leave to appeal petitions filed by Nobel laureate Muhammad Yunus, challenging a High Court verdict that justified the validity of the income tax authority's imposition of tax on money donated to three trusts.

The Appellate Division led by the chief justice Hasan Foez Siddique rendered the decision on Sunday.

The state confirmed that the High Court’s verdict stands upheld, as the leave to appeal petitions have been dismissed.

To file the appeal petitions, Yunus has already submitted Tk 30 million, but he still needs to provide the remaining amount, approximately Tk 125 million.

Three trusts are: Dr Mohammad Yunus Trust, Yunus Family Trust and Yunus Centre Trust.

Yunus donated in these three trusts. The tax authorities imposed tax on money donated to these three trusts. The High Court delivered a verdict on 31 May dismissing three petitions filed by Yunus against the decision of tax authorities.

As per the verdict, the imposition of tax on money donated to three trusts for three tax year is valid.

Challenging the High Court verdict, Yunus filed three leave to appeal petitions with the concerned section of the Appellate Division on 20 June.

The petitions sought stay of the High Court verdict and suspension of activities of demand letter issued by the tax authorities.

Via the chamber court of the Appellate Division, the three leave to appeal petitions were placed for hearing to the regular bench of Appellate Division.

Lawyer Jinnat Ali stood for hearing in favour of leave to appeal petitioner. Lawyer Sumaya Ifrin Binte Ahmed was with him. Attorney general AM Amin Uddin represented the state.

According to the lawyers, Yunus donated Tk 767 million. Later the deputy commissioner of taxes (DCT) imposed Tk 154 million over the donations for the three tax years -- 2011-12, 2012-13, and 2013-14.

Speaking to Prothom Alo, Yunus's lawyer Sarder Jinnat Ali said, "The Appellate Division has dismissed the three leave to appeal petitions. As a result, the verdict of the High Courts is upheld."

When asked whether petitions will be filed seeking review of the Appellate Division's decision, Sarder Jinnat Ali said, "Next steps would be taken after consulting with the client."