Procedures To Get Tax Exemption Certificate in Bangladesh
A tax exemption is the reduction or elimination of a person’s obligation to pay a tax that would otherwise be imposed. The tax-exempt status may provide total tax exemption, a reduction in tax rates, or impose tax on only a portion of the item. The application for a tax exemption certificate must be submitted at the start of the income year.
Sample Tax Calculation:
Procedures To Get Tax Exemption Certificate 5
There are two primary methods to reduce your tax liability:
· Forwarding letter regarding documents submission
· TIN Certificate.
· Trade License;
· Business Declaration Letter;
· Statement U/S 108 Submission Copy;
· Bank Statements;
· Latest Income Tax Certificate of the Company;
· Office Rent Agreement;
· Challan of TDS on Office Rent;
· Challans of TDS on Salary;
· Statement of Forecasted Sales;
· Sales Contract;
· Projected AIT Amount Certificate;
· Business Agreement with Foreign Customer;
· Previous Tax Exemption Certificate Copy;
· List of Employees;
· Latest Annual Audit Report Copy; and
· Last Year Actual AIT Amount Certificate
Procedures To Get Tax Exemption Certificate 7
Application: A format prescribed by NBR.
This letter should include the names of the documents that must be submitted along with the documents attached.
Reference:
ITO 1984, Sixth Schedule
Any income derived from the following business of a resident or non-resident Bangladeshi for the period from July 1, 2008 to June 30, 2024, on the condition that the person/entity file an income tax return in accordance with the provisions of Section 75 of the ordinance.
Business Categories that are eligible to get Tax Exemption in Bangladesh:
1. Software Development 2. Software or application customization 3. Nationwide Telecommunication Transmission Network (NTTN) 4. Digital Content Development & management 5.Digital animation development 6. Website development 7. Website services 8. Web listing 9. IT Process outsourcing 10. Website hosting 11. Digital graphics design 12. Digital data entry and processing 13. Digital data analytics 14. Geographic Information Services 15. IT Support test lab services 16. Software test lab services 17. Call center services 18. Overseas medical transcription 19. Search engine optimization services 20 Document conversion, imaging and digital archiving 21 Robotics process outsourcing 22. Cyber Security services 23. Cloud service 24. System Integration 25. e-learning platform 26. e-book publications 27. Mobile application development 28. IT Freelancing
It should be emphasized that in order to be eligible for this exemption, the tax return must be filed on a regular basis. Furthermore, in order to be eligible for these benefits, the company may need to get BASIS membership and a tax exemption certificate from the appropriate tax office on an annual basis.
General tax breaks in Bangladesh
What general tax credits are available in your country/jurisdiction?
Assignees (both resident and non-resident Bangladeshis) can obtain investment tax credits by investing in government-designated areas.
Even if they become tax residents in Bangladesh, expatriates are not eligible for tax credits or investment allowances. In Bangladesh, double taxation treaties do not apply. Income earned or derived from the Bangladesh delegation is taxed. The following is how the investment tax credit is calculated:
In Bangladesh, mutation is a significant role in land ownership. When you acquire ownership of land or property, you must execute the mutation. It is a crucial piece of evidence supporting the land’s title.
If your name is not on the most recent Khatian or if you update the record through mutation, you will be unable to sell the land. In other words, if the seller’s name is not changed, you will be unable to purchase land.
If you have a property, you should be aware of mutation khatian.
In general, mutation refers to writing the new owner’s name in the Khatian who has acquired ownership through transfer or inheritance.
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In other words, it refers to the legal procedure of documenting the name of a new landowner by changing and updating the Khatian in order to pay land development tax.
Separation of holdings
If a Khatian contains the names of numerous owners, the process of separating the portions of an owner by generating a new Khatian is known as. Joma Kharij is addressed in Section 117 of the State Acquisition and Tenancy Act of 1950 (the “SAT Act”).
The Legal Basis for Mutation
Mutation is addressed in Section 143 of the State Acquisition and Tenancy Act 1950, as well as Rules 8, 9, and 23 of the Tenancy Rules 1954-1955. Aside from those, the government has issued other circulars in this regard.
When it is necessary to mutate
If a person acquires land through any legal means, the applicable Khatian must be updated. A mutation is then necessary.
One of the primary goals of the mutation is to notify the government about the most recent change in ownership and to allow the government to collect land tax from the new owner.
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Mutation is usually required for the following reasons:
If the landowner dies and his or her heirs wish to update the documents.
If land title is transferred via recorded deed.
If land ownership is dissolved due to alluvion or under SAT Act sections 90, 91, 92, and 93.
If a person obtains ownership of land through a civil court order.
For khas land settlement.
The mutation process
To modify a piece of land, the owner must submit an application to the AC (Land) in the prescribed form. There are several government fees to consider.
Tahmidur Rahman Remura Wahid is a prominent property law firm in Bangladesh that specializes in assisting clients with various legal aspects of property ownership and transfer. With a team of experienced lawyers and legal experts, the firm offers comprehensive services to clients seeking mutation khatian.
Our lawyers expertise in property laws, local regulations, and bureaucratic procedures makes them a reliable partner for individuals and businesses navigating the mutation process.
Step-by-Step Process of Obtaining Mutation Khatian
a. Documentation:
The process begins with the collection and verification of necessary documents, including land deeds, title documents, tax receipts, and identity proofs. The legal team at Tahmidur Rahman Remura Wahid assists clients in ensuring all required documents are in order.
Government officials conduct a site inspection to verify the details provided in the application. This step is crucial to ensure the accuracy of the property’s physical attributes and ownership information.
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d. Public Notice:
A public notice is issued to allow for any objections or claims regarding the mutation. This provides an opportunity for interested parties to raise concerns, if any.
e. Objection Resolution:
If objections arise, the legal team at Tahmidur Rahman Remura Wahid assists in resolving disputes and ensuring a fair resolution. This may involve legal negotiations and documentation.
f. Mutation Entry:
Upon resolution of objections, if any, the mutation entry is made in the land records, reflecting the change in ownership or property details. The updated khatian is issued to the property owner.
Benefits of Engaging Tahmidur Rahman Remura Wahid for obtaining mutation khatian in Bangladesh
Partnering with Tahmidur Rahman Remura Wahid offers several benefits throughout the mutation khatian process:
a. Legal Expertise: The firm’s legal experts have an in-depth understanding of property laws and regulations in Bangladesh. This expertise ensures a seamless and legally compliant mutation process.
b. Document Preparation: The firm assists clients in compiling and preparing all necessary documents, reducing the chances of errors or omissions that could lead to delays or rejections.
c. Objection Handling: In case of objections or disputes, the legal team employs effective negotiation and legal strategies to ensure a smooth resolution in favor of the client.
d. Time Efficiency: The experienced legal professionals expedite the mutation process, minimizing unnecessary delays and ensuring timely completion.
e. Peace of Mind: Engaging Tahmidur Rahman Remura Wahid offers clients peace of mind, knowing that their property matters are in the hands of capable legal experts.
The candidate must clearly state in the application form
How To Obtain Mutation Khatian In Bangladesh 17
the applicant’s and transferor’s names and addresses; a detailed description of the land and its surrounding boundaries; the size, type, and identification of the land; information related to all prior Khatians; and the date of such registration. Furthermore, the applicant should include a copy of
Title deed, through deed, copy of Khatian, proof of payment of land development tax, copy of the decree or judgment obtained from the competent court (if applicable), passport size photograph of the applicant, and other supporting documentation should be included with the application. In the case of inheritance, the procedure is slightly different. It is necessary to have a succession certificate.
A mutation proceeding is not a judicial proceeding that determines title to immovable property. It can only be used as proof at best.
In any mutation case, there is a right to appeal the ruling.
Appeal
If a person is dissatisfied with the outcome of a mutation case, he or she may submit an appeal with the collector, and the appeal may be heard by the Commissioner of the Division.
There are also review and correction options.
Change with the appropriate government agency for leasehold property
If your property is rented from a government agency (for example, RAJUK or the National Housing Authority), you may need to update the record kept by that government organization.
If you acquired the lease straight from the government agency, no modification is required with the agency. If you gained the land by a method other than the lease, you must change your name in the agency’s records.
Land mutation and ownership
I have full mutation, thus I must be the owner of the land, right? This was a frequently asked question.
The answers are not so straightforward.
Let’s start with Khatian because we’re modifying it through mutation.
Khatian is not a title document in and of itself. It is proof of present possession. A Khatian does not create or abolish titles. It is simply a record of physical possession at the time of preparation.
Similarly, mutation does not give title. Simple mutation and rent payment do not confer any title on anyone[9].
Mutation, on the other hand, might be valuable evidence if backed by additional evidence. Rent paid after mutation will also serve as evidence.
Rent receipts, while not title documents, are crucial pieces of proof of possession and can be used as collateral evidence of possession because possession usually accompanies title.
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Municipal rent receipts are also proof of occupancy following title.
Thus, mutation serves as critical evidence in proving property title. Once you own any land, you should complete your mutation.
A land cannot be sold without mutation.
With effect from July 1, 2005, the government modified the Registration Act of 1908 and the Transfer of Property Act of 1882 in 2004.
As a result of the amendments to both Acts –
If the seller is not the owner of the property through inheritance, the name of the seller or his/her predecessor must be included in the latest Khatian; otherwise, the name of the seller or his/her predecessor must be included in the latest Khatian. As a result, if the seller’s name is not stated or updated in the most recent Khatian, you should not purchase that land. Because you may be unable to register the deed of sale.
FAQ
Answer
What is Mutation Khatian?
Mutation Khatian, also known as Namjari, is a legal document that records changes in ownership of a piece of land in the government’s record. It replaces the existing owner’s name with the new owner’s name.
Why is Mutation Khatian important?
Mutation Khatian is crucial for legal protection of property. Failure to execute mutation can lead to complications in property ownership, land tax payments, property sales, bank loans, and potential fraud or harassment.
How does Mutation Khatian prevent fraud?
Executing Mutation Khatian ensures that the new owner’s name is recorded in the property record, preventing previous owners from making unfair claims to the property.
Is Mutation Khatian required for bank loans?
Yes, Mutation Khatian is a mandatory document for applying for a bank loan or mortgage. Without it, obtaining a loan or building a house is not legally possible.
How do I execute Mutation Khatian?
To execute Mutation Khatian, you need to collect an application form from the Assistant Commissioner (Land) office, provide details about the property, submit required documents (e.g., deed, khatian, receipts), and either apply online or through a lawyer/representative.
What documents are needed for Mutation Khatian?
Required documents include the applicant’s full name and address, registered transfer documents, photocopies of deeds, Bia documents, Parcha or Khatian, payment receipts, distribution deed (if applicable), and photographs.
Can I apply for Mutation Khatian myself?
Yes, you can collect the necessary documents and apply for Mutation Khatian on your own by paying the prescribed fee. Alternatively, you can hire a lawyer or representative to assist you.
How does TRW law firm help?
Tahmidur Rahman Remura Wahid provides legal services for property-related matters, including Mutation Khatian. They can guide you through the process and address any concerns you have.
What happens if I don’t execute Mutation Khatian?
Failure to execute Mutation Khatian can result in difficulties transferring ownership, paying taxes, selling property, or obtaining loans. It may also expose you to potential disputes and fraud.
Why should I seek professional assistance?
Seeking legal expertise, such as from TRW Law firm , can ensure that the Mutation Khatian process is executed accurately and efficiently, minimising errors and complications.
Contact the best land lawyers and property law firm in Bangladesh:
GLOBAL OFFICES: DHAKA: House 410, ROAD 29, Mohakhali DOHS DUBAI: Rolex Building, L-12 Sheikh Zayed Road LONDON: 1156, St Giles Avenue, Dagenham
Land ownership and property rights hold immense significance in any society, providing stability and security to individuals and communities.
In Bangladesh, where land is a precious resource and a crucial element of livelihoods, the accuracy of land records is of paramount importance. A Khatian, a document that records land ownership details, serves as the cornerstone for property transactions and legal disputes.
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However, discrepancies or errors in Khatians can lead to confusion, disputes, and injustices. To address these issues, the legal system in Bangladesh provides the avenue of a Khatian correction suit. In this article, we delve into the intricacies of Khatian correction suits, highlighting their significance, procedures, and challenges.
Understanding Khatian and Its Importance
In the context of land ownership, a Khatian is a vital document that establishes the legal identity of land parcels, their boundaries, and the respective owners. It serves as a comprehensive record of rights, tenures, and liabilities associated with land.
Accurate Khatians are essential for various purposes, including property transactions, inheritance, dispute resolution, and land development. When Khatians contain errors or inaccuracies, it can lead to misunderstandings, legal battles, and hinder socio-economic progress.
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CONTENTS OF KHATIAN
Khatiyan determines a lot of critical factors. It does not determine the right to possession of the land, but it serves as supporting evidence for the Title Deed (another vital document for validating ownership). A Khatiyan, or Record of Rights, comprises the following information to that end:
Khatian number;
Mouza,Upazilla, District and J.L.No;
Name, father’s name and address of the owner or owners;
Plot (dhag) number;
Portion of the owner or owners;
Class and nature of the land;
Amount of land development tax payable;
Total amount of land (dhag wise) etc.
The Need for Khatian Correction Suits
Errors in Khatians can occur due to a variety of reasons, including typographical mistakes, inaccurate surveys, boundary disputes, and illegal land encroachments. These errors can result in wrongful dispossession of land, disputes among co-owners, and difficulties in obtaining loans or grants.
To address such issues and ensure equitable land ownership, the legal system in Bangladesh provides the option of filing a Khatian correction suit.
Initiating a Khatian Correction Suit
A Khatian correction suit is a legal remedy available to individuals or parties seeking to rectify errors or inaccuracies in land records. The process involves several stages:
Gathering Evidence: The plaintiff (the party initiating the suit) needs to collect substantial evidence that demonstrates the errors in the Khatian. This may involve land survey reports, affidavits from witnesses, historical documents, and any other relevant records.
Filing the Suit: The plaintiff files a suit in the appropriate court, usually the relevant Subordinate Judge Court or Assistant Judge Court, within the jurisdiction where the land is located. The suit should include details of the errors, the proposed corrections, and the grounds for correction.
Summons and Notice: Once the suit is filed, the court issues summons to the defendant(s), notifying them about the lawsuit and its nature. The defendants are given the opportunity to respond and present their side of the case.
Evidence and Arguments: Both parties present their evidence and arguments before the court. The plaintiff must establish the existence of errors in the Khatian, while the defendant may counter with evidence supporting the accuracy of the document.
Court’s Decision: After evaluating the evidence and hearing the arguments, the court decides whether the corrections requested by the plaintiff are justified. If the court deems the corrections necessary, it will issue an order directing the relevant authorities to make the necessary amendments to the Khatian.
Challenges and Considerations
Navigating a Khatian correction suit can be a complex and time-consuming process, involving legal intricacies and potential challenges:
Evidence Collection: Gathering compelling evidence to substantiate errors in the Khatian is essential. This often requires thorough research, land surveys, and witness testimonies, which can be resource-intensive.
Legal Expertise: Engaging legal counsel with expertise in property law is advisable to navigate the legal complexities and procedural requirements of the correction suit.
Delays and Backlogs: The judicial system in Bangladesh, like many other countries, may experience delays and backlogs. This can prolong the duration of the suit, causing frustration and additional costs.
Cooperation of Authorities: The cooperation of relevant land authorities and government agencies is crucial for implementing the corrections ordered by the court. Delays or reluctance on their part can hinder the effectiveness of the correction process.
Boundary Disputes: If the errors in the Khatian are related to boundary disputes, resolving these disputes may require negotiations and consensus-building among the parties involved.
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Khatian correction suits play a vital role in ensuring accurate land records, equitable land ownership, and the prevention of unjust dispossession. In a country like Bangladesh, where land-related conflicts can have far-reaching socio-economic implications, a robust and effective mechanism for correcting Khatian errors is essential. By understanding the process, challenges, and potential benefits of filing a Khatian correction suit, individuals and communities can take steps towards securing their land rights, resolving disputes, and contributing to a more just and prosperous society.
State Acquisition and Tenancy Act – SAT ACT
State Acquisition and Tenancy Act; which is specially created for resolving disputes originating from the final publication of the last revised record-of-rights prepared pursuant to Section 144 of the SAT Act.
On the basis of this research and a certain amount of experience with it, we have determined that a large number of cases have been lodged before it without the Tribunal’s knowledge.
The provisions of I 45A(1) make it plain that the Land Survey Tribunal is to be established to correct only the most recently revised record of rights, i.e. only the BS, BRS, or RS record. Therefore, such Tribunals will only have the authority to rectify the final BRS record; they will not be able to view information beyond the final record.
In this regard, Section 145A(4) of the SAT Act may be quoted: “The Land Survey Tribunal shall have no jurisdiction over any action other than those arising from the final publication of the last revised record of rights prepared pursuant to Section 144.”
This subsection (4) of section 145A states that the Tribunal shall only have jurisdiction over cases arising from the final publication of the “last revised record of rights,” i.e. the BS/ BRS/RS Khatian. Therefore, in the Land Survey Tribunal, only the most recent record-of-rights can be the subject of a lawsuit.
Entering in the recent record-of-rights:
Additionally, we are aware that the last (BRS) record cannot be rectified unless the SA record in the plaintiff’s or his predecessors’ names is corrected. Referencing “Without correcting the SA Khatian and RS Khatian as prepared for the case lands in accordance with law previously, the petitioner cannot get its name entered in the recent record-of-rights prepared during the Mohanagar Survey allegedly solely on the basis of CS Khatian” is permissible in this regard.
The petitioner had no standing to dispute the draft Mohanagar Survey Khatian prepared in the names of the respective writ petitioners, at least after the publication of the gazette notifications dated 24 March 1952 and 29 February 1956″, 15 BLC (AD) 115.
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Reading this section 145A from this perspective, it is also presumed that the Land Survey Tribunal lacks the authority to correct the SA record; in other words, if a dispute in a lawsuit involves the incorrectness of the former SA record, the Land Survey Tribunal shall have jurisdiction to hear the lawsuit under section 110.
The term ‘arising out of’ as used in this subsection (4) does not include any action in which the plaint alleges that the last BS record was incorrectly published, thereby casting a cloud over the plaintiff’s title.
These terms should only refer to those that the Tribunal may grant pursuant to subsection (8) of section 145A of the SAT Act, i.e. only the correction of the record of rights.
Consequently, suits which, in their petition, seek a declaration that the most recent BS record is incorrect and also seek correction of the said BS record in a specified manner shall be deemed to arise from the most recent record of rights.
Though a suit in the Land Survey Tribunal is not a writ petition, as we have already observed, this is clearly a summary proceeding.
Land Survey Tribunal and summary proceedings
As a result, we presume that the above-mentioned writ principle that “when a dispute involves a complicated question of title and possession between the parties, then this dispute cannot be determined in Land Survey Tribunal in a summary proceeding; rather, the matter should be determined by a civil court in a properly formed suit for establishment of title of the parties” will provide support for our position.
We find support for the following viewpoint: – A right of easement to be confirmed in a proceeding under section 143A is completely outside the scope of investigation under this section, 31 DLR 421. The Court below should exercise caution in encouraging adjudication of disputed title and possession under the auspices of a procedure under Section 143A. A fully effective adjudication of title and possession must be left open for a properly organized suit, 31 DLR 42 J.
In this connection, Section 54 of the SAT Act makes it explicit that where the parties disagree over title to and possession of the suit lands, the Land Survey Tribunals have no authority to settle the disagreement. Only the Civil Court has the authority to proclaim title to and possession of the suit lands.
This point of view is supported by decisions published in 10 DLR 527, 53 DLN 506, and BSCD Vol. Vp. 269. The suit contemplated in Section 30 of the SAT Act is not a suit for the determination of a question of title and possession.
The bar of jurisdiction created by Section 30(2) of the SAT Act is unrelated to the question of title and possession to any land, which is expressly dealt for in Section 54 of the Act, 10 DLR 527.
FAQs about Khatian Correction Suits in Bangladesh
What is a Khatian?
A Khatian is a document that records land ownership details, boundaries, and related information. It serves as a vital record for property transactions and legal purposes in Bangladesh.
Why might I need to file a Khatian correction suit?
You might need to file a Khatian correction suit if there are errors, inaccuracies, or disputes related to land ownership or boundaries in the Khatian document.
Where do I file a Khatian correction suit?
Khatian correction suits are usually filed in the relevant Subordinate Judge Court or Assistant Judge Court within the jurisdiction where the land is located.
What evidence do I need to gather for the suit?
You need to gather evidence that substantiates the errors or inaccuracies in the Khatian. This may include land survey reports, affidavits, historical documents, and other relevant records.
Do I need a lawyer to file a Khatian correction suit?
While not mandatory, it’s advisable to engage a lawyer with expertise in property law to navigate the legal complexities and ensure a strong case presentation.
What is the process of filing a Khatian correction suit?
The process involves filing the suit, serving summons and notice to the defendant(s), presenting evidence and arguments, and awaiting the court’s decision on the corrections requested.
What if the defendants dispute the corrections?
If the defendants dispute the corrections, they can present their evidence and arguments in court. The court will evaluate both sides before making a decision.
How long does the process typically take?
The duration of a Khatian correction suit can vary. Delays in the judicial system, evidence collection, and other factors may impact the timeline.
What happens if the court approves the corrections?
If the court approves the corrections, it will issue an order directing the relevant authorities to make the necessary amendments to the Khatian document.
Can a Khatian correction suit resolve boundary disputes?
Yes, a Khatian correction suit can be used to address boundary disputes by presenting evidence and seeking a court-mandated resolution.
What challenges might I face during the process?
Challenges include evidence collection, potential delays in the legal system, cooperation from authorities, and negotiating with other parties involved.
Can I appeal the court’s decision if I’m dissatisfied?
Yes, you have the right to appeal a court decision if you are dissatisfied with the outcome of the Khatian correction suit.
How can I ensure accurate land records in the future?
Regularly monitoring and verifying your Khatian, updating information as needed, and maintaining accurate land records can help prevent future disputes.
Contact the best land lawyers and property law firm in Bangladesh:
GLOBAL OFFICES: DHAKA: House 410, ROAD 29, Mohakhali DOHS DUBAI: Rolex Building, L-12 Sheikh Zayed Road LONDON: 1156, St Giles Avenue, Dagenham
Boiler Registration Certificate for BEZA in Bangladesh
In order to install and use a boiler with a volumetric capacity greater than 25 liters for their manufacturing or production unit, an EZ Unit Investor must first obtain a No Objection Certificate (NOC) from the Office of the Chief Inspector of Boilers (OCIB) through BEZA-OSS Center for importing the boiler, which is housed within the Ministry of Industry of the Government of Bangladesh, and a boiler license (which is renewable annually).
The Boiler Certificate must be renewed annually in accordance with the EZ Unit Investor’s application and certain assessment procedures. The following flowchart depicts these processes in sequential order:
Boiler Registration Certificate For Beza 35
Step 01: NOC for Boiler Import –
Documents Required:
Electronic Application Form submitted online
Cross-Sectional Construction Drawing Approved by the Recognized/Competent/Inspecting Authority
Heating Surface Calculation for the Boiler (Photocopy)
Calculation of Pressure Boiler Parts’ Strength (Photocopy)
Steel Manufacturer’s Certificate of Origin and Test Results (Photocopy)
Pro-forma Invoice (Photocopy, if boiler is imported)
Trade License (Photocopy)
Payment evidence/Application fee
Process:
Boiler Registration Certificate For Beza 36
Listed below are the Procedures for Obtaining a No Objection Certificate (NOC):
The Applicant visits the BEZA-OSS website, completes the online application form, and submits it alongside the previously listed required documents.
The BEZA-OSS Center evaluates the submitted documents.
The BEZA-OSS Center transmits the documents to the OCIB
The OCIB then issues a NOC and transmits it to the BEZA OSS.
BEZA OSS Center will issue the NOC to the Applicant.
Timeframe: three days (anticipated).
Application Fee: The application Fee varies based on the thermal surface/rating of the imported Boiler.
Note: VAT will be levied when payments are made.
Step 02: Boiler Registration
Documents Required:
Electronic Application Form submitted online
Cross-Sectional Construction Drawing with Scale that has been authorized by the competent authority
Heating Surface of the Boiler Calculation
Calculation of Pressure Parts of the Boiler’s Strength
Certificate of Inspection Authority During Manufacturing (Original)
Certificate of Manufacture and Test Results from the Boiler Manufacturer (Original)
Steel Manufacturer’s Certificate of Origin and Test Results (Photocopy)
Steel Manufacturer’s Certificate for Steam Pipe with a Diameter Greater Than 3 Inches (Photocopy)
Manufacturer’s mark (Copy)
Credit Letter (Photocopy)
Bill of Lading (Reproduction)
Certificate of Boiler Attendant (Photocopy)
Process:
The Applicant visits the BEZA-OSS website and completes the online application form with the required boiler registration documents and drawings.
The BEZA OSS Center transmits the application and supporting documentation to the OCIB.
OCIB designates an Inspector who will schedule the inspection date.
The BEZA-OSS Center notifies the Applicant of the inspection date, procedure, and Inspector’s name, along with the inspection items.
On the predetermined date, the Inspector(s) conducts an inspection at the project site and observes various tests.
The Inspector prepares and finalizes the Inspection Report and makes recommendations to the Chief Inspector of Boilers.
If the boiler inspection report is satisfactory, the Chief Inspector of Boilers issues a letter verifying the boiler’s registration along with the boiler’s Certificate for Use.
The OCIB dispatches the Boiler Registration Letter and Certificate to the BEZA OSS Center for use of the boiler.
The BEZA OSS Center then provides the Applicant with both the Boiler Registration Letter and the Certificate.
Timeline:
15 working days (based on the required inspection frequency and distance for furnaces of varying sizes).
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Note: The Applicant must employ the required number of certified Boiler Attendants as full-time employees to operate and maintain the Boiler.
Step 3: Boiler Certificate Renewal
Documents Required:
Electronic Application Form
evidence of payment of the renewal fee
Certificate of Boiler Operator
Process:
The Applicant visits the BEZA-OSS website at least 30 days prior to the expiration of the Boiler Certificate and completes the online application form.
The BEZA OSS Center then transmits the application and supporting documents to the respective inspector/OCIB, who will schedule an inspection date.
The BEZA-OSS Center notifies the Applicant of the inspection date and inspector’s name within three days of receiving the application.
The Inspector performs an inspection at the construction site.
The Inspector is responsible for preparing the Inspection Report.
In the event that the Inspector makes any comment, observation, or instruction regarding the improvement of construction works, the Applicant takes appropriate action and submits the implementation report along with photographs to the BEZA-OSS Center, which then sends the report to the OCIB.
The OCIB updates the Certificate for Boiler Use and transmits it to the BEZA OSS Center.
The BEZA-OSS Center provides the Applicant with a renewed Boiler Certificate.
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30(thirty) calendar days (anticipated)
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Note: The processing time may be extended if any rectification or improvement needs to be made as instructed by the Inspector during his inspection.
Here’s the table summarizing the information for “NOC for Boiler Import” (G1-1) and “Boiler Registration” (G1-2):
Procedure
G1-1. NOC for Boiler Import
G1-2. Boiler Registration
Required Documents
1. Application Form (electronic) through online.
1. Application Form (electronic) through online.
2. Cross Sectional Construction Drawing with Scale approved by the recognized/competent/inspecting authority.
2. Cross Sectional Construction Drawing with Scale approved by the competent authority.
3. Calculation of Heating Surface of Boiler (Copy).
3. Calculation of Heating Surface of Boiler.
4. Calculation of Strength of Pressure Parts of Boiler (Copy).
4. Calculation of Strength of Pressure Parts of Boiler.
5. Steel Maker’s Certificate of Manufacture and Results of Test (Copy).
5. Inspection Authority’s Certificate During Manufacturing (Original).
6. Pro-forma Invoice (Copy, in case of imported boiler).
6. Boiler Manufacturer’s Certificate of Manufacture and Result of Test (Original).
7. Trade License (Copy).
7. Steel Maker’s Certificate of Manufacture and Results of Test (Copy).
8. Proof of payment/Applicant fee.
8. Steel Maker’s Certificate for Steam Pipe over 3-inch diameter (Copy).
9. Maker’s stamp (Carbon Copy).
10. L/C (Copy).
11. B/L (Copy).
12. Boiler Attendant’s Certificate (Copy).
Actual Procedures
1. Applicant fills out the online application form and submits it with required documents through the BEZA-OSS website.
1. Applicant fills out the online application form with required documents and drawings on the BEZA-OSS website.
2. BEZA-OSS Center reviews the submitted documents.
2. BEZA-OSS Center forwards the application and documents to the OCIB.
3. BEZA-OSS Center forwards the documents to OCIB.
3. OCIB assigns an Inspector and fixes a date for inspection.
4. OCIB issues a NOC and sends it to BEZA-OSS.
4. BEZA-OSS Center informs the Applicant about the inspection date, procedure, and the name of Inspector with items to be inspected.
5. BEZA-OSS Center hands over the NOC to the Applicant.
Required Processing Time
3 (three) days.
Not specified.
Application Fee
Application Fee depends on the heating surface/rating of Boiler to be imported. VAT will be charged at the time of making payments.
Not specified.
Remarks
INSPECTION CHECKLIST
1. Verify necessary documents along with drawing and design of the boiler 2. Examine having any type of scale, crack and bulging in boiler shell or not 3. Examine having any scale, crack and bulging in boiler tube plate/base plate 4. Examine having any crack and bulging in fire dram or not 5. Examine of the boiler tube 6. Examine having any leak proof in manhole, mud hole, front door, gasket of back door of the boiler 7.Calibrationof Pressure Limit Switch and pressure gauges 8. Examine deformation of Burner Diffuser, burning/cracking 9. Examine the insulation materials having or not 10. Examine having any crack in refractory materials or not 11. Conducting Hydraulic Test 12. Check the following water parameters using in boiler along with log book
(a) Examine PH of water having at the certain level or not (b) Examine hardness of water having at appropriate level or not (c) Examine TDS of water having at appropriate level or not (d) Examine the activities of Feed Water Receiver, Deaerator and Chemical Feed Line (e) Examine Blowdown, Feed Pump whether running or not
13. Examine whether Fuel Supply Valve is active or not 14. Examine the Settings Pressure of the Safety Valve 15. Examine the Automatic Firing Control 16. Examine the color of flame
17. Examine water level indicator/low water cutoff of gauge glass
18. Examine free movement of the Air Damper
19. Conduct steam test
20. Examine the Steam circuit (Steam Header, Steam Stop Valve, Steam Line having more than 3 inches diameter, Steam Trap etc.
21. Examine water softener (chemical, resin, dodging pump etc.)
Hire the best law firm in Bangladesh for Boiler Registration Certificate for BEZA:
Prior to this act each of the four organisations were only providing liaison services between the many various government departments that are responsible in issuing permits, licences and clearances for an international investor.
This law brings in a paradigm shift in the manner in which business looking to enter Bangladesh will be able to in a time bound manner and with an element of foreseeability to initiate business in Bangladesh with ease and by seeking out to only one of the four organisations be it Bangladesh Investment Development Authority (BIDA), Bangladesh Economic Zones Authority (BEZA), Bangladesh Export Processing Zone Authority (BEPZA) or Bangladesh Hi Tech Part Authority (BHPA).
This will push Bangladesh in the ease of doing business ranking as well.
When it comes to business formation, Barrister Tahmidur Rahman Remura Wahid’s Chambers employs a wide spectrum of experience. We serve as a one-stop service provider and clients’ first point of contact. We advise clients on potential solutions based on the type of their business and other pertinent parameters.
Once a decision has been reached, we assist clients in establishing themselves, whether in a specialized zone or elsewhere in Bangladesh. Our lawyers have outstanding field-level competence from nearly 12 years of working in the associated office, as well as desk-based abilities to prepare all documented tasks. In this sector, we offer quick and skilled service.
We have extensive experience responding to the needs of clients from practically every continent, so language and local knowledge are not a barrier.
The legal team of Tahmidur Rahman Remura Wahid, The Law Firm in Bangladesh: TRW, The Law Firm in Bangladesh are highly experienced in providing all kinds of services related to Boiler Registration Certificate for BEZA. For queries or legal assistance, please reach us at:
BIDA Registration for Foreign Investment Project in 2023
According to the BIDA Act of 2016, all industrial investors (those outside the jurisdiction of BEZA, BEPZA, BHTPA, and BSCIC) are required to register their investments with BIDA. Registration with BIDA is not required for commercial and trading activities, purchasing houses, and service institutions.
A foreign company’s branch, liaison, and representative offices must register with the Commercial Department of BIDA. Every industrial enterprise in Bangladesh is required to register with the Bangladesh Investment Development Authority (BIDA) under the industrial department.
Registration with BIDA is required for investors to be eligible.
Regarding government-declared privileges and facilities.
To apply for licenses and permits related to investments, such as work permits for expatriates, foreign borrowings, and import permits/registration certificates for industrial use.
To gain access to any other BIDA facilitation services.
For incentives including exemptions from income tax, import duty, and other taxes.
To obtain sanction for outgoing payments such as royalties, franchise fees, technical license/know-how/assistance fees, and short-term loans.
Bida Registration For Foreign Investment Project 46
Registration procedure with BIDA
The investor must submit an online application through the BIDA One Stop Service (OSS) Portal. Also, please attach the pertinent documents. The required documents are detailed below.
For investments abroad and collaborative ventures
transmitting letter to be submitted by Chairman/Managing Director of the company/organization on official stationery.
Application on BIDA’s prescribed form, duly filled out and duplicated
Certificate of Incorporation with Memorandum and Articles of Association for a public/private Limited Company
joint venture agreement duly signed by both parties, if the undertaking is a joint venture;
List of Shareholders/Directors to be submitted in the company’s official pad (SL No., Name, Address, Position, and Nationality).
Copy of Trade License issued by the concerned authority of the factory’s location and specifying the sector
Copy of Company’s TIN Certificate
List of Local and Imported Machineries to be submitted in the company’s official pad (SL No., Name of Machine, Quantity and value (in million Tk./US$))
Copy of agreement/deed (for rented/leased land) or ownership document (for owned land) in the name of the company
Trade License
Redeemable certificate
Project profile if the budget exceeds $100 million
NOC from BSCIC if the project site is within the BSCIC area.
According to the industrial policy, approval from the relevant Ministry/Directorate/Department must be submitted for the controlled sector.
In the instance of a power plant, the power Purchase Agreement (PPA) is applicable.
Other required documentation
Fees
Bida Registration For Foreign Investment Project 47
After the application has been approved, a fixed amount based on the invested capital must be paid via online payment gateway (Credit Card: Visa/Master Card), Mobile Banking (Bkash), or Sonali Bank counter payment.
For (1-100 million) BDT – 5,000 BDT
For (100,000,000,000,000-250,000,000,000,000) BDT – 10,000 BDT
For 250,000,000 BDT to 500,000,000 BDT – 25,000 BDT
50,000 BDT for (500,001,001-1,000,000,000,000) BDT
For (1,000,000,001-1 billion trillion) BDT – 100,000 BDT
In conclusion, it can be stated that BIDA registration is an essential step for Bangladeshi industrial enterprises. Registration with the Bangladesh Investment Development Authority (BIDA) is required for all Bangladeshi industrial enterprises. Without it, investors and business owners will be unable to obtain vital licenses and permits, such as the Import Registration Certificate, Export Registration Certificate, and Bond License.
In addition, registration with BIDA is required for the purchase of an industrial property in the special economic zone. It enables them to obtain essential licenses and permits, as well as access to special economic zones, which can help them thrive in the dynamic business environment of the country.
Bida Registration Fees:
Expenses of Registration (for Each Type of Investment)
Amount of Proposed Investment
Registration Fee
VAT (15%)
Local Investment
Up to BDT 100 million
BDT 5,000
BDT 750
Foreign Investment
Up to BDT 100 million
BDT 5,000
BDT 750
Joint Venture Investment
Up to BDT 100 million
BDT 5,000
BDT 750
Local Investment
BDT 100 million – 250 million
BDT 10,000
BDT 1,500
Foreign Investment
BDT 100 million – 250 million
BDT 10,000
BDT 1,500
Joint Venture Investment
BDT 100 million – 250 million
BDT 10,000
BDT 1,500
Local Investment
BDT 250 million – 500 million
BDT 25,000
BDT 3,750
Foreign Investment
BDT 250 million – 500 million
BDT 25,000
BDT 3,750
Joint Venture Investment
BDT 250 million – 500 million
BDT 25,000
BDT 3,750
Local Investment
BDT 500 million – 1,000 million
BDT 50,000
BDT 7,500
Foreign Investment
BDT 500 million – 1,000 million
BDT 50,000
BDT 7,500
Joint Venture Investment
BDT 500 million – 1,000 million
BDT 50,000
BDT 7,500
Local Investment
Over BDT 1,000 million
BDT 100,000
BDT 15,000
Foreign Investment
Over BDT 1,000 million
BDT 100,000
BDT 15,000
Joint Venture Investment
Over BDT 1,000 million
BDT 100,000
BDT 15,000
Bida Registration For Foreign Investment Project 48
FAQ on BIDA Registration for Foreign Investment Project in Bangladesh
FAQ
Answer
What is the registration procedure at BIDA?
The registration process is the same for local, foreign, and joint venture investors. All applications for investment registration are to be made online through BIDA’s One-Stop Service (OSS) portal at https://bidaquickserv.org/.
Can BIDA’s headquarters register investments anywhere?
Yes, BIDA can register investment projects located anywhere in Bangladesh, except those located in the zones or areas managed by BEZA, BEPZA, BHTPA, Hi-Tech Park, and BSCIC.
Is it possible to register through BIDA’s divisional office?
Yes, it is possible. BIDA’s Divisional Offices are authorized to receive applications and grant registration, regardless of the project’s status. However, the registration of branch, liaison, or representative offices is only processed from BIDA’s headquarters in Dhaka.
What are the categories of investment registration?
The following industries need to be registered with BIDA outside the jurisdiction of BIDA/BEZA/Hi-Tech Park/BEPZA: 1) Local investment, 2) 100% foreign investment, and 3) Joint-venture investment.
Why should investors register their businesses with BIDA?
All investors for industrial undertakings located outside the jurisdiction of BEZA, BEPZA, BHTPA, and BSCIC are required to register their investments with BIDA according to the BIDA Act, 2016. Registration offers various incentives, privileges, and facilities declared by the government.
Can investors obtain trade license and company incorporation certificate from BIDA?
Trade licenses are issued manually/digitally by the relevant local government offices such as City Corporation, Municipality, or Union Parishad. The trade license from Dhaka South City Corporation can be serviced through BIDA’s OSS Portal at https://bidaquickserv.org/.
Companies need to be registered with the Registrar of Joint Stock Companies & Firms (RJSC&F) according to the Companies Act 1994. An arrangement has been introduced to obtain the incorporation certificate from BIDA’s OSS Platform in addition to RJSC&F.
How can foreign investors incorporate a company in Bangladesh?
Foreign investors can incorporate fully owned, subsidiary, or jointly owned companies in Bangladesh. The most common types of incorporation include public or private limited companies.
The process involves steps such as getting name clearance from RJSC&F, opening a temporary bank account for capital deposit, and preparing Articles and Memorandum of Association for submission of the incorporation application with RJSC&F. It usually takes around five weeks to complete the incorporation process.
How can a foreign investor open a bank account in Bangladesh?
Foreign investors can open a temporary bank account (Non-resident Taka Account: NRTA) without prior permission from Bangladesh Bank to receive capital remittance from abroad.
This temporary account allows for the encashment certificate. Investors can open temporary accounts through an online arrangement for Foreign Direct Investment (FDI) in Bangladesh, as per Circular No. 11 of the Foreign Exchange Policy Department of Bangladesh Bank issued on May 17, 2021.
Once the investor’s company is registered with RJSC&F, a new bank account can be opened to transfer the capital from the temporary account.
Is BIDA registration required for commercial and trading activities?
BIDA registration is not necessarily required for commercial and trading activities, buying houses, and service-oriented institutions. It is primarily required for industrial undertakings located outside the jurisdiction of BEZA, BEPZA, BHTPA, and BSC
Bida Registration For Foreign Investment Project 49
Registering a commercial office with BIDA
FAQ
Answer
Description
How are the services offered by BIDA different from the others?
BIDA’s services are available for both domestic and foreign investments at any location outside the jurisdiction of other investment authorities (BEZA, BEPZA, PPPA, BHTPA, BSCIC). BIDA also provides policy advocacy for national investment development.
BIDA distinguishes itself by providing comprehensive investment services for both domestic and foreign investors, covering locations beyond the jurisdiction of other investment authorities.
Additionally, BIDA actively promotes national investment development through policy advocacy.
What are the other investment promotion agencies in Bangladesh?
The other investment promotion agencies in Bangladesh are Bangladesh Economic Zones Authority (BEZA), Bangladesh Export Processing Zones Authority (BEPZA), Public Private Partnership Authority (PPPA), Bangladesh High-Tech Park Authority (BHTPA), and Bangladesh Small & Cottage Industries Corporation (BSCIC).
Bangladesh has a network of investment promotion agencies, each catering to specific sectors and types of investment. These agencies include BEZA, BEPZA, PPPA, BHTPA, and BSCIC.
Are there any explicit restrictions for foreign investment in Bangladesh?
Bangladesh, in general, is open to foreign investment, following the non-discrimination principle, where 100% foreign ownership is permitted in the majority of sectors.
However, local ownership is required for limited cases including freight/cargo forwarding agent, airline/railway/general or pre-shipment service cargo agent, shipping agent, courier services agent, buying house and indenting agent, advertising agent, and for-profit/commercial education institutions.
While Bangladesh welcomes foreign investment and allows 100% foreign ownership in most sectors, there are specific cases where local ownership is required.
These include certain service sectors and for-profit/commercial education institutions.
What are the restricted sectors to which investments are not allowed?
The National Industry Policy (NIP) (2016) defines controlled and reserved industries. Controlled industries require a proposed investor to obtain a ‘No Objection Certificate (NOC)’ from the concerned ministry/division prior to registration with BIDA/BEZA/Hi-Tech Park/BEPZA. Private industries are not allowed to invest in reserved/restricted industries.
Examples of controlled industries include deep-sea fishing, banking/finance, insurance, power generation/supply/distribution, and exploration/extraction/supply of natural resources. Reserved industries include arms/ammunitions, nuclear power, security printing/minting, and mechanized extraction within reserved forests.
The NIP (2016) outlines controlled and reserved industries that require special approval for investment.
Controlled industries necessitate obtaining an NOC from the relevant ministry/division before registering with BIDA/BEZA/Hi-Tech Park/BEPZA. Reserved industries, on the other hand, are off-limits to private investment.
Examples of controlled industries cover various sectors such as finance, power, telecommunications, and natural resource extraction, while reserved industries include military equipment, nuclear power, and forestation within reserved forests.
What are the priority or thrust sectors for investments in Bangladesh?
The National Industry Policy (NIP) (2016) designates high-priority sectors, such as agriculture, food processing, ready-made garments, ICT/software, pharmaceuticals, leather products, and light engineering. Additionally, there are priority sectors like plastics, shipbuilding, renewable energy, tourism, and more.
The NIP (2016) identifies priority sectors in Bangladesh, focusing on industries that play a significant role in the country’s economic growth and development.
These sectors encompass agriculture, manufacturing (such as garments and leather products), information technology, pharmaceuticals, and various other industries that have been designated as high-priority or priority sectors.
What formalities need to be performed to open a commercial office after getting registration from BIDA?
After receiving registration from BIDA, the following formalities need to be completed:
1. Notify Bangladesh Bank about the registration. 2. Register with the National Board of Revenue (NBR). 3. Register with the Registrar of Joint Stock Companies and Firms (RJSC&F). 4. Apply for a trade license.
Opening a commercial office requires additional steps after obtaining registration from BIDA.
These steps include notifying Bangladesh Bank, registering with the NBR, registering with the RJSC&F, and applying for a trade license.
Compliance with these formalities ensures proper establishment and legal operations of the commercial office.
What is the registration process of commercial offices (branch, liaison, and representative office)?
The registration process for branch, liaison, and representative offices is conducted through the Online Single Submission (OSS) portal. An inter-ministerial committee examines the applications and grants approval to open offices in Bangladesh.
The committee convenes twice a month to review and approve office openings.
Guidelines for establishing/opening branch, liaison, and representative offices and issuing work permits are available for detailed information. There is a registration fee and 15% VAT imposed by the Government of Bangladesh for registering commercial offices.
The registration of branch, liaison, and representative offices is facilitated through the user-friendly OSS portal, streamlining the application process. An inter-ministerial committee assesses the applications and grants approval for office openings.
The committee meets bi-monthly to review and approve office establishments. Detailed information and guidelines regarding the registration process, including work permit issuance, can be found in the provided guidelines. A registration fee, along with 15% VAT, is applicable for commercial office registration.
What documents and steps are required for registering a commercial office with BIDA?
To register a commercial office (branch, representative, or liaison office) with BIDA, the following documents and steps are required:
1. Article and Memorandum of Association of the parent company. 2. Names and nationalities of directors/investors of the parent company. 3. Resolution of the board of directors mentioning the decision to establish the office and the appointed person’s name to manage the office. 4. Parent company’s audited accounting statements from the previous financial year. 5. Details of activities conducted by the parent company and activities to be performed by the proposed office. 6. Organizational structure of the proposed office, indicating the required local and foreign manpower.
Registering a commercial office involves submitting necessary documents, including the parent company’s Article and Memorandum of Association, director/investor information, board resolution, audited accounting statements, and details of activities.
Additionally, the proposed office’s organizational structure, along with the required local and foreign manpower, must be provided. These steps ensure a comprehensive registration process for commercial offices.
What is the process of amending a registered investment if there are changes in registered data?
Investors can amend information in their registration letter, such as machinery, board of directors/shareholders, office/factory address, company name, or amalgamation.
Currently, the process involves submitting a manual application signed by the company’s chairperson/managing director, along with supporting documents, to BIDA. An amendment fee of BDT 1000.00 is charged per amendment, with 15% VAT applicable.
In case of changes to registered data, investors can apply for amendments by submitting a manual application, signed by the company’s chairperson/managing director, along with supporting documents to BIDA.
Each amendment incurs a fee of BDT 1000.00, along with 15% VAT. This process allows investors to update their registration information effectively.
Bida Registration For Foreign Investment Project 50
Reference
-BIDA 2016 Act
-BIDA OSS
Why choosing the right lawyers are important for FDI in Bangladesh:
In FDIs, a counsel with extensive experience is a necessity. This is because a competent attorney will be required to advise foreign investors on Bangladesh’s investment procedures.
Contract formation: in order to invest, numerous contracts must be drafted, and only a lawyer can assist with this.
advising on the available facilities for FDI, investment protection laws, and policies.
Company formation: In the case of foreign investment in Bangladesh through company formation, a counsel is once again required.
Due diligence report: if you intend to invest in a company in Bangladesh, you will require a due diligence report on the company in question, which will be prepared by a barrister.
Disputes: Finally, for resolving any dispute through litigation or alternative dispute resolution, an effective attorney will be required. These are the primary FDI-related areas where an attorney plays a significant role. Therefore, a counsel will be required to advise foreign investors on their rights and responsibilities in Bangladesh before they can invest.
TAHMIDUR RAHMAN REMUA Bangladesh is a full-service law firm in Dhaka that combines international offshore expertise with local knowledge and experience in a number of practice areas, such as dispute and litigation, energy and infrastructure, banking and finance, and tax.
The team of Bangladeshi lawyers and professionals at TAHMIDUR RAHMAN REMURA WAHID has extensive expertise in project development, international trade, corporate and structured finance, mergers and acquisitions, employment, and general commercial affairs.
Bida Registration For Foreign Investment Project 51
In this dynamic market, our dedicated and diligent Bangladeshi attorneys collaborate with an international and local partner-led team to provide clients with practical, dependable, flexible, and forward-thinking solutions.
The team advises multinational corporations on a variety of significant initiatives. It is currently advising a number of well-known global institutions and investors on numerous offshore and onshore financings, mergers and acquisitions, and other projects. The team has also advised on a variety of corporate and financial transactions, as well as significant greenfield independent power projects.
ADVICE CONCERNING FDI AT TAHMIDUR RAHMAN REMURA WAHID
The Barristers, Advocates, and attorneys at Tahmidur Rahman Remura Wahid in Mohakhali DOHS, Dhaka, Bangladesh, have extensive experience in FDI-related matters. In addition to managing a variety of domestic client issues on a regular basis, the firm has extensive experience advising and assisting numerous international clients with the utmost care and attention throughout their legal issues. For questions or legal counsel, please contact us at:
GLOBAL OFFICES: DHAKA: House 410, ROAD 29, Mohakhali DOHS DUBAI: Rolex Building, L-12 Sheikh Zayed Road LONDON: 1156, St Giles Avenue, Dagenham
Power of attorney guidelines for non-Bangladesh nationals
The purpose of this article is to provide a comprehensive overview of the laws pertaining to Power of Attorney in Bangladesh and to outline the key considerations when drafting a Power of Attorney.
Definition:
A power of attorney is a legal document that gives one individual the authority to act on behalf of another. The POA grants a person (the power receiver) the authority to make legal decisions on behalf of the power grantor.
Usages and types:
Power Of Attorney Guidelines For Foreign Individuals In Bangladesh 55
This document is primarily intended for individuals residing outside of Bangladesh who wish to transact with legally protected assets via an agent or attorney. A foreign power of attorney in Bangladesh functions similarly to a domestic power of attorney in most respects, but must adhere to a distinct set of procedures and protocols.
There are two categories of Power of Attorney, namely General Power of Attorney and Special Power of Attorney.
A general power of attorney grants the agent comprehensive authorizations and virtually unrestricted decision-making authority, from paying taxes to entering contracts, from managing operations to making legal decisions, from settling claims to purchasing a new property, everything.
A Special Power of Attorney is issued for the purpose of establishing special power of attorney to make decisions on a specific matter on behalf of the power giver, such as collecting rent for a specific property or allowing a business partner to use specific assets.
When the power giver relinquishes the ability to revoke it, the Power of Attorney is irrevocable. Irrevocable Power of Attorney refers to those powers of attorney pertaining to the sale, purchase, mortgage, or transfer of immovable property.
A foreigner may select any form of Power of Attorney, depending on the circumstances.
The steps involved in drafting a Power of Attorney are:
During the drafting of a Power of Attorney, it is necessary to adhere to the following terms:
The nature of power of attorney must be specified in the deed’s title.
The date of execution must be included in the power of attorney.
The deed must specify the parties’ identities, including their names, occupations, religions, nationalities, NID/passport numbers, and present and permanent addresses.
The objective should be expressed with clarity and specificity.
Powers, responsibilities, and obligations must be described in detail.
The type of POA document must specify whether general, special, or irrevocable authority is to be granted.
If the power is contingent, then the conditions must be specified. The deed must include a schedule of the subject property.
Identification and signatures of two witnesses
Name, seal, and date of a commissioned officer
The duration of the POA or its expiration date must be specified.
Photocopy of a valid Bangladeshi passport or national identification document.
Two copies of photographs of passport size.
Attestation must consist of a signature or a thumbprint.
Non-judicial stamp documents are required.
·
Constraints on Power of Attorney:
Power Of Attorney Guidelines For Foreign Individuals In Bangladesh 56
The Power of Attorney Act stipulated certain restrictions on the use of Power of Attorney. These restrictions include the execution of a will, an adoption certificate, a trust instrument, a gift, a donation, and a heba deed, as well as an adoption-related power of attorney.
Foreign Power of Attorney Execution:
The Power of Attorney Act of 2012 has also made it possible for non-Bangladeshis to execute power of attorney. In order to be legally binding, a power of attorney must be registered under section 52A of the Registration Act of 1908.
The Power of Attorney must be executed and signed in the presence of the proper officer, who, in the case of individuals residing outside Bangladesh, is the concerned officer of the Bangladesh Embassy in that country. The document must be notarized and attested by the Bangladeshi Embassy. The Ministry of Foreign Affairs must verify the documents for counter-verification.
Individuals residing outside of Bangladesh may execute POAs. This Power of Attorney must be executed and signed in the presence of the Bangladesh Consulate or Mission in the country where the individual resides.
Timeline:
Within two months of arrival in Bangladesh, the accomplished power of attorney must be submitted to the Ministry of Foreign Affairs for attestation, and then properly stamped within three months.
If the power of attorney must be registered, it must be submitted within four months of receipt to the appropriate sub-registry office.
In addition to registration at the local Sub-registrar’s office, the District Commissioner of the concerned area must also attest a power of attorney for the sale or purchase of property. If the MoFA has attested that the PoA does not involve land, then the PoA is deemed mature.
Power Of Attorney Guidelines For Foreign Individuals In Bangladesh 57
Revocation of Power of Attorney:
The power of attorney can be revoked by providing written notice to the authority recipient 30 days in advance. The principal can revoke the power of attorney, or it can be revoked by mutual agreement between the power grantor and the power recipient.
According to section 7 of the 2012 Power of Attorney Act, any act carried out by an agent is deemed to have been carried out by the principal. Any individual or organization is culpable for any work performed using a power of attorney. In actual practice, authorities and certain organizations (such as banks) will sometimes accept a power of attorney on company letterhead (for foreign companies) instead of non-judicial seal paper. A foreign power of attorney is difficult to create. Therefore, it is essential to review all documents with the opinion, counsel, or assistance of an expert.
Power of Attorney related legal advice at Tahmidur Rahman Remura Wahid TRW Law Firm
The lawyers, advocates, and barristers at Tahmidur Rahman Remura Wahid in Mohakhali DOHS, Dhaka, Bangladesh, have a great deal of experience handling Power of Attorney-related concerns. It regularly handles a variety of domestic client-related matters and has expertise consulting and supporting several overseas customers throughout their legal difficulties with the utmost care and attention.
Please contact us at the following numbers or email address for questions or legal assistance:
