US President Donald Trump said Friday he did not bring up the issue of tariffs during a landmark summit with Chinese counterpart Xi Jinping, reports AFP.

Returning to Washington after making what he called "fantastic trade deals" with Beijing, Trump said on tariffs: "We didn't discuss those... It wasn't brought up."

The pair had been widely expected to discuss extending the one-year tariff truce reached during their last meeting in October in South Korea.

The truce brought a pause to a blistering trade war that had seen tariffs on many goods exceed 100 percent. Conditions have shifted since.

The deal saw Washington maintain some tariffs over China's alleged role in global fentanyl supply chains and accusations of unfair practices.

But the US Supreme Court in February struck down many of Trump's duties, including those imposed over drug trafficking.

The White House quickly moved to impose a 10-percent global tariff using temporary powers, and opened investigations that could lead to more lasting duties.

The 10-percent global tariff has also been challenged in US courts.

Trump had arrived in Beijing earlier this week seeking to seal accords in sectors including agriculture, aviation and artificial intelligence.

After the first day wrapped, Trump said Xi had agreed to help open the Strait of Hormuz, as well as buy Boeing jets and American oil and soybeans.

But there have been no formal announcements, and the Chinese foreign ministry would not confirm or deny Trump's statements when asked on Friday afternoon.

MSH

Companies and organisations will be required to file tax returns on the income generated by employee welfare funds from the current fiscal year and pay a 27.5 percent tax on the earnings. 

The Income Tax Act 2023 incorporates the provision, lifting the tax exemption and amnesty on the compulsion to file returns for funds such as provident funds, gratuity funds and workers' profit participation funds maintained by the private sector.

The law, however, has exempted government-managed provident funds from taxation, raising questions.

TIM Nurul Kabir, executive director of the Foreign Investors' Chamber of Commerce & Industry, said there were many other avenues to collect tax.

"Employees benefit from provident funds after their retirement. So, the authority should not slap taxes on retirement benefit."

He said while levying the tax, the government has not treated provident funds of the private and public sectors equally.

"It is discriminatory," he said, adding that they would appeal to the tax authority for the withdrawal of the tax on income from provident funds.

Debabrata Roy Chowdhury, director for legal, regulatory and corporate affairs at Nestlé Bangladesh PLC, said the introduction of income tax on trust funds would lower the overall income from such schemes.

"This will have an adverse long-term impact on retired employees of private organisations."

Chowdhury urged the authority to address the issue in line with the spirit of the government's initiatives aimed at ensuring social security for private sector employees.

"The recent introduction of the universal pension scheme for private sector employees is a good example of that."

A senior official of the NBR, on condition of anonymity, said the income of government-managed provident funds was exempted in line with the Provident Fund Act 1925.

He said provident funds under the private sector had been historically exempted and there was no requirement to submit tax returns. As a result, it was unclear whether the funds were properly utilised.

"From now onwards, we will see proper disclosure."

The tax official said the contribution of payroll tax is about 3 percent of the total income tax although it should increase as the economy is growing.

Md Shahadat Hossain, a former president of the Institute of Chartered Accountants of Bangladesh, said income from investment in savings certificates, where people invest as a source of future earnings, is already taxed.

"From that perspective, the imposition of tax on provident and other employee welfare funds seems okay."

However, Towfiqul Islam Khan, senior research fellow at the Centre for Policy Dialogue, said social protection for private sector employees was low.

"Provident and other workers' welfare-related funds provide little social protection. The imposition of tax will increase inequality. But there can't be any discrimination in taxation between private and government provident funds."

Khan, citing the latest income tax law that replaced the Income Tax Ordinance 1984, said the NBR tried to find new avenues to increase tax collection and improve the nation's revenue-gross domestic product ratio, which is one of the lowest in the world.

"We can see the desperation of the tax authority to boost collection. This ultimately reveals the inability of the NBR to catch the tax evaders and illicit money makers."