`Feeble explanation from Yunus' / New Age 16/12/10
In a letter published on Wednesday's New Age, F Islam complains about Muhammad Yunus's explanation about the transferring of funds to reduce Grameen's tax burden. To that, I have the following comments.
Firstly, the finance ministry should hold a seminar for the leaders of the ruling party, various ministers and the citizens to explain the difference between the extremely complex concepts of tax evasion and tax avoidance.
Secondly, it is a contradiction to say that charging interest is forbidden in Islam but that interest should be charged to cover operating expenses.
Thirdly, it is a contradiction to object to any interest activity by a non-governmental organisation when the government itself is responsible for most interest activities. Also, it is a contradiction for NGOs to work in development but still pay tax to fund the government's development activities and it's a contradiction to tax interest income on donor funds when that income is also used for development activities.
Also, it is a contradiction for the government to penalise NGOs when their very existence arises from the failure of the government to meet the needs of the people.
Finally, it is contradictory to demand an investigation into the tax affairs of NGOs without asking for an investigation into the tax affairs of any politician in Bangladesh. It is highly irregular for people to object to this transaction and yet have no objection to the appalling manner in which Grameen and Muhammad Yunus have been slandered by the ruling party.
Ezajur Rahman
Kuwait
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