Listed companies will have to remit dividends to foreign shareholders within 30 days of receiving a Double Taxation Avoidance (DTA) Certificate from the National Board of Revenue (NBR), according to a decision taken by the Bangladesh Securities and Exchange Commission (BSEC) on Tuesday.
The remittance must also be completed within the relevant financial year.
Companies will have to submit a Preliminary Dividend Compliance Report after completing dividend distribution among local shareholders.
They must then submit a Dividend Compliance Report to the BSEC and the relevant stock exchange within 30 days of remitting dividends to foreign shareholders.
The new requirements set a clear timeline for foreign dividend payments and allow the regulator and stock exchanges to monitor compliance from local distribution through overseas remittance.
