(1) Notwithstanding anything contained in this Act, where a non-resident carries on the business of operation of ships as the owner or charterer thereof, hereinafter in this section referred to as the principal, tax shall be levied and collected in respect of such business in accordance with the provisions of this section.

(2) Before the departure from any port in Bangladesh of any ship, the master of the ship shall prepare and furnish to the Deputy Commissioner of Taxes a return showing—

(a) the amount paid or payable whether in or out of Bangladesh to the principal, or to any person on his behalf, on account of the carriage of passengers, livestock, mail or goods shipped at the port since the last arrival of the ship; and

(b) the amount received, or deemed to be received in Bangladesh by, or on behalf of, the principal on account of the carriage of passengers, livestock, mail or goods shipped at any port outside Bangladesh.

(3) On receipt of the return, the Deputy Commissioner of Taxes shall determine the aggregate of the amounts referred to in sub-section (2) and, for this purpose, may call for such particulars, accounts or documents, as he may require and the aggregate of the said amounts so determined shall be deemed to be income received in Bangladesh by the principal from the said business chargeable to tax under this Act under the head “Income from business”, and tax thereon shall be charged at the rate of 8% (eight percent) of such income.

(4) Where the Deputy Commissioner of Taxes is satisfied that it is possible for the master of the ship or the principal to furnish the return required under sub-section (2) before the departure of the ship from the port and the principal has made satisfactory arrangements for the filing of the return and payment of the tax by any other person on the behalf, the Deputy Commissioner of Taxes may, if the return is filed within 30 (thirty) days of the departure of the ship deemed the filing of the return by the person so authorized by the principal as sufficient compliance with sub-section (2):

     Provided that where any charge mentioned in sub-section (8) is accrued after the expiry of said 30 (thirty) days, the other person mentioned in this subsection shall file a supplementary return in respect of such charge and pay tax thereon within next 30 (thirty) days from the end of the month in which the charge has accrued.

(5) No port clearance shall be granted to the ship until the Commissioner of Customs or any other officer duly authorized to grant the same, is satisfied that the tax payable under sub-section (3) has been duly paid or that satisfactory arrangements have been made for the payment thereof.

(6) Nothing contained in this Act shall be so construed as to allow any expense against the aggregate amount of receipts as determined under subsection (3).

(7) The tax paid under this section shall be deemed to be the final discharge of the tax liability of the assesseeunder this Act, and the assessee shall not be required to file the return of total income under section 166 nor shall he be entitled to claim any refund or adjustment on the basis of such return.

(8) For the purpose of this section, the amount referred to in sub-section (2) shall include the amount paid or payable by way of demurrage charge or handling charge or any other amount of similar nature.