Dhaka: The Appellate Division on Wednesday stayed for two months the High Court order that declared illegal the government’s two orders imposing 15% tax on private universities, private medical, dental and engineering colleges.

Chamber Judge of the Appellate Division Mirza Hussain Haider passed the order following a petition filed by the state against the High Court order.

On Monday last, the High Court declared illegal the government’s two gazettes imposing 15% tax on private universities, private medical, dental and engineering colleges.

An HC bench comprising Justice Sheikh Hassan Arif and Justice Bhishmadev Chakrabortty passed the order after hearing 46 writ petitions filed by different private universities.

The court also asked the National Board of Revenue (NBR) to return the additional money, collected as income tax under the two gazettes, to the universities.

The NBR issued a gazette on 28 June 2007 imposing 15% tax on private universities. It issued another gazette on 1 July 2010 imposing 15% tax on private medical, dental and engineering colleges along with private universities.

Later, some 46 writs were filed with the High Court from 2010 to 2016.

Talking to reporters, Barrister Sakhawat Hossain said the court observed that the two gazettes are contradictory to articles 15, 17, 27, 31 and 32 of the constitution. Even, they are contrary to the section 44(4) of the Income Tax Ordinance 1984.