3:28 am, Sunday, 20 April 2025

Most TIN holders have skipped tax returns for 10 years: NBR chair

The chairman of the National Board of Revenue, Abdur Rahman Khan on Monday said that laws and regulations regarding taxes had not been effectively implemented, with 80 to 85 lakh of the 1.13 crore taxpayers or TIN holders in the country failing to submit tax returns over the past decade.

This indicated insufficient enforcement at the field level, allowing tax evaders to lead comfortable lives without fulfilling their obligations, he said.

NBR chairman was speaking as chief guest at a view exchange meeting, titled ‘Economic Dialogue: Revenue Management and Mass Media,’ organised by the Bangladesh Civil Service (Taxation) Association in the capital.

He also said that the NBR made the remittance receipt through the legal channel tax-free to encourage expatriate earners.

‘Surprisingly, we found a taxpayer who brought Tk730 crore by showing him as wage earners to evade the tax. Such kind of activities made widen the inequity,’ Abdur Rahman said.

‘We are working to end frequent policy changes through some clear-cut guidance,’ he said.

Abdur Rahman Khan also said that the government had recently provided tax cuts on certain essential products in the national interest. However, he noted that efforts must also be made to strengthen government revenues.

He clarified that VAT is entirely consumer-based rather than business-related, but since it is determined through a price mechanism, higher VAT rates inevitably lead to increased prices for goods.

Addressing a question on a super tax—an additional levy on oligarchs and the super-rich—the NBR Chairman said that currently, Bangladesh does not impose such a tax.

He explained that while a law had been in place since 1963, it was abolished in 1999 due to confusion and complexities, replaced instead with a surcharge that ultimately proved ineffective.

However, with digital systems now in place, he noted that the NBR is reconsidering the introduction of a super tax on the wealthy.

NBR chairman further emphasised that both the media and the NBR have crucial roles to play in raising public awareness, expanding the tax net, and addressing challenges within the system.

Economic Reporters’ Forum president Doulot Akhter Mala said that the primary challenge journalists faced when working with the NBR was the lack of open data, which limited their ability to analyse and quantify information.

She urged the NBR to allocate more resources to research and analysis and called for the involvement of journalists in policy impact assessments, highlighting their strong connections with both the public and businesses.

Mala also suggested that the NBR introduce media fellowships and awards to recognise journalists covering tax and revenue issues.

In response to concerns about data accessibility, the NBR chairman assured that, moving forward, data would be published on the NBR website by the 15th of each month.

Tax Commissioner Ikhtiar Uddin Mohammad Mamun delivered the keynote presentation at the event, highlighting that only seven types of taxes were currently in operation in the country.

The presentation proposed the introduction of additional taxes, including a super tax, sin tax, and entertainment tax.

BCS (Taxation) Association president Mohtasim Billah Faruki,  secretary general Syed Mohidul Hasan and Member (Tax Administration and HRM) of NBR GM Abul Kalam Kaikobad also spoke at the event.

Most TIN holders have skipped tax returns for 10 years: NBR chair

Update Time : 10:09:07 pm, Monday, 17 March 2025

The chairman of the National Board of Revenue, Abdur Rahman Khan on Monday said that laws and regulations regarding taxes had not been effectively implemented, with 80 to 85 lakh of the 1.13 crore taxpayers or TIN holders in the country failing to submit tax returns over the past decade.

This indicated insufficient enforcement at the field level, allowing tax evaders to lead comfortable lives without fulfilling their obligations, he said.

NBR chairman was speaking as chief guest at a view exchange meeting, titled ‘Economic Dialogue: Revenue Management and Mass Media,’ organised by the Bangladesh Civil Service (Taxation) Association in the capital.

He also said that the NBR made the remittance receipt through the legal channel tax-free to encourage expatriate earners.

‘Surprisingly, we found a taxpayer who brought Tk730 crore by showing him as wage earners to evade the tax. Such kind of activities made widen the inequity,’ Abdur Rahman said.

‘We are working to end frequent policy changes through some clear-cut guidance,’ he said.

Abdur Rahman Khan also said that the government had recently provided tax cuts on certain essential products in the national interest. However, he noted that efforts must also be made to strengthen government revenues.

He clarified that VAT is entirely consumer-based rather than business-related, but since it is determined through a price mechanism, higher VAT rates inevitably lead to increased prices for goods.

Addressing a question on a super tax—an additional levy on oligarchs and the super-rich—the NBR Chairman said that currently, Bangladesh does not impose such a tax.

He explained that while a law had been in place since 1963, it was abolished in 1999 due to confusion and complexities, replaced instead with a surcharge that ultimately proved ineffective.

However, with digital systems now in place, he noted that the NBR is reconsidering the introduction of a super tax on the wealthy.

NBR chairman further emphasised that both the media and the NBR have crucial roles to play in raising public awareness, expanding the tax net, and addressing challenges within the system.

Economic Reporters’ Forum president Doulot Akhter Mala said that the primary challenge journalists faced when working with the NBR was the lack of open data, which limited their ability to analyse and quantify information.

She urged the NBR to allocate more resources to research and analysis and called for the involvement of journalists in policy impact assessments, highlighting their strong connections with both the public and businesses.

Mala also suggested that the NBR introduce media fellowships and awards to recognise journalists covering tax and revenue issues.

In response to concerns about data accessibility, the NBR chairman assured that, moving forward, data would be published on the NBR website by the 15th of each month.

Tax Commissioner Ikhtiar Uddin Mohammad Mamun delivered the keynote presentation at the event, highlighting that only seven types of taxes were currently in operation in the country.

The presentation proposed the introduction of additional taxes, including a super tax, sin tax, and entertainment tax.

BCS (Taxation) Association president Mohtasim Billah Faruki,  secretary general Syed Mohidul Hasan and Member (Tax Administration and HRM) of NBR GM Abul Kalam Kaikobad also spoke at the event.