Al Amin :
The number of income tax return submissions has increased by around 343 per cent year-on-year in July of the current fiscal year riding on various steps taken by the National Board of Revenue (NBR).
Some 50,532 Tax Identification Number (TIN) holders filed their returns in July, the first month of the current fiscal year. But the number was only 14743 in corresponding period of last year, according to the NBR data.
However, tax collection is not increasing accordingly. The revenue board collected revenue from tax wing worth Tk 4732.15 crore with zero per cent growth in July which was Tk 4732.09 crore in July of last fiscal year, the data showed.
Over 70 lakh TIN holders in the country but only 24-25 lakh people filed their returns every year.
The NBR officials said the zero percent growth in tax collection is mainly for a stagnation situation is prevailing in the country’s economy.
The import restriction is also another reason behind it, they said.
Dr Syed Aminul Karim, former NBR member (Tax), told The New Nation on Monday, “The high growth in return submission is mainly because of being mandatory for taking government services. These are not revenue generating returns. Therefore, the trend is positive for the revenue board.”
He also said the revenue generating returns to be filed after November.
The officials said NBR gives some guidelines every year to realize its annual target but the situation is different this year due to the global economic situation,
caused by the Russia-Ukraine war.
There is considerable weakness in domestic resource mobilization, although there is no question about the country’s ability to repay foreign debt, they said.
Rise in domestic resource mobilisation is now dire need to deal with the economic crisis. Following this, the NBR has taken various steps at the beginning of the current fiscal year, they added.
Among the measures, enhancement of income tax and Value-Added Tax (VAT) net, ensuring hundred per cent of return submission, full automation in source tax collection, introduction of E-chalan for all return submissions, introduction of digitalised tax audit and simplified tax system.
The revenue board also made mandatory of return submission slips for taking at least 42 government services, which has helped the high growth in tax return submission, the officials said.
NBR has been given a revenue collection target of 3 lakh 70 thousand crores for the current fiscal year. The revenue board collected Tk 3 lakh 17 crore in the outgoing fiscal year against the target of 3 lakh 30 thousand.
