Home ›› 01 May 2023 ›› Front
The National Board of Revenue (NBR) collected Tk 2,25,509 crore from income tax, value-added tax and import duty in June-March period of the current fiscal year, growing by 8.32 per cent compared to the corresponding period of the last fiscal year.
During this first nine months of the current financial year, the revenue board lagged behind Tk 29,008 crore against its actual target of Tk 2,54,517 crore, according to data of the NBR.
NBR officials said that the revenue deficit is widening due to a decrease in fund releasing in government projects as a result of forex crunch and economic headwinds triggered by the Russia-Ukraine war.
Experts opined that the revenue shortfall may reach to around Tk 35,000 crore at the end of the current FY.
Meanwhile, the revenue board witnessed around 16 per cent growth during first nine months of the last FY.
During the period in last FY, the revenue collection in imports grew above 20 per cent while the customs revenue saw a lesser growth of 3.63 per cent in this FY, followed by 4.87 per cent in income tax, which was above 18 per cent in last FY.
The revenue collection in VAT at local stage witnessed a hefty growth of 15 per cent in July-March period of current FY, up from around 10 per cent growth in the same period of the last FY.
Commenting on the matter, RAPID Executive Director Professor Dr M Abu Eusuf said, “The revenue target for NBR is unattainable and the revenue collection will lag behind Tk 35,000 crore in the current fiscal year as the most of the companies file returns during fiscal year closing time.”
He said, “The customs revenue has fallen down due to the government policy against import of luxury goods and LC opening complexities amidst the micro and macro-economic instabilities in the country, which have resulted in a sharp decline in imports.”
“Besides, the soaring price of petroleum goods has decreased production too, which is also a reason behind the slower growth,” he added.
“The NBR has to take initiative that directly increases the tax net. For example, the revenue board can text to those two-third TIN holders who are yet to file returns in this FY, seeking clarification why they did not submit their tax returns. It will increase return filling, boost revenue collection and help to tackle the ongoing economic headwinds,” stressed Eusuf.
