The Foreign Investors' Chamber of Commerce and Industry (FICCI) has called for a simplified taxation system through a reduction in source tax, withdrawal of minimum tax, and focus on income tax.
It also urged a unified VAT rate, and faster resolution of import and exports. FICCI made the proposal at a pre-budget discussion with the National Board of Revenue (NBR) at the NBR office in Dhaka on Wednesday.
The chamber also proposed a collaboration to work towards an integrated system that enables internal revenue mobilisation and optimisation of an effective tax rate, to boost foreign direct investments (FDIs), and the country’s competitiveness in the global arena.
FICCI Tax Consultant Snehasish Barua made a presentation on the chamber's budget proposals for FY25.
At the programme, FICCI President Zaved Akhtar said, “FICCI, being the representative of around 210 foreign companies operating in Bangladesh, has been contributing more than 30 per cent of total government revenue.
“To achieve Vision 2041, Bangladesh needs to improve its Tax-GDP ratio from existing 8.74 per cent to 22 per cent, which is a big milestone. To achieve this target, the private sector’s cooperation will be indispensable.”
He added that FICCI is eager to partner in this journey and committed to contribute for the progress of the people and the country.
FICCI identified the need for a comprehensive and Integrated Digital Architecture for the country to track the economic transaction and attract taxes from the taxpayer and highlighted the immediate action to integrate already available systems such as e-TDS, Online Return, e-TIN etc.
During the meeting, to enhance the Tax Net, FICCI proposed immediate integration with all the govt agencies including City Corporation, Land Registration through which the country can bring more taxpayers into the Tax bracket.
NBR Chairman Abu Hena Md Rahmatul Muneem presided over the meeting, while some of the other members were also present.
FICCI President Zaved Akhtar led the delegation, which included Board of Director Mohammad Iqbal Chowdhury, Executive Director TIM Nurul Kabir, and committee members.
