NBR, ICAB sign MoU on verifying audited reports

The National Board of Revenue has signed a Memorandum of Understanding with the Institute of Chartered Accountants of Bangladesh for using the Document Verification System to authenticate the submitted audited reports.

Following the MoU signing, the tax officials will be able to verify through the DVS as to whether the audited report submitted to the NBR is authentic or not, according to NBR officials.

Apart from that, the DVS will not only bring discipline to the financial management and increase corporate tax collection but also will help enhance VAT collection further as the government’s highest amount of national revenue comes from it.

ICAB President Mahmudul Hasan Khusru and NBR Member (VAT Policy) Md Masud Sadiq signed the MoU at an event at the Rajswa Bhaban in Dhaka on Tuesday.

Speaking at the event, NBR Chairman Abu Hena Md Rahmatul Muneem said, “DVS will bring a massive change in revenue administration as it is a useful tool to ensure a single audit report of organisations.”

The ICAB president said, “As the country’s economy is reaping benefits out of the DVS, it will also bring good governance in the financial ecosystem of the country.”

The NBR member said the highest amount of national revenue comes from VAT and the DVS will be helpful to increase the amount further.

The new system will be helpful to the officers during the VAT audit, it will ensure proper taxation, the government will receive proper revenue; VAT compliance will be increased and the tendency of taxpayers to evade taxes will also be reduced, according to a statement from the NBR.

Document Verification Code is a system-generated alphanumeric unique ID for audit reports and the financial statements endorsed by practicing Chartered Accountants.

Bangladesh ICAB initiated the DVS which would help the revenue authority and other regulators to authenticate the Financial Statements.

This DVC can be viewed by the government agencies, different stakeholders and regulators like Bangladesh Bank, FRC, BSEC, IDRA, etc. covered under MoU or any framework with the institute.

Additionally, people who want to verify the audit reports through this application would also have access to this application to find some essential financial information.

DVC will be generated by the Practicing Chartered Accountants at the time of signing a document of financial information of organizations.

All the documents will carry a unique code generated by the system. During generating the DVC some mandatory financial figures of the company must be entered like turnover, net worth, profit or loss, etc.