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Harassment of individual taxpayers, traders yet to decline

Staff Correspondent
30 Oct 2023 21:23:39 | Update: 30 Oct 2023 21:23:39
Harassment of individual taxpayers, traders yet to decline

Taxpayers want to pay taxes online without facing harassment from tax officials and although the National Board of Revenue (NBR) has opted for automation to increase revenue collection and reduce nuisance, harassment of individual taxpayers and traders has not reduced.

Speakers made the allegation at a discussion, titled "Transitioning Tax Compliance to Digital Platform", organised by SMACIT Limited at a hotel in Dhaka on Monday.

They also emphasized sustainable automation with concerned departments and organisations within and outside of the NBR.

Online book TaxGuru BD and TaxDo Apps for personal tax returns preparation were also formally launched at the event.

Federation of Bangladesh Chambers of Commerce and Industry President Mahbubul Alam, citing the issue of harassment by tax officials, said traders want to pay tax without any harassment and there is no alternative to automation for that.

He also focused on widening the tax net instead of putting more tax on those who are paying taxes and increasing it every year.

"After submitting the tax file, a tax commissioner approves it. After a new commissioner arrives, it gets reopened on the basis of dual selection. But whose failure is it?” the FBCCI president asked.

“We want to pay income tax and VAT. But there various departments within NBR that have not been automated yet,” he also pointed out.

There have also been complaints from traders that NBR is not refunding or adjusting the advance income tax after deducting it from the taxpayer, Mahbubul said.

Sharing his experience, Bangladesh Knitwear Manufacturers and Exporters Association Executive President Mohammad Hatem said that the VAT return has to be submitted online but arrangements have been made to go to the office again.

“In other words, although it is digital, the system remains virtually manual. It does not reduce the harassment of traders,” he said.

Mahmudul Hasan Khosru, former president of the Institute of Chartered Accountants of Bangladesh, said, "The purpose of digitisation should be so that taxpayers do not have to go to the tax office. “

Addressing NBR, he said technology should be brought but it should not be complicated and should be implemented step by step.

He also urged not to apply pressure on the individual taxpayers and said that tax contribution to GDP cannot be increased by increasing pressure on them.

Shawkat Hossen Masum, Head of Online at the Daily Prothom Alo, said, "The purpose of NBR will not be fulfilled with half-hearted or meagre digitisation. It has to be implemented so that tax officials and taxpayers don't even have to face each other."

At the event, SMACIT Limited Director Snehashish Barua shared details about TaxDo, which has been developed by the company to file income tax returns digitally.

He said that in this system, a taxpayer can file income tax returns in just a few minutes and pay the tax amount through mobile financial services like bKash, Nagad and others.

NBR Member Iqbal Hossain called SMACIT Limited’s initiative positive and assured that it will be considered whether any kind of assistance can be provided by NBR in this regard.

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