(BSS) - Acknowledging that the tax-GDP ratio is still less in the country, National Board of Revenue (NBR) Chairman Md Abdur Rahman Khan today said that there is no way to become complacent over the current tax-GDP ratio.

“The tax-GDP ratio is very small and it’s true … no matter there is exaggeration, but there is no way to become complacent with the country’s tax-GDP ratio. We’re a developing nation and we have a huge demand for manpower,” he said.

Rahman also said the demand for constructing infrastructures in such a riverine country alongside meeting the demands in the health and education sectors are rising. “But, we are yet to make such necessary expenditures in these sectors which are required. We’ll have to acknowledge it,” he said.

The NBR chief said this while addressing a discussion meeting titled “Income Tax Law 2023: Reforms and Perspective” followed by an Iftar Mahfil held at the multipurpose hall of the Revenue Board Building in the city’s Agargaon area. BCS Taxation Association organized the discussion and Iftar mahfil.

Talking about the lower revenue collection, he said that it is true that the NBR is not collecting the revenue as per the desire and it has to be admitted. “There are so many reasons behind that, one of the big reasons is that we are in the culture of tax exemption for a long time and we have to get out from that culture gradually,” he said.

Saying that Bangladesh still generates two thirds of its total revenue from indirect taxes, the NBR chairman said that it means that poor people are paying the taxes. “We have to increase the income tax collection, if we can properly collect the income tax then the tax-GDP ratio will be improved, we have to focus on this issue,” he said.

Abdur Rahman Khan said that business people are not afraid of paying taxes, rather they come to invest after calculating everything. “An investor invests in any business after reviewing that he or she has to pay a little portion of income,” he said.

He said not only the strong tax structure will ensure improved revenue collection, but also other sides have to be strengthened. “We have to go for faceless service system, the desire of any taxpayer will be met digitally while the delivery will also be through digitally. We have to ensure that,” he said.

Rahman mentioned that by ensuring this the system of pilferage will be sealed while the revenue leakage will be stopped with ensuring the proper amount of revenue collection.

He also put emphasis on the establishment of accountability of the revenue officials for better service delivery and revenue collection.

Talking about the separation of policy wing from the revenue collection wing, Abdur Rahman Khan said that the concerned law in this regard will be passed by the advisory council before the holy Eid-ul-Fitr.

He said after that the revenue collection wing will be able to work more efficiently and independently which would result in more revenue collection.

The NBR Chairman said that concerned experts, analysts and researchers would feature in both the wings while others will also remain as auxiliary force.

Taxes Zone-6 commissioner Ikhtiar Uddin Md. Mamun presented the keynote paper in the programme. BCS Taxation Association president Barrister Mutasim Billah Faruqui presided over the programme while its secretary general Syed Mohidul Hasan gave the welcome address.