NBR to complete bond automation by 2023

The government's bonded warehouse facility for businesses will be completely automated by 2023 so that no one can gain illegal benefit from the system, said Abu Hena Md Rahmatul Muneem, chairman of the National Board of Revenue (NBR), yesterday.

There is a tendency to abuse the facility although the NBR has been trying to check it for many years. "It is difficult to check the abuse as the number is too high," Muneem said.

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"It is possible to eliminate the abuse if the facility is automated."

He made the comments while speaking at the pre-budget discussion with the members of the Economic Reporters' Forum (ERF) at the NBR office in Dhaka.

Muneem said the abuse of the bonded warehouse facility not only affects the revenue generation but also severely affects the industries concerned, said the NBR chairman.

He suggested changing the culture of non-payment of tax as Bangladesh has one of the lowest tax to GDP ratios even in South Asia.

Even government organisations are not interested in paying taxes because of the absence of the tax payment culture in the country.

Previously, people had also the logic for not paying taxes as they used to question revenue officials what will happen if taxes are paid. "Now, the situation is different," said the NBR chief.

This is because the government is implementing a lot of mega projects like Padma Bridge, Karnaphuli Tunnel and metro rail. "These can be shown as examples when we ask people to pay taxes."

Muneem said the NBR was trying to expand the tax net to increase revenue generation.

The NBR will initiate a move to see whether households in Dhaka have tax identification numbers (TINs) in order to bring them under the tax net. The tax administration will also do so the same in the case of transport companies as soon as possible, he said.

He urged the concerned officials to be careful so that foreign nationals cannot join any jobs after arriving in Bangladesh on tourist visas.

Muneem also sought cooperation from other ministries and government agencies so that local employers feel discouraged in employing foreign nationals that come on tourist visas.

ERF President Sharmeen Rinvy and General Secretary SM Rashidul Islam submitted a set of recommendations on the next budget during the discussion.