Revenue collection sees 15.16pc growth in 6 yrs
Dhaka: The National Board of Revenue (NBR) has seen a significant growth in its revenue collection in the last six years which helped the government take some mega projects like Padma Bridge one with its own funding.
The revenue collection in the last six years witnessed 15.16 percent growth on average, reports the UNB.
In 2012-13 fiscal year, the revenue collection was Tk 109,151.73 crore, posting a 14.83 percent while the collection was Tk 206,000 crore in the last 2017-18 fiscal year that showed a massive 19.50 percent growth.
The collection was Tk 120,819.85 crore in 2013-14 fiscal that means the growth was 10.69 percent. In 2014-15 fiscal year, the collection was Tk 135,700.70 crore showing a 12.32 percent growth while it was 155,518.72 crore with a 14.60 percent growth.
The revenue collection saw a considerable jump in the 2016-17 fiscal year when the NBR collected Tk 185,003.69 crore with an 8.96 percent growth.
Last year, the revenue collection from import-export was 28.66 percent, while 36.07 percent was from VAT and 35.27 percent from income tax.
According to sources at the NBR, the government has been successful to some extent in its plan to boost the revenue collection from internal sources while reducing dependence on foreign aid or loan or grant.
‘As a result, it has been able to implement the mega project the Padma Bridge one with its own fund,’ an NBR official said.
He said the government has been able to expand the size of its budget due to the steady growth in revenue collection. Various types of innovative ideas of the NBR are behind the success of the persistent revenue growth, he added.
Income tax fair, tax survey and simplification of the income tax return and VAT payment, introduction of ASYCUDA World and ASYCUDA++ for customs helped the NBR achieve the success, the official mentioned.
According to him, the number of taxpayers marked a sharp rise during the period as the electronic Tax Identification Numbers (e-TINs) crossed 36 lakh.
The NBR high official said a pro-revenue culture is being created in the country due to various types of initiatives taken by the revenue authority, including advancing the automation, giving tax and VAT card.
‘As a result, the number of taxpayers has increased along with the revenue collection,’ he said.
The official mentioned that the government has been able to remove the fear from taxpayers’ minds in the last 10 years through building awareness.
While speaking at the inaugural programme of weeklong Income Tax Fair at Officers’ Club here on Tuesday, the Finance Minister recalled that once people had showed reluctance about paying taxes as they used to think that they would be in trouble for life if they pay taxes.
‘Such attitude doesn’t exist today, I think,’ he said adding that many youths pay taxes willingly these days. ‘This is a very significant development for the whole nation,’ he said.
According to data provided by the NBR, the number of TIN holders in 2012-13 fiscal was 12 lakh while it is now over 36 lakh, thanks to the salary hike of the public servants and mandatory provision of submitting their income tax returns.
For the fiscal year 2018-19, the government has set the total revenue target – tax and non-tax revenue - at Tk 3 ,39,280 crore. Of the above total amount, the NBR has been tasked to source Tk 2,96,201crore.
Official said that income tax and other direct taxes will contribute Tk 102,201 crore, while import and export tax Tk 32,589 crore, VAT Tk 110,543 crore, supplementary duty Tk 48,766, excise duty Tk 2,091 while turnover tax Tk 11 crore.