Bangladesh finance minister assures businessmen of friendly VAT regime

Dhaka, July 12, 2015: Bangladesh Finance Minister Abul Maal Abdul Muhith on Sunday assured businessmen of establishing a friendly VAT (value added tax) system, which would also be more transparent, simple and modern.

“Our aim is to establish and ensure a VAT system, which will be more business-friendly, simple and transparent,” the minister said at a programme in the capital city.

The National Board of Revenue (NBR) organised the programme at the Bangabandhu International Conference Centre (BICC), marking the VAT Day and the VAT Week, being observed across the country from July 10-16 for the fifth consecutive year.

“Pay the VAT timely to contribute to the development of the country” is the main message of this year’s VAT Day and VAT Week.

Commerce Minister Tofail Ahmed, Finance Adviser to the Prime Minister Dr Mashiur Rahman, Chairman of the Parliamentary Standing Committee on Finance Ministry Dr Md. Abdur Razzak and the Federation of Chambers of Commerce and Industry (FBCCI), Abdul Matlub Ahmed, participated in the discussion.

Muhith said that the VAT Law and Supplementary Duty Act 2012 would be fully implemented next year.

“We had a lot of discussions on the new VAT law, and a committee was also working on it,” the minister said, adding that a business-friendly and transparent system would also ensure accountability within the arrangement.

Muhith observed that the VAT is a very business-friendly system, but said that the system requires accurate accounting procedure. “The tax burden would be low should we ensure accuracy in accounting system,” he said while reminding that the businesses would have one more year to prepare themselves for the new system.

He said besides introducing the new VAT law, the tax authorities had also been working on modernising tax system by incorporating modern information and communication technology.

Member of VAT implementation and IT Md Enayetur Rahman presented a keynote paper on the VAT Day and implementation of the VAT Law and Supplementary Duty Act 2012. NBR Member Farid Uddin presided over the programme.

At the programme, the revenue authorities awarded 119 top VAT paying companies for their outstanding contribution to the national exchequer. (Source: BSS)