Representational Photo: Collected-
Metropolis Report-
Despite difficulties in both domestic and international trade, the National Board of Revenue (NBR) saw a 17.1 percent growth in value-added tax (VAT) collection in the most recent fiscal year (FY).
By collecting Tk 1.25 trillion in FY ’23—Tk 170.04 billion more than in FY ’22—the NBR’s VAT division has aided in tax collection.
According to the Annual Performance Agreement of the Ministry of Finance, the NBR has collected 92 percent of the challenging goal of Tk 1.36 trillion for the FY, which is designated as “outstanding.”
The 12 VAT zones around the nation experienced the largest growth in VAT collection in June 2023 alone. The three cities with the highest growth rates were Dhaka South, Khulna, and Chattogram, then Khulna and Dhaka South.
Among the zones, Large Taxpayers Unit (LTU) collected the most VAT, totaling Tk 585.66 billion.
The NBR has increased its tax revenue from tobacco users by Tk 30 billion, and its VAT revenue from mobile phone users has increased by 11.1 percent. Beverages, cement, MS Rod, and commercial space rents are a few other industries that experienced growth.
Both Petrobangla and Bangladesh Petroleum Corporation (BPC) saw increases in their taxable income of 21.68 percent and 23.43 percent, respectively. Additionally, the NBR recorded a 38 percent increase in VAT revenue from sales of sweets, while residential hotels and eateries had a 16.78 percent increase.
Even though the VAT rate for restaurants was lowered to 5.0 percent, the NBR nonetheless collected 16.78 percent more VAT from companies because officials were working hard to prevent evasion.
