Finance Minister M Saifur Rahman said here yesterday that the government was being deprived of huge revenue earnings due to corruption by a section of officials and businessmen. reports BSS.
The Finance Minister said this while reviewing the various aspects of income tax realisation from Dhaka. Farldpur. Khulna. Kushtia. Pabna and Rajshahi regions for the year 1992-93 at meetings with senior income tax officials here Tuesday and yesterday.
Saifur Rahman expressed his dissatisfaction over the extreme inconsistencies in the realisation of income tax. Dae to these inconsistencies the realisation of income tax last year from these regions was only ten per cent of the probable income, it was mentioned In the meeting.
It was also stated in the meetings that in some cases
taxable income of an assessee had been fixed at twenty thousand only despite the fact that he has several sources of income including cloth business, truck and real estate. As a result of corruptions by officials, such assessees were fixed to pay income tax between Taka 300 and Tk 500 only per annum.
The Finance Minister issued directives for reassessment of income tax of such cases to remove inconsistency. Under no circumstances realisation of less than Taka fifteen hundred from a businessman assessee was acceptable, he said.
The meeting took a number of decisions to enlarge tax base, increase the number of assessees and streamline the inspection and survey department.
Saifur Rahman said, the review of the account of Income tax realisation in Dhaka city showed that only 24 specialist physicians paid Taka 50.000 as income tax annually. "Whereas, the real number of such doctors should be over 500." he said.
The meeting found that the annual taxable income of certain specialist physicians has been fixed at Taka 40.000 only. But the Finance Minister said with regret that some of these doctors even had their daily in-
come at the same level.
It was Informed in the meeting that some businpss magnets pay only Taka two or three lakh as income tax annually but in real term it should be many times higher than the present level..
The Finance Minister stressed the need for mutual coordination between the VAT and income tax departments as their system of income tax realisation were inter-related.
Referring to a community centre in Dhaka, the Finance Minister said it had paid only Taka 4.000 as VAT last year although almost everyday two marriage ceremonies took place there. "Whereas, the owner of the centre had realised Taka 1050 from each ceremony from his client to be paid to the government. With this estimation, at least 300 marriage ceremonies took place in that centre and the total VAT should have been Taka three lakh 15 thousand from the clients." he observed.
The Finance Minister expressed his concern saying the people were paying their VAT ' for the government while a section of officials and businessmen unscrupulously depriving the government from its revenue Income. The Finance Minister directed the Chairman of the Board of Revenue to take action against the concerned VAT official and sack him from his Job. He also asked for filling a case with the Bureau of Anticorruption against the concerned officials to realise the loss that the government had suffered.
The Finance Minister also urged the consumers to receive proper receipt of VAT while buying things or services under VAT.
The Finance Minister also asked the officials of the Board of Revenue to take legal measures against the multinational company which had paid only Taka four crore as VAT In-place of Taka 18 crore last year. He also asked them to take action against those officials who were involved in it.