The government is eyeing a 15 per cent growth in revenue to Tk 27,500 crore from National Board of Revenue (NBR) for the next fiscal and it also plans to strengthen procedures to raise non-tax revenue income from other sources.
"Non-tax revenue income did not increase substantially this fiscal, although the NBR has been able to achieve its target. The ministries concerned could not raise non-tax revenue which they were supposed to do," Finance Minister M Saifur Rahman said yesterday while speaking at the 24th consultative committee meeting of NBR as chief guest.
"The income tax structure here is still very low. Apart from making a broad based tax structure, we are trying to bring dynamism in tax administration and modernise it."
Seeking support from businesspeople to mobilise internal resource, Saifur said fiscal measures will be corrected so that people need not go to the tax officials.
The finance minister announced the government has to protect the interest of local textile industries. He also said agro-based industries, furniture, optical and some other items may be given special attention to help them concentrate more on export market.
Referring to this fiscal's 25 lakh tons food import, he said such huge import creates pressure on foreign exchange reserve. "We have to extend support to agriculture to avoid such huge import in future."
At least 25 per cent of the gross domestic product (GDP) should be invested to generate substantial
employment, Saifur added.
The NBR and the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) jointly organised the meeting at Sonargaon Hotel in Dhaka. NBR Chairman Shoeb Ahmed presided over the meeting.
Speaking at the meeting, Yusuf Abdullah Harun, the FBCCI president, said rural economy should be linked to the city as well as international markets to make the national economy dynamic.
He underscored the need for bringing transparency in the PSI system, saying harassment and uncertainty will continue if there is no transparency in implementing the PSI system.
In case of duty drawback and refund, businessmen are facing harassment and they have to spend at least 50 per cent of the amount to the officials concerned.
Mahbubur Rahman, president of International Chamber of Commerce-Bangladesh (ICC-B), said it will not be possible to bring dynamism in revenue collection
unless steps are taken to revamp the NBR administration.
"Businessmen should be allowed to bring the donation to the political parties into books and this donation should be tax exempted. The political parties should also maintain accounts. Otherwise, businessmen face lot of problems for such transactions," he told the meeting.
Samson H Chowdhury of Square Group said people who are bank loan defaulters are given interest waiver. "As the defaulters are rewarded, people who pay back bank loans properly are discouraged."
Tapan Chowdhury, president of Metropolitan Chamber of Commerce & Industry (MCCI), said further steps should be taken to improve the pre-shipment inspection (PSI) system. "There are many irregularities in the PSI, although revenue collection has gone up."
"Private sector may be engaged in some services at ports," the MCCI leader felt.
Quzi Moniruzzaman, president
of Bangladesh Garment Manufacturers and Exporters Association, mentioned private banks are not accepting seven per cent interest rate for loans in case of export-oriented industries.
Amir Humayun Mahmud Chowdhury, president of Chittagong Chamber of Commerce & Industry (CCCI), said traders are importing one thing but declaring another thing. In order to stop such practice scanners can be used at port, he recommended.
Motiur Rahman, president of Dhaka Chamber of Commerce & Industry (DCCI), said computer education should be started at the primary level. Steps should to taken to improve medical facilities at home so that people are discouraged to go abroad, draining out huge foreign exchange from the country.
Amjad Khan Chowdhury, managing director of Pran, said 32.5 per cent tax on sugar import makes local agro-processors less competitive.