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NBR logs 16pc revenue growth

Sohel Parvez
Revenue collections by the National Board of Revenue (NBR) rose 16 percent in the seven months through January from a year earlier, drivenbyhighergrowthofincometax receipts.
Revenue collections rase to Tk 46,349 crore between July and January of fiscal 2011-12 from Tk 40,004 crore a year ago, according data from the NBR.
The tax authority will have to collect Tk45,521 crore in the next five months of the fiscal year to achieve its full-year target forTk91,870 crore.
“We will be able to achieve our revenue collection target for the year. We have taken a number of steps to boost collections, " said NasiruddinAhmed, NBR chairman.
The NBR moved to launch an electronic tax payment system and strengthened monitoring, vigilance and audit to accelerate collections.
The alternative dispute resolution (ADR) system launched at the Chittagong Customs House last week promises to quickly settle duty disputes. The ADR meant for income tax will be activated this month, Ahmed said.
A move is underway to hike duties on a number of luxuries listed by the commerce ministry, the NBR boss said.
"Generally, the revenue collection by the NBR escalates in the fourth quarter of the fiscal year. So, with these steps, we hope to attain our collection target, ” Ahmed said.
Towfiqul Islam Khan, senior research associate of the Centre for Policy Dialogue (CPD), said: "The growth trend of revenue collections is still in line with the target for the current year.”
In the last five months of fiscal 2010-11, the tax administration collected 50 percent of the total revenue, he said.
"Collections of value-added
tax remained lower at import and local levels, although higher VAT at import level was supposed to have been collected due to the devaluation of the taka and growth of import payments,” Khansaid.
"The NBR must investigate whether VAT is being evaded through under-in voicing."
To discourage tax evasion, the NBR has asked territorial zones to form monitoring cells to prevent tax evasion. Each zone was asked to detect at least one tax-evasion case every month and report to the headquarters.