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Huge amount of tax evaded at customs, ACC finds

Staff Correspondent
A huge amount of tax is evaded every year in connivance of National Board of Revenue's (NBR) customs wing, the Anti-Corruption Commission (ACC) has found.
It has also found that customs does not follow government orders on tax exemption for imported goods, which creates a scope for corruption.
ACC recently identified 19 possible sources of corruption at customs, and made a 29-point recommendation to curb it.
The commission has sent their recommendations to Cabinet Division, asking it to take necessary actions in this regard.
"The letter was sent on November 8," said Pranab Kumar Bhattacharya, ACC's public relations officer (PRO), adding that a three-member team led by ACC Director Mir Md Zainul Abedin Shebly prepared the report.
The Daily Star received a copy of the recommendations yesterday.
Citing the Customs Act, 1969, ACC said the customs office often does not coordinate between import and release of consignment of goods on time.
"Though there are legal bindings to call for bidding in case of the failure in releasing imported goods, customs office does not dispose of the matter on time," reads the report.
Though automated systems for customs data have been introduced around the world, it is yet to be fully implemented by the Bangladesh Customs, which increases the rate of corruption, it says.
In its recommendations, ACC said goods that have high revenue potential, should be released after thorough inspection by an NBR committee that will comprise members of the customs department.
Legal actions can be taken against
importers and officials if they are found involved in overestimation and underestimation, reads the letter.
In some cases, customs officials have been given discretionary power, which needs to be settled, it says.
Delay in assessment of goods gives a scope of corruption. Specific timeframe for it has to be fixed to curb corruption, reads the letter.
ACC submitted a joint report on possible corruption sectors in NBR's two wings - income tax and customs -on Novembers.
In its report, ACC mentioned 13 possible sources of corruption and made 23 recommendations to curb corruption in the income tax sector.
In a press conference last week, NBR Chairman Md Mosharaff Hossain Bhuiyan said he did not agree with the views of ACC. Various types of corruption within ACC could be found if anyone looks into its affairs objectively, he said.