The revenue collection target set for the current fiscal year is achievable but evasion and payment of less than the actual amount of tax keep the collection lower, said the head of the National Board of Revenue yesterday.

"The target we set is achievable given the existing economic activities in the country. But, the problem is that the tendency to pay less or no tax

is more intense in our country," NBR Chairman Md Mosharraf Hossain Bhuiyan said.

His comments came at a seminar on Finance Act 2019 vis-a-vis the budget for fiscal 2019-20 and the new VAT policy and its implementation process, organised by the Institute of Chartered Secretaries of Bangladesh at the Samson H Chowdhury Centre of Dhaka Club.

The NBR has been assigned to collect Tk 325,000 crore in tax this

fiscal year and the target is 40 percent higher than the actual collection of fiscal 2018-19.

The higher target was set considering the accelerating economic activities in the country.

"Economic activities have increased a lot. A higher number of jobs has been created. Industries also registered growth. Considering all these factors, more tax should come," Bhuiyan said. The economy grew at 8.13 percent last fiscal year and the government has targeted 8.20 percent growth this year.

Bhuiyan called upon chartered secretaries to help the government attain the revenue goal and urged them to convey the message to owners that a raid by taxmen would paint a bad image for the firms.

He suggested shunning the practice of maintaining two books of accounts.

Only 1 percent of the total population pay tax, Bhuiyan said. The NBR aims to increase the number of regular tax filers to 1.0 crore by 2021 from present 20 lakh. "We have started a survey in this regard and we have also taken a step to do administrative reforms to increase manpower and the number of offices."

Citing the new VAT law, the NBR chairman said there was an attempt to block the implementation of the law this year too using the excuse that it would pile pressure on the consumers.

To reduce the pressure, provisions of the VAT law have been relaxed. "We will discuss with businesses if any problem arises during the implementation phase."

The VAT-free turnover ceiling has been fixed at Tk 50 lakh annually and it is the turnover of a small shops such as betel leaf seller.

"If any shop in a market claims this amount, that will not be accepted," Bhuiyan said, adding that a problem will arise only when if there is collusion between dishonest traders and NBR officers.

The electronic fiscal device, which

is being procured, would be given to businesses this fiscal year, he added.

The VAT law is online-based and registration, return submission, refund claim, payment and appeals would be done online as well, said Abdul Mannan Shikder, NBR member for VAT policy.

ICSB Council Member Md Azizur Rahman said the enactment of the VAT Act 2012 through the budget will increase the government revenue collection and will facilitate in expanding trade and commerce in the country.

Kanon Kumar Roy, member for tax policy of the NBR, Mohammad Sanaullah, president of the ICSB, and Mohammad Asad Ullah, chairman for professional development subcommittee at the ICSB, also spoke.