Finance Adviser Dr Salehuddin Ahmed has emphasised that many of the external benefits currently enjoyed will no longer be available following Bangladesh's graduation from the Least Developed Countries (LDC) category.
"Subsidies provided to bolster industrial protection and export capacity would gradually diminish," he said during an event marking VAT Day, held at the Revenue Building in Agargaon, Dhaka on Tuesday (10 December).
During the occasion, the adviser underscored the importance of ensuring both direct and indirect taxpayer services.
"Not everyone will pay the same tax rate; contributions must align with individual income levels. Tax relief has already been extended for Hajj pilgrims. However, without VAT collection, it will be challenging to provide such services. Ensuring service delivery remains the government’s duty," he noted.
Finance Adviser Salehuddin Ahmed appealed to all citizens to fulfil their VAT obligations, warning, "Evading taxes today will deprive future generations of essential services. While the benefits of VAT may not be immediately evident, its indirect advantages will undoubtedly manifest. Therefore, everyone must contribute through VAT and income tax."
Meanwhile, NBR Chairman Md Abdur Rahman Khan ruled out any immediate scope for reducing VAT rates.
"There is room to increase VAT collection, and efforts must be made to enhance it. However, in many instances, even when citizens pay VAT, some businesses fail to deposit the amounts properly. This requires significant work. Automation is being introduced to simplify the process, allowing taxpayers to fulfil obligations from home without needing to visit tax offices," he explained.
Addressing the issue of national debt, the NBR chairman stressed the importance of reducing loans to ease the burden on future generations.
"To achieve this, we must ensure compliance with VAT and tax regulations. Additionally, remittance warriors contribute significantly to nation-building through the foreign income they send," he said.
Highlighting the need for vigilance in governance and anti-corruption efforts, he remarked, "We must engage the 34 crore eyes of the country's 18 crore people to reform the state and combat corruption effectively."
