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Govt to double size of Customs, VAT wings

Tuesday, 9 November 2010


Doulot Akter Mala
The Finance Ministry has approved the long-awaited expansion proposal of the customs and VAT departments, which will double the size of manpower and field offices.
In a recent order, the ministry has given the revenue board permission to open another 146 circle offices, 56 supervisory offices, four new customs, excise and VAT commissionarates.
Fresh recruitment in the board's two major wings remained suspended since 1984 following legal tangles.
A total of 10 new customs and VAT offices will be established in India, China, Singapore, South Korea, Dubai, Japan, Italy, Malaysia, Thailand and New York under the new expansion plan. Currently, a single office of customs and VAT is functioning in Brussels.
The National Board of Revenue (NBR) will recruit 2484 new inspectors, appraisers, preventive officers and 281 office assistants, 125 sub-inspectors and 788 Sipoy.
The revenue officials will be provided with more logistic support including cars, microbus, motor cycle, copier, computer and its accessories to facilitate the work of tax officials.
A total of 2068 new computers will be installed in the customs and VAT offices against only 515.
However, the ministry turned down the proposal to open a separate survey office and ICT office and set up another appellate tribunal. The proposal was pending for two years.
Revenue officials said an order is expected after 'secretary-level' committee okays the matter. They are hopeful about the expansion plan by December.
The Finance Ministry also approved the NBR proposal on the merger of two customs houses---export and import and set up a single office named 'Customs House Chittagong'.
It has also asked the board to upgrade the existing inland container depot (ICD) by turning it into a full-functional customs station.
Four new administrative offices of customs, excise and VAT commisionarate wing will be set up within Dhaka (east and west), and in Comilla and Rangpur.
The number of customs and VAT commissioners will be raised to 33 from 21, while additional commissioners to 44, joint commissioners to 56, deputy commissioners to 138 and assistant commissioners to 259.
Customs and VAT officials said the department will be almost empty over the next three to four years if the new appointments are not made immediately.
"Overall revenue collection depends largely on the two departments. Acute manpower shortage will pose a serious threat to achieving the revenue target set for the current fiscal," a senior official of NBR told the FE Thursday.
In the current fiscal, the government has projected highest growth in VAT collection, followed by income tax and customs.
According to the expansion proposal, nearly 37 per cent of the posts at the customs and VAT department are vacant, while 10-12 officials go into retirement each month.
The workload of the departments has increased significantly with the expansion of trade activities, said the proposal, adding the 1990s organogram is "insufficient for running the activities properly".
In the proposal, the NBR urged the government to end the legal complexity with the "Mujibnagari officials" as soon as possible for the fresh recruitment.