NBR struggles to mobilse targeted tax

The tax authority found it challenging to mobilise the expected level of tax despite devising a number of reform and administrative measures in 2015.
The National Board of Revenue (NBR) is moving ahead with a Tk 1.76 trillion revenue target for the fiscal year (FY) 2015-16, up by 30 per cent from the last FY.
Although the tax revenue collection faced a Tk 57.99 billion shortfall in the July-September period, it regained growth in the month of November.
In the July-November period, it posted 14 per cent growth compared to that of the corresponding period last year.
Average revenue collection growth had been 15 to 20 per cent since Independence but the NBR achieved 17.28 per cent growth in the FY 2014-15.
In 2014-15, the revenue board collected Tk1.37 trillion, exceeding its target set at Tk 1.35 trillion.
Talking to the FE, NBR chairman Md Nojibur Rahman, also secretary to the Internal Resources Division (IRD), said the revenue board surpassed the tax revenue collection target for the last fiscal overcoming the challenges.
"We have institutionalised good governance, built strong partnership with stakeholders and ensured best use of information and communication technology in 2015," he said.
The enforcement of the transfer pricing law is among the significant tax measures in 2015. With the law, the taxmen brought the taxpayers' global transaction under its surveillance.
Apart from this, the taxmen held several taxpayer motivation programmes and participatory dialogues with businesses and chambers in 2015.
The tax authority held two income tax fairs for this calendar year to encourage and make the people aware of the payment of income tax.
In 2015, some 757 industrial units came under the purview of 1.0 per cent green tax for environment pollution.
The environment protection surcharge, imposed through the Finance Bill-2014, was made effective from February 22, 2015.
The NBR reduced the corporate tax for the banks and financial institutions to 40 per cent from 42.5 per cent in the budget for the current fiscal year.
The board also took some significant moves to realise a large amount of revenue stuck up in court cases and met with the Chief Justice to expedite the cases.
There are around 24,572 court cases, involving Tk 309.46 billion in revenue in the forms of income tax, customs duty and value-added tax.
The amount is around 17.55 per cent of the country's revenue target in the current fiscal year.
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