NBR to sign deal with UStreasury department

Doulot Akter Mala The Tobacco Control Cell (TCC) of the National Board of Revenue (NBR) has moved to collaborate with the United States treasury department to monitor cigarette companies' production and sale of tobacco items. A team of the US Treasury is scheduled to arrive in Dhaka in October next to ink the deal and expedite the move. Officials said the government formed the tobacco control cell in the beginning of the current fiscal in an effort to collect and monitor tobacco related information. The cell, headed by first secretary of Value Added Tax (VAT) Dr. Md Shahidul Islam, was formed with an aim to control tobacco consumption through raising tax on it. "We have a plan to introduce a licencing system for the shops which are selling tobacco. The cell is also contemplating to prevent children below 18 years from purchasing and selling tobacco items," said a senior tax official. The cell is also monitoring whether the tobacco companies are selling tobacco items at the government fixed prices, he added. The cell will soon recruit a research officer and tax analyst with the support of World Health Organisation (WHO) to maintain and update database of tobacco production and consumption. The TCC is working for checking tax evasion in tobacco sector and increasing tax on it by phases, the official said. Work-plan of the cell includes monitoring production of raw tobacco, maintaining tobacco sale data of companies, monitoring companies selling tobacco items, number of labourers working in tobacco companies including bidi companies etc. The official said controlling tobacco consumption by imposing higher tax is the goal of the tobacco control cell. He said the number of bidi companies came down to 120 recently that might decline to 60 by next year. Revenue officials said the government has raised tax and value on tobacco significantly this year but tax on bidi remained the same due to pressure from lawmakers. Anti-tobacco campaigners said raising tax on tobacco items is much more effective than that of the increase in value. They said tobacco companies maximise their profits with the increase in the value by the government while upward revision of taxes can enrich the national exchequer.