Don’t harass compliant firms in tax drive: DCCI

As the country’s top revenue authority intensifies monitoring of tax deducted at source (TDS), it should ensure that compliant businesses are not subjected to unnecessary harassment, the Dhaka Chamber of Commerce and Industry (DCCI) said in a statement yesterday.

The call comes a day after the National Board of Revenue (NBR) said it has deployed special teams under its tax zones to monitor and verify source tax deduction and deposit.

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The revenue authority said it has empowered officials under Section 147(2) of the Income Tax Act 2023 to inspect business premises, examine account books and records, and access computer systems, including by breaking passwords or encryption where necessary.

Reacting to the development, the DCCI said if implemented properly, the NBR initiative would help boost revenue collection and widen the tax net.

The chamber, however, cautioned that compliant businesses should be spared unnecessary harassment during the exercise, and that businesses yet to achieve full compliance should be given adequate time and a fair opportunity to do so.

Both the revenue collection target and a business-friendly environment can be achieved simultaneously, DCCI President Taskeen Ahmed said, calling for constructive dialogue between the NBR and the business community.

The effective adoption of automation and digitalisation across the revenue administration is essential to widen the tax net and meet collection targets, he added.

Such measures would significantly reduce the compliance burden on the private sector while making the tax system more efficient, transparent, and business-friendly, he said.