NBR to conduct drive against noncompliant home owners

The National Board of Revenue (NBR) will soon conduct a special drive against home owners who did not submit tax returns despite residing in municipal areas, said NBR Chairman Abu Hena Rahmatul Muneem yesterday.

"The government passed the laws two years ago, and online return submissions have become more convenient. But many homeowners still do not file returns," he said.

"There is no logical reason. We won't keep mum against the landlords. We have already prepared a list and will launch a special drive against them," stated the NBR head.

According to the law, every landlord or home owner must submit returns irrespective of whether their income is taxable or not.

Muneem made the comments at a pre-budget discussion in Dhaka with leaders of the e-Commerce Association of Bangladesh (e-CAB) who had raised the issue.

The e-CAB executives said they were experiencing problems preparing documentations for return submissions because people renting out warehouses to them were not providing proper documents.

In the same meeting, the NBR chairman also met with Bangladesh Jewelers Association (Bajus), and the Bangladesh Bread, Biscuit-O-Confectionery Prostutkarak Samity.

Bajus leaders demanded installation of electronic fiscal devices (EFDs) in 40,000 establishments of their members across the country.

The organisation also sought a 10-year tax holiday for the gold refinery industry.

Bajus also proposed to revise the value added tax (VAT) rate on sales of gold to 3 percent from the current 5 percent.

In response to their proposals, Muneem questioned why jewellers were not importing gold despite the existing duty structure being conducive.

"Although you (businesses) are not importing gold, you are making ornaments of gold. Where are your problems? Is it with duty structure or somewhere else," he asked, adding that everybody raises questions about the transparency of the gold industry.

In another pre-budget meeting, the Bangladesh Society for the Change and Advocacy Nexus (B-SCAN), a volunteer organisation, demanded to raise the tax-free income for differently abled people to up to Tk 6 lakh from existing Tk 4.75 lakh.

Besides, the organisation also demanded to raise their monthly allowance up to Tk 5,000 based on the type of disability.

"The government can offset this by raising tax on tobacco products," said Mir Mosharraf Hossain, joint secretary of the B-SCAN.

Bangladesh Garments Accessories & Packaging Manufacturers & Exporters Association (BGAPMEA) demanded to cut source tax from 1 percent to 0.25 percent for the next five years. They also urged to keep local raw materials free of VAT.

To ensure competitiveness, they demanded a ban on the import of garment accessories and finished packaging products.

Bangladesh Frozen Foods Exporters Association proposed to reduce source tax to 0.25 percent from 1 percent for frozen shrimp and other fish.

The organisation also demanded withdrawal of a 2 percent tax at source on direct purchases of shrimp and fish from frozen fish product exporting factories.

Among others, Bangladesh Furniture Industries Owners Association, Bangladesh Furniture Exporters Association, Bangladesh Terry Towel and Linen Manufacturers and Exporters Association, Bangladesh Plastic Goods Manufacturers and Exporters Association, and Bangladesh Stainless Steel Pipe Manufacturers Association informed the NBR of their demands.