Electronic cash devices to be rolled out on 25 Aug
The National Board of Revenue is finally going to roll out the much-talked electronic fiscal devices (EFDs) as part of its effort to curb evasion of value-added tax paid by customers while purchasing goods and services.
The revenue collector aims to install 100 EFDs on a pilot basis at stores and businesses in Dhaka and Chattogram cities to see the results before embarking on a nationwide rollout.
Some 80 EFDs would be installed at shops in Dhaka and 20 in the port city. This will be inaugurated on August 25, according to Md Jamal Hossain, member for VAT implementation at the NBR.
"After the launch, we will gradually install the devices throughout the country. The EFDs will be instrumental in preventing VAT evasion. None will be able to dodge machines."
The EFDs will be provided for free to 25 types of businesses, including shops, hotels, restaurants, sweet stores, clothing, furniture and electronics outlets and jewellers.
"All they have to do is to use the device to record sales," Hossain said.
The NBR had decided to set up the EFDs and sales data controllers (SDCs) three years ago after its previous bid to enforce the use of electronic cash registers (ECRs) failed mainly because of an absence of any electronic system to monitor transactions at shops through the devices and ensure that VAT—the biggest source of revenue for the state—is coming to the coffer properly.
Now, the tax administrator said the EFDs will be connected to a central server at the NBR and will generate real-time data of sales, ensuring transparency and curbing the scope for evasion -- which is rampant.
Officials said the NBR completed the preparation and planned to inaugurate the e-device on the occasion of the birth centenary of Father of the Nation Bangabandhu Sheikh Mujibur Rahman.
But it had to postpone the plan due to the Covid-19 outbreak and subsequent shutdown aimed at taming the virus.
The government has approved the purchase of 100,000 EFDs for Tk 316 crore at the beginning of the fiscal year from a consortium of Shenzhen-based SZZT Electronics and local Synesis IT.
The consortium was asked to supply 10,000 EFDs initially.
Shops with an annual turnover of more than Tk 50 lakh will be asked to use the EFDs and SDCs initially, said Hossain.
The NBR plans to buy more of the devices after the successful installation of the first 100,000 EFDs.
There will be a huge transformation when all stores start using the e-devices, said Hossain.
"We have to move gradually taking businesses on board."
The NBR official said the EFDs will be helpful for firms to know the actual sales of their stores and branches and curb the scope of leakages.
There will be incentives for the customers so that they feel encouraged to receive EFD-generated receipts.
There will be quick response (QR) code on the receipt and mobile phone number of customers will be recorded at the NBR's server when they scan the code.
The NBR will hold lottery three to four times every year to award people for using EFDs while buying goods and services.
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