Tax receipts fell behind target by Tk 6,343cr in July-Sept
Revenue collection by National Board of Revenue (NBR) fell short of target by Tk 6,343 crore in the July-September period of the current fiscal year 2021-2022, NBR data shows.
The revenue board managed to collect Tk 58,351 crore against the quarterly target of Tk 64,695 crore. However, the collection in the first quarter of the ongoing fiscal year grew by 16.72 per cent compared with that in the same period of the previous fiscal year, the data said.
Customs duty, value-added tax (VAT) and income tax collection grew by 21 per cent, 16.45 per cent and 12.74 per cent respectively in the period.
VAT collection was the highest at Tk 21,092 crore, in the period followed by customs duty at Tk 19,309 crore and income tax at Tk 17,949 crore in the period.
The income tax suffered a collection shortfall of Tk 1,978 crore, followed by VAT shortfall at Tk 1,947 crore and customs shortfall at Tk 2,417 crore compared with their respective targets for the period.
The average tax revenue collection growth was 11.36 per cent in the last five years. Customs revenue in the July-September quarter of the fiscal year saw an impressive growth as the global commodity prices increased in the period, said NBR officials.
According to Bangladesh Bank (BB) data, the value of imports as measured by settlements of letters of credit surged by 30.62 per cent to $5.17 billion in August 2021 from $3.96 billion in the previous month.
The opening of import LCs also increased by more than 48 per cent to $6.29 billion in August from $4.25 billion a month ago.
The VAT collection also achieved a significant growth in the period as the consumption of goods increased following the resumption of economic activities and domestic tourism.
The NBR officials said they were working on enhancing their monitoring capability and introducing several automation systems to ease tax procedures to boost the revenue collection.
The officials said the collection of tax at source also needed intensive monitoring as many tax deducting authorities refrained from depositing tax properly that they deduct from the service seekers.
In the previous fiscal year 2020-2021, NBR's revenue collection was poor due to the Covid outbreak, they said.