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CSOs demand VAT abolition as a poverty reduction strategy

Published : Thursday, 18 January, 2024 at 12:00 AM  Count : 227
Led by Equity and Justice Working Group (EquityBD), 12 civil society organisations on Wednesday demanded abolition of, what they called regressive tax system, including Value Added Tax (VAT) to remove severe income inequality among the people of different countries of the world, including Bangladesh. The demand was made at a rally in front of National Press Club organised by Equity and Justice Working Group (EquityBD).

Demanding VAT abolition, 12 civil society organisations held the rally in solidarity with the global civil society network Fight Inequality Alliance on the eve of the 54th Conference of the World Economic Forum  with the slogan "Tax the rich, not the poor". Bangladesh Krishok Federation, CPRD, Sundarbans and Coast Protection Movement, Online Knowledge Society, ASOD, Water Keeper Bangladesh, Trinamool Development Organisation, CSRL, JSKS, Coast Foundation and Bangladesh Climate Journalists Forum participated in the rally.

Mostafa Kamal Akand, Director of Coast Foundation, moderated the Human Chain, while ASM Badrul Alam of Bangladesh Farmers Federation presided over it.

The speakers made a number of recommendations, including to payment of taxes and revenue, the responsibility of the rich only. They called for introduction of a balanced and fair taxation system through legislation and prevention of tax evasion.

They also called for holding research, investigation and other effective measures to prevent capital flight and profit repatriation. The tax burden on the poor and underprivileged should be eased by gradually reducing all types of indirect taxes, including VAT, they said.

Syed Aminul Hoque, Secretary of EquityBD, said that the ongoing conference of the World Economic Forum (WEF) in Davos, in fact, works for the multinational profiteering companies engaged in tax dodging and money laundering from poor countries.

"In this context, we need a global tax network under the UN framework where poor countries can protect themselves against tax dodging, and thus, money laundering will also be stopped. We expect our Prime Minister to convey this message at the 54th Annual Conference of WEF.

Pradip Kumar Roy of Online Knowledge Society said that Bangladesh has often been praised for standing up for poor people and less developed countries at international conferences. We want Bangladesh to become the voice against discrimination and for poverty alleviation at WEF conference.

ASM Badrul Alam of Bangladesh Krishok Federation said that all indirect taxes, including VAT, should be gradually reduced to ease the tax burden on the poor, and emphasis should be placed on bringing all industrialists and corporations under direct tax to increase the governments revenue earning.



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