::: Star Weekend Magazine :::

Tax Returns Made Easy

Tamanna Khan

2010 could be marked as the Enthusiast Tax Year for Bangladesh, looking at the huge response at the tax fair arranged by the National Board of Revenue (NBR). For years now, Government has been trying to increase its tax revenue through a number of initiatives, sometimes even providing controversial incentives like turning black money white. However this year's steps have beaten it all.

Many preferred the tax fair to paying tax lawyers commission for the same task they themselves could do.

In line with the present government's mandate of digitalising Bangladesh, NBR has made available a tax calculator in their website where once the correct figures are inserted the system automatically calculates the amount of tax that needs to be paid. Plus the taxpayers of Zone-8 were able to submit their tax online. “However, it is too early to comment on the success of this online system as the time for submitting tax return has been extended to October 7, 2010,”says Bashir Uddin Ahmed, member Tax Administration and monitoring. He is nevertheless hopeful that taxpayers of this zone being professionals like doctors, engineers and lawyers will make good use of the system. Depending on the success of the Zone-8 pilot project NBR will launch online payment system at other zones.

However, the most effective step was the income tax fair held at Dhaka and Chittagong from September 26 to September 30, 2010. From 10 am in the morning to 6 pm in the evening, tax officials as well as bank officials of Janata and Sonali bank continuously served the taxpayers who gathered at the Institution of Diploma Engineers' hall at Dhaka and at the gymnasium of M A Aziz Stadium, Chittagong.

Separate counters were available for elders, physically challenged and women.

The biggest attraction of the fair was that at one single venue all aspects related to submission of income tax return was available. Both the TIN (Tax Identification Number) and return forms were offered for free, booklets on income tax rules and how to fill up the forms were also there as part of the ongoing tax awareness program of NBR. Besides the books special help desk were set for taxpayers' general queries and those related to filling up the form. Separate counters were available for elders, physically challenged and women. Internet and photocopy facilities were given so that taxpayers could calculate their own tax and make necessary copies of the documents. The most important aspect was the presence of the bank booths at the same venue.

The whole atmosphere was so friendly and helpful that people did not mind standing in long queues to pay their tax. Many preferred the tax fair to paying tax lawyers commission for the same task they themselves could do. For some the fair meant not having to bribe officials for special attention like speeding up the process or getting served before others.

From 10 am in the morning to 6 pm in the evening, tax officials as well as bank officials of Janata and Sonali bank continuously served the taxpayers.

NBR is happy with the turnout at the fair. “Returns submitted at the fairs of Dhaka and Chittagong amounted to TK 52,440 and tax collection amounted to TK 136,936,059, says Bashir Uddin. Compared to previous year, total return submitted till September 30 is 76.5 percent more and tax collection has almost doubled from last year's Tk 438.95 crore to Tk 898.4 crore. Bashir Uddin says that altogether over 18,000 new TIN were issued at the Dhaka and Chittagong fair. NBR has plans to hold such fairs at other district towns of Bangladesh next year depending on the resources and physical facilities available. Interestingly, it was the new and young taxpayers who gathered at the fair, indicating the new generation's awareness about citizen’s responsibility. At present only a mere 1.3 million people regularly pay tax out of a population of 150 million. This year's turnout at the fair projects a ray of hope on government's revenue earning from within the country in future.

Photos: Sk Enamul Haq