National Board of Revenue chairman Abdur Rahman Khan said that the tax on taxpayers who had been enjoying the reduced rate will gradually increase.
He also said that now was the time to expand the tax rate, and the NBR has to phase out the facilities of tax exemptions. 鈥楨veryone must pay tax鈥�, he said.
He said this while speaking at the pre-budget discussion with several associations and trade bodies at the NBR office in the capital on Thursday.
Abdur Rahman Khan also said that the government was working to reduce the harassment of the taxpayers and make it fully automated.
鈥榃e know that the main obstacle is the calculation, legal and rules related knowledge and so on. But if we can once make it fully automated, these issues will be abolished,鈥� he added.
He also urged the businesses to assist the government in expanding the tax net.
He revealed these while the trade bodies presented their budget proposal for the upcoming fiscal year 2025-26 national budget.
In their budget proposal, the Bangladesh Textile Mills Association urged the government to impose a ban on importing yarn through land ports.
They also urged reducing the source at tax to 0.5 per cent from the existing 1 per cent and the raw material supplying tax to 0.5 per cent from the existing 3 per cent.
They proposed a VAT exemption on waste-based recycled fiber production and supply for yarn manufacturers, reducing the current 15 per cent rate.
They also demanded abolishing the advance tax on importing equipment and other items, which is currently 3 per cent and 5 per cent, respectively.
BTMA urged the government to exempt VAT on importing ETP materials like membranes, blowers, etc.
They also proposed to include electric panels, solar systems, and photovoltaic cells as capital machinery and impose a uniform custom duty of 1 per cent.
Bangladesh Garment Accessories and Packaging Manufacturers and Exporters Association also demanded reducing source at tax to 0.5 per cent from the existing 1 per cent.
They also appealed for reducing the source tax on profit and interest in the companies鈥� savings and fixed accounts to 10 per cent from the existing 20 per cent.
They also sought the opportunity for the sister concerns to use the raw materials imported by the same group.
Bangladesh Terry Towel and Linen Manufacturers and Exporters Association urged the government to abolish the 31 per cent and 37 per cent tax in importing 10 and 20 count yarn respectively.
They also demanded reducing the tax at source of the terry towel and home textile sector to 0.5 per cent from the existing 1 per cent.
Bangladesh Plastic Goods Manufacturers and Exporters Association urged the government to reduce the import duty to 3 per cent from existing 5 per cent in importing 14 basic raw materials of the plastic sector.
Bangladesh Frozen Foods Exporters Association proposed reducing advance income tax to 0.25 per cent from the existing 1 per cent.
They also proposed exempting 10 per cent advance income tax on cash incentives.
The trade bodies urged the government to introduce bonded warehouse facilities for the manufacturers other than the readymade garment sector.
NBR chairman Abdur Rahman Khan hinted that his office was working to allow partial bonded warehouse facilities for the other sectors and hoped to announce this in the upcoming budget.