The National Board of Revenue (NBR) could not achieve the target of revenue collection set for the first eight months of the current fiscal year.
The revenue collection during the period from July to February in the FY 2018-19 fell short of the target by Tk 360 billion.The government had set the target at Tk 2.96 trillion for the entire fiscal year.
The revenue collection, however, grew more than 7 percent in the eight months compared to the last fiscal year, an unofficial provisional data of NBR said.
The revenue earning growth is the lowest in the last few fiscal years, it said.
NBR sources said despite good performance of the economy in all indicators, the revenue collection performance was poor.
They said the collection has been hit by the relaxation of tax and duty for ready-made garments and some other products and services.
However, the revenue board has taken different steps, including strengthening monitoring and expediting dispute settlement process, to achieve the target in the remaining months of the fiscal year.Recently, NBR Chairman Md Mosharraf Hossain Bhuiyan has held separate meetings with income tax, VAT and customs wings to review the progress of revenue collection.
According to the meeting sources, the NBR chief expressed anger over the revenue earnings.
He said the NBR reputation has severely been damaged due to the failure in revenue collection as per the target.
The NBR chairman warned that he don’t take responsibility of this failure in revenue earning. It is the responsibility of all NBR wings.
He hopes that there is still a chance to work well in the rest of the period. Otherwise, everyone would be liable for the failure.
Finance Minister AHM Mustafa Kamal had a meeting with revenue officials and gave directives to achieve revenue target at any cost.
Officials said the revenue collection growth was less since the target set for the current fiscal year was unrealistic and ambitious.
They, however, fear that the ambitious target for tax revenue collection might not be achieved this year.
Meanwhile, the ministry is likely to cut the revenue collection target to Tk 2.80 trillion.
Earlier, the NBR chairman said on aggregate, tax revenue collection may stand at Tk 2.50 trillion by the end of this fiscal year.