88pc shops evade VAT

Staff Correspondent

29 May, 2021 12:00 AM printer

The VAT Audit, Intelligence and Investigation Directorate has found that around 88 percent shops don’t pay Value-Added Tax (VAT).

The findings came up on Friday after the directorate surveyed 1024 shops of eight markets in Dhaka, Narayanganj and Savar.           

Sources at the VAT Audit, Intelligence and Investigation Directorate said 42 officials dividing into three teams led by deputy director Tanvir Ahmed, assistant director Munawar Mursalin, and assistant director Malekin Nasir Akanda surveyed different shops of Narayanganj, Dhaka and Savar respectively.

They visited Mark Tower, Samabay New Market, Sayem Plaza and Al Hakim Center in Narayanganj, City Center in Savar and Uttara’s Tropical Alauddin Tower, RAK Shopping Complex and Badda’s Suvastu Nazar Valley in Dhaka.

Among the 1024 shops they surveyed, only 120 were registered. Some 904 shops of these markets don’t pay VAT.

Among the 120 registered shops only 45 pay VAT more than Tk 5000 or more per month. Vat officials found that this amount is not acceptable compared to the expenditures of these shops which include shop rent, salary of employees, electricity bill, and profit.

Officials said most of these markets were built more than 10 years ago but they didn’t show interest to be registered.