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Lenin Rahman:
Experts expressed their deep concern about the revenue collection shortfall, imposing hardship on the fiscal management and forcing the government in borrowing from the internal and external sectors.
On the other hand, the poor revenue collection is going against the loan condition of the IMF worth amount us$4.7 billion. The multinational money lender agency imposed a condition to increase the revenue collection share in the ratio of GDP.
As a result, the government is heavily dependent on loan money to implement the annual development program (ADP) as per the national budget.
According to a media report, the National Board of Revenue collected Tk 2,80,645 crore in the form of income tax, value-added tax, and customs duty in the July-May period of this financial year 2022-23, according to NBR provisional data.
The revenue board will have to collect Tk 89,355 crore in June to meet the FY23 tax collection target of 3,70,000 crore.
According to the NBR data, the value-added tax wing of the NBR collected the highest, Tk 1,08,000 crore, followed by the income tax wing Tk 88,960 crore and the customs wing Tk 83,685 crore in July-May of FY23.
In June, the VAT wing has to collect Tk 28,900 crore to meet the annual target of Tk 1,36,900 crore.
The Income tax wing has to collect Tk 33,140 crore to achieve the target of Tk 1,22,100 crore and the customs wing has to collect Tk 27,315 crore to reach the annual target of Tk 1,11,000 crore. In the July-May period, the NBR achieved a 76-percent revenue target with 5.90 percent growth over the previous financial year 2021-2022, according to the provisional data.
Revenue collection growth was 12 percent on average in the past five years.
Talking to the Daily Tribunal, Mirza Walid Shipon, Jubo Economist Forum has underscored the need for increasing the efficiency of the National Board of Revenue (NBR) officials to meet the revenue collection target for maintaining the steady growth of the country.
The revenue collection shortfall of the National Board of Revenue (NBR) is forcing the government to borrow from the external sector, increasing the state burden of foreign loans as well as hindering the economic growth of the country.
In the proposed budget, the government has set the revenue collection worth Tk 4.30 trillion by the NBR which is an ambitious target, mentioned Mirza.
In recent times, the government is highly seeking foreign loans to meet the budget deficit and to implement development programs.