Business Leaders Back VAT App for Broader Compliance
Business leaders have recommended the introduction of a 'VAT App' to simplify the VAT payment process and expand its coverage. This suggestion came during a discussion meeting titled “Business, Trade and Investment, Law and Order, Income Tax and VAT, Inflation, High Interest Rates, and Traffic Congestion” organized by the Dhaka Chamber of Commerce and Industry (DCCI) on Saturday, April 26.
The event, held at the Tokyo Convention Center, was organized to identify the challenges and necessary actions for local businesses in the Dhanmondi, Mohammadpur, and Adabor areas. Leaders from ten local business associations and representatives from various enterprises participated in the meeting.
In his welcome speech, DCCI President Taskeen Ahmed stated that the chamber has proposed several measures for the upcoming budget, including a rational reduction of the source tax rate, setting the VAT rate at a single-digit figure, introducing a 1% VAT rate for the informal sector, and launching the VAT App. He emphasized that by bringing overall revenue management under automation, a more business-friendly environment would be created while simultaneously increasing government revenue collection.
He further added, “To sustain the momentum of industrialization, it is crucial to simplify the loan acquisition process for entrepreneurs, introduce automation in import-export activities to enhance efficiency, and ensure timely and relevant policy support from the government.”
He also said, “Businesspeople are willing to pay taxes, but we do not want harassment. There is no alternative to ensuring the rule of law and its proper enforcement to maintain uninterrupted business activities at every level.”
Special guests at the event included Mohammad Mostafizur Rahman, Additional Director of the SME and Special Programs Department of Bangladesh Bank; Md. Milon Sheikh, Additional Commissioner of Customs, Excise and VAT Commissionerate, Dhaka (West); Md. Alamgir Kabir, Additional Deputy Police Commissioner (Tejgaon Division); and Tania Sultana, Additional Deputy Police Commissioner (Traffic, Tejgaon Zone), among others.
Md. Milon Sheikh remarked that the government could positively consider the proposal to introduce a mobile app to enhance VAT coverage and collection. He urged businesspeople to expand their knowledge of VAT instead of viewing it as a complicated subject and avoiding it.
During the open discussion session, participants included Mohammad Hiru and Faruk Ahmed, members of the Tokyo Square Shop Owners Association; Motahar Hossain, President of Rapa Plaza Shop Owners Association; Lutfur Rahman Babul, representative of Town Hall Market Association; Nazrul Islam, Joint Secretary of the Bangladesh BRICS Association; Md. Lutfur Rahman (Babul), President of the Mohammadpur Town Hall Market Business Association; and tax consultant Probir Kumar Pal.
DCCI's Senior Vice President Rajib H. Chowdhury and Vice President Md. Salem Solaiman were also present.
At the conclusion of the event, DCCI awarded new memberships to 27 organizations, with DCCI President Taskeen Ahmed handing over the membership certificates to the respective representatives.
