The Metropolitan Chamber of Commerce and Industry (MCCI) has proposed introducing a mobile app-based one-page digital tax return filing system to expand the tax net, while urging that the upcoming budget be made “supportive” rather than “punitive.” The organization has also proposed introducing a symbolic minimum tax of 100 or 1,000 Taka per year to bring new taxpayers and the informal sector under taxation coverage.
As part of digital tax system reforms, MCCI also recommended replacing separate platforms for income tax, VAT, and customs with an integrated “Unified Taxpayer Profile,” along with simplifying the VAT structure, automating input tax credit, and introducing online hearings in appeals and tribunals.
These proposals were presented on 25 April, Saturday during the pre-budget discussion for the 2026–2027 fiscal year at Rajshwa Bhaban.
Explaining the rationale for the symbolic tax, MCCI President Kamran T. Rahman said, “Currently, although there are more than 1 crore e-TIN holders, less than half regularly submit tax returns. This is a major weakness in our tax structure. Despite repeated requests from the chamber, the reflection in the budget has been negligible. Nearly 90 percent of the country’s economy depends on the informal sector. Therefore, without bringing this large population into the tax net in a meaningful way, increasing the national tax-to-GDP ratio is practically impossible.”
“In this situation, to reduce tax fear among new taxpayers and include the informal sector, we are proposing the introduction of a ‘symbolic minimum tax’ of only 100 or 1,000 Taka per year, along with a ‘one-page digital return’ filing system through a mobile app,” Kamran added.
He also stated that the global economic uncertainty, high inflation, low GDP growth, high interest rates, and dollar shortage have placed domestic industries under severe pressure. Small and medium entrepreneurs are particularly affected. In this context, he stressed the need for business- and investment-friendly measures in the upcoming budget.
Regarding the simplification of the PSR system, he said that mandatory PSR requirements in 39 cases are creating complications in business operations and hindering ease of doing business. He urged that the system be simplified, rationalized, and made digitally verifiable.
At the same time, National Board of Revenue (NBR) Chairman Md. Abdur Rahman Khan outlined various plans to expand the tax net. He said the income tax return filing system has now been fully moved online and has been made easier for general taxpayers. Currently, around 44 lakh e-returns have been submitted, while paper returns are less than 3 lakh, indicating the growing popularity of the online system.
He further stated that in the e-return system, tax calculation, rebates, and taxable income are automatically determined, reducing errors and taxpayer harassment.
The NBR Chairman said that if the e-TDS (withholding tax) system is fully digitized, income earned from various sources will be automatically included in taxpayers’ returns, making the process even simpler.
Commenting that “the highest tax evasion occurs in the tobacco sector,” the NBR Chairman said plans are being made to reduce leakage there. He added, “At this moment, our biggest leakage is in tobacco. What we hear is that compliant taxpayers and non-compliant taxpayers’ market share is not reflected in our revenue.”
“So we will start with tobacco. We will completely change the color of the banderoles used on tobacco products, and also change the method of adhesive application. If we introduce air code, which is modern, or QR code, we can bring the entire system under control. Then both our tax base and VAT base will increase,” he said.
He also indicated that although the current 83 percent supplementary duty, VAT, and health development surcharge on cigarettes will not be increased, prices may still rise. “Revenue from tobacco must increase. Tobacco must be made more costly. But the tax rate of 83 percent will not increase,” he added.
DBTech/MAR/MUIM/OR
