Such large tax revenue losses clearly indicate that some strategic reforms and change is required. Therefore, it is advised that policy-makers tighten up the scope of exemptions, tax holidays, and unnecessary incentives. The entire mentality and toxic culture within the revenue collection system must also be rooted out and changed. Such use of technological methods would be of huge benefit to not only income tax collection, but also to customs, duties, and VAT. A nation’s citizens should be viewed as valued customers by the tax revenue collection authorities instead of possible targets or victims to be identified and then charged for more money.

Source: Dhaka Tribune December 08, 2020 17:15 UTC