Govt aims at boosting revenue collection amid recovery from Covid shocks

The government has projected an increase in revenue collection in the coming days as the country’s economy has started recovering gradually from the shock of COVID-19 pandemic.

According to an official document, the revenue collection for 2023-24 fiscal has been projected Tk 4999.7 billion while it will be Tk 4362,4 billion for the 2022-23 fiscal.

In the running fiscal of 2021-22 the revenue collection has been fixed at Tk 3890 billion.

The document said that on-going and the proposed reform plans undertaken by the government are expected to boost the domestic revenue reaching the target in the medium term.

The government has set revenue target of Tk 3890 billion for running 2021-22 fiscal, which is 10.7 per cent higher than that of the revised target in fiscal 2020-21.

The document mentioned that revenue collection needs to grow at a rate of 21.0 per cent (on average) from the actual collection in fiscal 2020-21 for achieving the revenue target in fiscal 2021-22.

Revenue mobilization is expected to be strengthened in the medium term when the economy would recover from the COVID-19 pandemic and the NBR reform programs are implemented fully.

The total target of the revenue collection for the running 2021-22 fiscal is Tk 3890 billion. Of the total amount tax revenue will contribute Tk 3460 billion. The share for the National Board of Revenue (NBR) is Tk 3300 billion.

The government projects to collect Tk 1049.5 billion from Income and profit taxes, Tk 379.1 billion from customs duties and Tk 1822.10 billion from VAT and supplementary duties in fiscal 2021-22.

The non-NBR tax will be Tk 160 billion with Tk 430 billion from non-tax revenue.

Income and profit taxes, customs duties, and VAT and supplementary duties require to grow by 9.4 per cent, 2 per cent, and 11.4 per cent respectively, on an average, from the revised collection in fiscal 2020-21 to achieve revenue targets in fiscal 2021-22.

For the 2022-23 fiscal, the total target of the revenue collection has been projected at Tk 4362.40 billion. Of the total amount tax revenue will contribute Tk 3916.5 billion. The share for the National Board of Revenue (NBR) is Tk 3718.7 billion.

The government projects to collect Tk 1202.1 billion from Income and profit taxes, Tk 434.3 billion from customs duties and Tk 2008.6 billion from VAT and supplementary duties in fiscal 2022-24.

The non-NBR tax will be Tk 197 billion with Tk 445 billion from non-tax revenue.

Income and profit taxes, customs duties, and VAT and supplementary duties require growing by 14.5 per cent, 14.6 per cent, and 10.2 per cent respectively, on average, from the collection in fiscal 2021-22 to achieve revenue targets in fiscal 2022-23.

The total target of the revenue collection for the 2023-24 fiscal is Tk 4999.7 billion. Of the total amount tax revenue will contribute Tk 4480.30 billion. The share for the National Board of Revenue (NBR) will be Tk 4253.4 billion.

The government projects to collect Tk 1378.2 billion from Income and profit taxes, Tk 510 billion from customs duties and Tk 2268.50 billion from VAT and supplementary duties.

The non-NBR tax will be Tk 226.9 billion with Tk 519.3 billion from non-tax revenue.

Income and profit taxes, customs duties, and VAT and supplementary duties require growing by 14.7percent, 17.6 per cent, and 9 per cent respectively, on average, from the collection in fiscal 2022-23 to achieve revenue targets in fiscal 2023-24.