The income tax collection stood at around Tk73.1bn in the first quarter of the current fiscal year a period when collection of tax traditionally goes slow.
Officials blamed recent political situation as the main reason for the shortfall.
The tax fell by Tk2.8bn 3.7% short of the target of Tk75.9bn for the July-September period of 2013-14, officials at the National Board of Revenue said on Tuesday. Each of the three months witnessed shortfall.
Out of the 31 income tax zones, only 12 achieved their respective target and 19, including the Large Taxpayers Unit, failed.
In September, the revenue body received only the income tax figures. The data on value added tax and import duties takes some more time to compile.
In July and August, the NBR faced a shortfall of Tk4.71bn in import duties as it collected around Tk53bn against the target of over Tk57bn.
The Value Added Tax witnessed Tk2.02bn shortfall to Tk57bn against the target of over Tk59bn.
The other taxes witnessed Tk720m shortfall by collecting over Tk940m against the target of Tk1.67bn.
“The first two or three months of any fiscal year generally go slow,” said a senior official. “The political instability had a negative impact on the overall economy as it hindered smooth business operations, resulting in a slowdown of export and import activities and affecting the revenue.”
He said the country witnessed several strikes during the last three months, affecting smooth operation of business.
However, he expected the state of revenue collection would be improved in the coming months.
“We have already instructed the field offices to identify new potential sectors and bring the tax evading individuals and businesses under the tax net,” he said. “Reforms in many administrative duties have already been done.”
If the initiatives work properly, the revenue collection would be increased, he said.
In 2012-13, revenue collection grew by over 14% to Tk1.09tn against the target of Tk1.12tn. For the current fiscal year, the revenue collection target is set at Tk1.36tn, with a growth target of 21%.