Civil society representatives demanded to directly include the income taxpayers in the proposed Universal Pension Scheme (UPS), which is going to be announced in the upcoming national budget for the 2022-23 fiscal year.
They also recommended the government take their opinion to design an effective and sustainable pension scheme. The seminar was organized by the Coast Foundation in Dhaka National Press Club.
Dr Quazi Kholiquzzaman Ahmed chaired the event. The seminar was moderated by the Chairman of Coast Foundation Dr Tofail Ahmed.
Member of Parliament Barrister Shamim Haider Patwari, Former NBR Chairman Md Abdul Majid, Additional Secretary of General Economic Division (GED) Mahabubul Hoque, Executive Director of Bangladesh Unayan Parishad Dr Nilufar Banu, Dr Mesbahuddin Ahmed from Jatiya Sramik Jote, Executive Vice President of ASA Fazlul Hoque, Executive Director of SBF Asgor Ali Sabri and many others participated and spoke in the seminar. The keynote was presented by Md Ahsanul Karim from Coast.
In the keynote presentation, Ahsanul Karim said that the prime minister has announced the UPS, which was welcomed by senior citizens. “But the approach of UPS is somehow commercial instead of focusing on a right based approach, while Bangladesh is constitutionally a welfare state,” he added.
He placed a few demands like including the income taxpayers directly in the UPS as they are key resource mobilizers to develop the country and have the right to get the benefit.
Former NBR Chairman Md Abdul Majid said: “Our tax system is not working with a focus on welfare. That’s why it hardly serves the people’s rights. The government has introduced the UPS, which is good but needs deep analysis and proper structuring to make it effective.”
He also said that the existing tax system needs revision to directly benefit people so that they are encouraged to pay more taxes.
Meanwhile, Barrister Shamim Haider said that the proposed UPS is like an investment instrument scheme that needs revision for shaping an institutional frame to serve all levels of people based on their economic status. The revision must be done before submitting it to the cabinet meeting.
Dr Tofail also said that the government employees get their benefits more quickly than the people-centered welfare schemes as they are controlling the policy frame.
The UPS is now one of the options that can benefit the people who pay taxes both directly and indirectly. He recommended the government bring the “Zakat Fund” under a regulatory frame in mobilizing substantial resources for UPS through paying tax incentives.
Mahabubul Hoque said that the 8th Five-Year Plan has adopted the UPS, where 50% will be from tax financing. “We have a plan to increase the Tax-GDP ratio by at least 12%. If we can be successful on this then additional money will support us to finance the UPS,” he added.