To say that the latest data from the National Board of Revenue (NBR) regarding tax return filings for fiscal year 2025-26 is alarming would be an understatement.
That only 38% of registered Taxpayer Identification Number (TIN) holders actually submitted their returns is truly disappointing. Bangladesh has long had a compliance crisis when it comes to taxation, and it is one that has undermined the very foundation of our national development.
However, to see filing rates plummet to a multi-year low despite multiple deadline extensions is a clear signal that our attempts at fixing our tax culture are failing.
Part of the issue is that for too long, we have operated under a flawed paradigm where TINs are viewed as mere "access cards" for services rather than a commitment to civic duty, and the blame here falls largely on the authorities concerned, especially the NBR, for perpetuating this approach.
The deeper, more insidious issue is the lack of a genuine reason for people to believe that not only should they pay taxes, but that their tax money would actually be put to use.
Our fiscal policy currently relies heavily on indirect taxes - VAT and customs duties - which disproportionately burden ordinary citizens. Meanwhile, those with the capacity to contribute significantly to the national exchequer often remain outside the net, protected by weak enforcement and a lack of transparency.
Until we break this present scenario, imagining a future where we successfully increase the number of people filing their taxes appears out of reach.
Transformation requires a shift, and it starts with the NBR pivoting from being a collection agency to a facilitator of compliance, simplifying processes while simultaneously closing the loopholes that permit evasion.
A nation that aspires to be a modern economy cannot survive on the tax contributions of a shrinking minority. It is time to treat tax compliance as an essential pillar of nation-building, and not another bureaucratic and administrative hurdle that the general public needs to combat.