Reliable Brokers
Online Investing
Alerts & Analysis
Easy Trading

Salehuddin: Economic growth drives tax collection, not enforcement

The adviser cited Brazil’s tax-to-GDP ratio of around 26% as an example, saying people pay taxes there because they receive excellent services in education, healthcare, infrastructure

Update : 18 Sep 2025, 11:59 PM

Finance Adviser Salehuddin Ahmed said on Thursday that Bangladesh’s revenue collection will improve only if businesses receive quality services, stressing that economic growth—not enforcement—is the key driver of higher tax receipts.

“Tax collection does not come from muscle-flexing. It comes from economic growth. If businesses earn, they will pay taxes,” he said at an event celebrating the issuance of half a million Certificates, Licenses, and Permits (CLPs), a seminar on paperless customs, and the conferring of “e-Return Champion Certificates” to taxpayers at a Dhaka hotel.

The adviser cited Brazil’s tax-to-GDP ratio of around 26% as an example, saying people pay taxes there because they receive excellent services in education, healthcare, and infrastructure. He warned against focusing solely on revenue targets: “If you give good service, people will pay. If you do not, they will not.”

Salehuddin urged the business community to actively support digitalization initiatives, including the Bangladesh Single Window (BSW) platform, which he said would help deliver better services and expand the country’s tax base. “I expect that businesses will come forward and join the BSW,” he said, adding that there would be no compromise on timely service delivery.

He highlighted that the private sector is crucial for national prosperity: “Without business people, we cannot prosper further. When you walk, you create a path. BSW has created a path, and others will follow in the digitalization process.”

Commerce Adviser Sk Bashir Uddin said Bangladesh is the 91st country to roll out BSW, which facilitates faster international trade and reduces costs for importers and exporters. “Although a bit late, we are now generating enormous value for the country’s economy,” he said.

Other speakers, including Lutfey Siddiqi, Anisuzzaman Chowdhury, and Jean Pesme of the World Bank, praised the successful implementation of BSW and digital tax initiatives, noting their role in transparency, risk management, and improved service delivery.

NBR Chairman Md Abdur Rahman Khan said the board is automating its systems to yield better outputs and thanked all stakeholders for the platform’s success.

Since its official launch on January 2, 2025, the BSW has integrated all 19 CLP-issuing agencies, with 578,491 CLPs issued online to date. Among these, 84% were processed within an hour and 95% within a day. The system ensures transparent, accountable, and cost-effective processing.

The event also recognized top institutions in online tax returns—Sonali Bank PLC, British American Tobacco Bangladesh Company Limited, Brac, BURO Bangladesh, and Renata PLC—as “e-Return Champions.”

Stakeholders stressed that digital transformation in revenue administration is crucial for economic growth and improving investment competitiveness in Bangladesh.

Top Brokers