Bangladesh has the lowest rate of taxpayer return submissions in the entire sub-continent, standing at a paltry 31%.
Unfortunately, the overwhelming majority of Bangladeshis view the whole concept of taxation with suspicion, that they are being robbed of their income -- even though taxes are necessary to ensure that a nation runs smoothly.
However, such suspicions are not without merit in our country. Our tax collection mechanism still runs on an outmoded system that does not even allow for the slightest bit of transparency in how our tax money is being spent by the government -- citizens have the right to know where their tax money is going, and public funds should never be misappropriated, the assurance of which is never a given.
It is, then, no wonder that the NBR fails to reach its revenue targets every year by a considerable margin. Despite attempts at introducing digitization into the tax collection system, filing for taxes remains an altogether complicated and often arcane procedure; and when we factor in the harassment and lack of transparency regarding taxes, it is no wonder that Bangladeshis feel apprehension towards the very idea of paying taxes.
Needless to say our tax system is in dire need of reform.
Bangladesh is at a critical juncture of its long-term development trajectory, and tax revenue will play an important role in ensuring that this phase goes smoothly. We all want better roads, cleaner air, and increased inter-connectivity within our districts, and all of that is made achievable through taxes.
Unless we re-envision the entire taxation infrastructure we stand to completely derail our nation's long-term progress.
