The National Board of Revenue begins today a special survey of hotels, restaurants, fast food shops, guest houses and beauty parlours running business in the Dhaka city to check income tax evasion by the business entities and bring defaulting ones under the tax net.
The revenue board is conducting the survey as it suspects that most of the business houses, particularly those units which started their operations in recent years, not paying income tax as they are yet to obtain electronic taxpayers’ identification numbers (eTINs).
Three teams of the Dhaka Income tax zone-7, the field office of the NBR dedicated to looking after the income tax files of the sectors, will collect information related to tax payment visiting the establishments across the city and check their tax payment status, officials of the NBR said.
The survey is being conducted with approval of the revenue board, as part of its country-wide Income Tax Survey-2016, they said, adding that it would continue till October 30.
According to a preliminary estimation of the tax office, some 7,000 establishments in the sectors are running business in the city but only around 40 per cent of them have tax files with the office.
Most of the remaining entities do not have even e-TINs let alone paying tax while a few of the entities may maintain their tax files with other tax offices in the city, officials said.
The revenue board in 2011 established the tax office with special responsibility of collecting income tax from the sectors along with other regular activities.
Though the number of hotels, restaurants, fast food shops and beauty parlours has rapidly been increasing over the last few years in the city, most of the new entrants remain out of the tax net, they said.
They said that the NBR had no specific data regarding the actual number of firms and their tax payment status as it never conducted any survey in this connection.
AJM Ziaul Haque, commissioner of the zone, told New Age on Saturday that the main objective of the survey was to bring defaulting business establishments under the tax net.
Three teams, each consists of tax officials and representatives from business organisations, will collect information related to tax payment of the businesses, he said.
The teams will take measures to issue e-TINs, either instantly or later after examining the collected information, and collect tax from the businesses found eligible, he added.
‘We will not go hard as such survey is being conducted for the first time. But we want to ensure that the owners will have to pay tax,’ he said.
Officials said that defaulting businesspeople would have to pay tax from the year they started their business.
The tax office has already issued public notices informing the entrepreneurs about the survey and asking them to display the e-TIN certificates, if they have any, at a noticeable place of their business premises during the survey period, they said.
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