The National Board of Revenue and the Bangladesh Investment Development Authority have agreed to simplify the issuance of electronic taxpayers’ identification numbers (e-TIN) to foreign investors by integrating their respective systems.
The revenue board will integrate its e-TIN system with the BIDA’s One-Stop Service (OSS) platform to facilitate foreign investors getting e-TINs from the platform without visiting the NBR or its system.
The NBR will also take steps to expedite trading across the border such as reduction in time required in execution of import and export activities to increase the country’s ranking in the Ease of Doing Business Index of the World Bank, according to the decisions made in a recent virtual meeting.
The tax authorities will also expedite the VAT refund process and online submission of income tax returns, the meeting decided.
The tax authority will also examine the concept of filing VAT returns quarterly instead of current monthly returns submission to reduce time and cost of business.
As per decision made in the meetings held in last month, the NBR will give instructions to its software vendor to integrate the system to issue TINs to foreign nationals directly from the OSS platform.
Currently, only Bangladeshi investors can obtain e-TINs from the OSS platform.
Officials of the BIDA said that integration of the system to issue e-TINs to foreign investors would expedite the process, and enhance the OSS system.
It will also increase confidence of foreign investors, they said.
The NBR and the BIDA will jointly hold consultations with the stakeholders, including exporters, importers and logistics providers to improve the trading across border situation by removing hurdles to import and export activities.
The implementation of the decisions will increase the country’s score in paying taxes indicator under the EoDB index by improving the situation in time and number of tax payments, time required for import and export and other tax-related sub-indicators.
Bangladesh’s ranking in the paying tax indicator of the EoDB report is now 151 with score of 56.1 points.
Taxpayers in Bangladesh now require making 33 payments and 435 hours per year to complete tax payment procedures against on average 26.7 payments and 273.5 hours respectively in South Asian countries.
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