Fifty-seven thousand companies have been brought under the tax net in the last three months, according to a report prepared by a National Board of Revenue’s taskforce.
The NBR formed the taskforce on August 19, 2020 and asked it to bring all registered public and private limited companies under the tax net to ensure tax returns.
The report published on Thursday said that there were 1,76,400 registered public and private companies in the country and till August 2020, 55 per cent or 98,400 of the firms had been running their activities without having tax identification numbers.
The taskforce was also asked to ensure 100 per cent genuine audit reports of all companies.
To complete the tasks, the NBR signed a deal with the Institute of Chartered Accountants of Bangladesh on access to the ICAB’s document verification system launched on November 12, 2020.
After the launch of the DVS, the number of TIN holding companies increased to 1,35,000 as of February 16, the report said.
The number of TIN holding companies was 78,000 till August 2020 when the taskforce was formed, it showed.
The report showed that more than 80 per cent of non-compliant companies had been brought under the tax net as on February 17 and the rate was 69 per cent for Dhaka.
It also showed that returns filling by the companies in the financial year 2020-21 increased by 35 per cent compared with that in the previous fiscal year.
The growth in filing returns by companies was 0.91 per cent in FY20.
Ensuring corporate compliance, the taskforce prepared a company return database for FY19 and FY20, collected company registration data from the Office of the Registrar of Joint Stock Companies and Firms and developed company jurisdiction simulator.
Want stories like this in your inbox?
Sign up to exclusive daily email
More Stories from Tax