Dhaka Chamber of Commerce & Industry (DCCI) believes that the National Board of Revenue (NBR)’s initiative to intensify the monitoring and verification of withholding tax deduction and deposit by business and financial institutions under Section 147(2) of the Income Tax Act, 2023, if implemented properly, will play a positive role in enhancing overall revenue collection and widening the country’s tax net.

But DCCI expressed concern that, while implementing this provision, businesses that have already ensured compliance with the tax system should not be subjected to unnecessary harassment, according to a press release.

Dhaka Chamber also urged the NBR to ensure that businesses which have not yet achieved full compliance are provided with adequate time and a fair opportunity to ensure compliance, the statement read.

The organisation believes that it is possible to achieve both the revenue collection target and a business-friendly environment simultaneously. Maintaining constructive dialogue between the NBR and the business community is essential, the release added.

The DCCI president also opined that to achieve the government’s revenue collection targets and widen the tax net, ensuring effective adoption of automation and digitalisation across the country’s overall revenue administration is essential.

Such measures will significantly reduce unnecessary hassles and compliance burdens faced by the private sector while making the tax system more efficient, transparent and business-friendly, he added.