Bangladesh’s National Board of Revenue (NBR) registered 131,000 new VAT payers in December, exceeding its target during a nationwide campaign aimed at expanding the tax base and strengthening government revenue collection.
The registrations were made under a special drive linked to VAT Day and VAT Week, officials said, as authorities stepped up field-level surveys and enforcement across the country.
The NBR had initially set a goal of bringing 100,000 unregistered businesses into the VAT system between 10 and 31 December but exceeded the target following daily campaigns conducted by its 12 VAT commissionerates, including on public holidays.
With the new additions, the total number of VAT-registered entities in Bangladesh has risen from 516,000 to around 775,000, according to an official press release.
VAT remains the government’s single largest source of revenue, accounting for about 38% of total collections in the previous fiscal year. Officials say widening the VAT base is essential for reducing reliance on borrowing and funding public services.
As part of the drive, the government has also lowered the mandatory VAT registration threshold to businesses with annual turnover above Tk50 lakh, down from Tk3 crore, and introduced measures to simplify compliance through online registration, electronic filing and automated refunds.
The NBR has urged continued cooperation from businesses, consumers and the media as it moves towards a fully digital VAT system.
