DHAKA, March 31, 2026 (BSS) – The National Board of Revenue (NBR) is going to introduce a year-round, quarterly tax return submission system starting from the upcoming fiscal year 2026-27 as part of a comprehensive reform suite designed to drive Bangladesh’s transition into a welfare state.

NBR Chairman Md Abdur Rahman Khan today announced the initiative during a pre-budget meeting, noting that the new system aims to revolutionize tax compliance while bolstering national revenue through structural changes, including the reintroduction of wealth tax and the potential launch of an inheritance tax.

The Newspaper Owners' Association of Bangladesh (NOAB) and the Association of Television Channel Owners (ATCO) placed their proposals at the pre-budget meeting for the fiscal year 2026-27 at the NBR in the city.

The Chairman outlined the mechanism for the year-round submission system, which will be categorized into four distinct periods where taxpayers receive incentives in the first quarter, pay regular rates in the second quarter, and face progressively higher costs or surcharges for filings made during the third and fourth quarters.

Highlighting the strategic vision behind these reforms, the NBR chief stated that the current revenue-to-GDP ratio is insufficient to meet the massive demand for social safety nets, operational budgets, and employment-generating infrastructure. 

He emphasized that the reintroduction of wealth tax is specifically intended to ensure those with a greater ability to pay contribute more to the national exchequer.

"While the government is committed to transforming Bangladesh into a welfare state, the current revenue generation is insufficient to meet the massive demand for social safety nets, operational budgets, and employment-generating infrastructure," the Chairman said.

To support these goals, he said, the NBR is leveraging advanced technological integration and Artificial Intelligence (AI) to curb evasion. 

“A critical component involves connecting the tax system with the banking sector to automatically populate returns with closing balances, profit information, and Tax Deducted at Source (TDS). This automation is intended to simplify compliance for taxpayers while preventing the concealment of financial data,” he added.

Furthermore, he mentioned that the NBR is collaborating with electricity distribution companies, including DPDC and DESCO, to identify property owners and track rental income or wealth that may have previously gone underreported.

 To address historical concerns regarding data integrity, the Chairman confirmed that the NBR has ended over-reporting practices. 

“Collection figures are now reported exclusively through the iBAS system and treasury records to ensure consistency across the NBR, the Ministry of Finance, and Bangladesh Bank,” he added.

The Chairman also identified a significant gap in the VAT net, noting that while retail transactions are estimated at Taka 2 lakh crore, the current VAT registration base of 8 lakh is far below the potential 80 lakh. 

Efforts are underway to close this gap and expand the base significantly, he added.

Regarding current performance metrics, he said that the NBR reported that 4.25 million taxpayers have already submitted returns online. 

“The digital platform has processed 20,000 electronic applications for time extensions of up to 90 days. As of February, revenue collection has increased by approximately Taka 28,000 crore compared to the previous year, supported by newly formed task forces for Income Tax, Customs, and VAT,” he added.

In his speech, NOAB President Matiur Rahman Chowdhury proposed a total withdrawal of newsprint import duties and a reduction of the corporate tax rate to 10 percent to sustain the print media sector.

He characterized the newspaper sector as a sick industry that can no longer survive without direct government support. 

In its justification, he highlighted several overlapping challenges currently threatening the sector’s viability.

Simultaneously, ATCO President Anjan Chowdhury sought exemptions from TDS on advertisement bills and requested that revenue earned from online platforms like YouTube and Facebook be treated as export remittance. 

He argued that the current tax burden on advertisement revenue is unsustainable for electronic media outlets that are not yet profitable.