DHAKA, April 25, 2026 (BSS) - The Metropolitan Chamber of Commerce and Industry (MCCI) has emphasized the need for an investment-friendly tax regime, widening of the tax net, a digital tax system, and supportive policies for small and medium enterprises (SMEs) in the upcoming national budget for FY 2026–27.

MCCI President Kamran T. Rahman placed the proposals at a pre-budget meeting held today at the conference room of the National Board of Revenue (NBR) in the capital.

He said the domestic industrial sector is currently passing through a challenging period due to global economic uncertainty, high inflation, lower GDP growth, elevated interest rates.

“SMEs, in particular, are the worst affected. In this context, adopting business and investment friendly measures is necessary in the next budget,” he said.

On widening the tax net, the MCCI president noted that although there are over 10 million e-TIN holders, less than half of them regularly submit tax returns. With around 90 percent of the economy remaining informal, he underscored the urgency of bringing this large segment under the tax system.

To this end, Kamran proposed introducing a nominal minimum tax of TK 100 or TK 1,000 annually and launching a ‘one-page digital return’ system through a mobile app. These measures, he said, would increase the number of taxpayers and reduce tax evasion.

As part of digital tax reforms, MCCI recommended introducing a unified taxpayer profile instead of separate platforms for income tax, VAT, and customs. 

It also suggested simplifying the VAT structure, automating input tax credit, and introducing online hearings for appeals and tribunals.

Regarding the PSR system, he said mandatory PSR requirements in 39 sectors are creating complexities and hindering ease of doing business. He called for simplifying, rationalizing, and digitally verifying the system.

The chamber also proposed a separate and supportive tax structure for the SME sector, reduction in turnover tax, provision of input tax credit benefits, and rational reduction of VAT and duties on raw materials.

The discussion was chaired by NBR Chairman Md. Abdur Rahman Khan.

Rahman said the income tax return filing system has now been fully made online as well as made easier for general taxpayers. Currently, around 4.4 million e-returns have been submitted, compared to fewer than 300,000 paper returns, indicating growing popularity of the online system.

The NBR Chairman further said that in the e-return system, tax calculation, rebates, and taxable income are determined automatically, reducing the risk of errors and taxpayer harassment.
He also noted that once the source tax deduction (e-TDS) system is fully digitized, income from various sources will automatically be reflected in taxpayers’ returns, making the process more convenient.

Rahman said the NBR aims to enable taxpayers to file returns and pay taxes online from their homes or offices without the need to visit tax offices unnecessarily. Likewise, tax officials will not visit business premises without valid reasons.

He added that the core objective of tax reforms is to build a business-friendly, transparent, and technology-driven revenue system that will expand trade and commerce while broadening the tax base.