B Mirror Report:  The Dhaka Chamber of Commerce and Industry (DCCI) today submitted 54 budget recommendations for the fiscal year 2026–27 (FY27), urging reduced tax rates and full automation of the national revenue administration to accelerate economic growth and improve the business environment.

The proposals were handed over to National Board of Revenue (NBR) Chairman Md Abdur Rahman Khan during a pre-budget discussion held at the NBR conference room in Dhaka. The chamber presented its recommendations under the theme “The Taxnet Widens & Ease of Doing Business,” focusing on enhancing productivity, widening the tax base, and ensuring sustainable economic development.

As part of its income tax proposals, DCCI recommended raising the individual tax-free income threshold to Tk 5,00,000 to ease pressure on low- and middle-income earners amid ongoing inflation. It also proposed a revised slab structure with 5 percent tax on the next Tk 2,00,000, 10 percent on the following Tk 3,00,000, and a maximum tax ceiling of 25 percent.

For the corporate sector, the chamber suggested reducing the tax rate for non-listed companies from 27.5 percent to 25 percent, on the condition that transactions are conducted through banking or digital payment channels. It further recommended a phased withdrawal of surcharge on net wealth exceeding Tk 4 crore over the next three to five years to promote greater fairness in the tax system.

A key focus of the proposals is the modernization of tax administration through a “Central API Integration” system. This would connect NBR databases with the National ID (NID), banking systems, trade licenses, utility services, and sub-registrar offices to automatically identify taxable individuals and entities, thereby expanding the tax net.

DCCI also proposed the introduction of an e-Corporate Tax Return system to enable fully digital tax filing, including automated refunds through the Bangladesh Electronic Funds Transfer Network (BEFTN).

On VAT reforms, the chamber recommended reducing Advance Tax (AT) on commercial imports from 7.5 percent to 5 percent, with a gradual plan for complete withdrawal. It also called for eliminating the Tk 50,000 ceiling on VAT refunds to allow full automatic settlement of net negative balances.

To simplify VAT compliance for small and medium enterprises (SMEs), DCCI proposed the development of a national mobile application as an alternative to Electronic Fiscal Device (EFD) machines. The app would generate real-time digital receipts synchronized directly with NBR servers.

In addition, the chamber suggested automating customs refund processes through direct transfers to bank accounts via BEFTN or EFT systems, replacing the existing manual procedures. It also recommended a uniform customs valuation system for raw materials, including stearic acid, to ensure fair competition in the domestic market.

Speaking at the meeting, M B M Lutful Hadi, Convener of the DCCI Standing Committee on Customs and VAT, said the proposals are aimed at supporting productive sectors and encouraging investment, adding that easing the tax burden on compliant businesses would ultimately enhance revenue collection.

DCCI Acting Secretary General Dr AKM Asaduzzaman Patwary said the proposed reforms would reduce the cost of doing business, stimulate investment, and contribute to long-term economic stability.