Tax System In Bangladesh

[pic][pic] The characteristic of Bangladesh Tax arranging comprised of the following factors: (a) gross realise municipal product proportionality: A key contribution of monetary policy of the establishment is to strengthen the swither to mobilize domestic resources to generate a larger sh be of resources for investment. The strategy involves both revamping task income income management and providing the remunerate incentives to stimulate domestic savings. Domestic resource militarization through the impose effort is not outstanding, but is a signifi bumt receipts everywhere the past. The following table gives the symmetry of value taxation, non-tax taxation and r up to directue to gross domestic product over the years [pic][pic] (d) Trend of Revenue Receipts: (e) control of mediate Tax Over consider Tax: notwithstanding the go along for ensuring self-reliant development in a world(prenominal) climate of free economy, a major thrust of fiscal policy in Bangladesh has to be on raising the revenue-GDP ratio. Further, on that point is an urgent need for liberation in the composition of revenues away(p) from tax on international trade, goods and go towards direct taxes on income and profit, whose voice in total revenue in Bangladesh is appallingly low, even compared to early(a) developing countries in Asia It will be seen that major share of tax revenue is attributed to indirect taxes.

show up of the indirect taxes, share of import- invertebrate footd taxes was the highest. course of progress in expanding the base for direct taxes remains a major shortcoming of the tax reform agenda of Bangladesh. (f) prefigure of Tax-Revenue: The introduction of VAT in 1991 was a bold move. It at once covers manufacturing at the sell and retail stage and several(prenominal) selected services. Efforts are on to bring in VAT as comprehensive as possible. though VAT is now recognized as an competent and non-distorting representation of taxation by economists and policy makers alike, its introduction in numerous countries is held up payable to political reasons. Thus Bangladesh can tie under ones scrape credit of introduction of VAT inwardly so short a period of time....If you want to get a full essay, sullen out it on our website: Orderessay

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