Bangladesh's revenue authority chairman disclosed that international creditors are demanding stronger tax enforcement and fewer exemptions as the nation contends with expanding foreign obligations and constrained budgetary resources. M Abdur Rahman stated that mounting debt service requirements have left authorities with limited alternatives beyond strengthening domestic collections rather than pursuing additional external financing.
The National Board of Revenue leader explained that Parliament will assume exclusive control over exemption approvals under newly implemented revenue expenditure policies, removing discretionary powers from ministries and tax officials. This constitutional adjustment reflects lender expectations for greater fiscal accountability and transparent resource management.
Rahman acknowledged that legislative approval would be required for any extension of interest payment relief on foreign loans, noting that current regulations prevent administrative waivers. He attributed the country's persistently low tax collection ratios to decades of exemption practices that must now yield to structural reforms supporting macroeconomic stability.
The National Board of Revenue leader explained that Parliament will assume exclusive control over exemption approvals under newly implemented revenue expenditure policies, removing discretionary powers from ministries and tax officials. This constitutional adjustment reflects lender expectations for greater fiscal accountability and transparent resource management.
Rahman acknowledged that legislative approval would be required for any extension of interest payment relief on foreign loans, noting that current regulations prevent administrative waivers. He attributed the country's persistently low tax collection ratios to decades of exemption practices that must now yield to structural reforms supporting macroeconomic stability.
