Dhaka: The National Board of Revenue (NBR) has decided to make the installation of Electronic Fiscal Device (EFD) or Sales Data Controller (SDC) machines mandatory at VAT-eligible hotels and restaurants located on highways throughout the country. This move aims to ensure the proper collection and deposit of Value Added Tax (VAT).
According to Bangladesh Sangbad Sangstha, conscious consumers have raised concerns that VAT collected by hotels and restaurants on highways is not being properly deposited into the state treasury due to the absence of electronic VAT invoicing. Many establishments operate around the clock and collect VAT, but fail to deposit it correctly.
To address this issue, the Chairman of the NBR has issued directives to install EFD/SDC machines at all highway hotels and restaurants across the country. An NBR press release stated that a letter from the VAT implementation wing has urgently instructed all field-level commissioners to ensure the installation of these machines. This measure aims to
facilitate regular monitoring of daily transactions and ensure the collection of the correct amount of VAT.
Genex IT has been collaborating with the NBR for several years to install EFD machines and integrate transaction data into the Integrated VAT Administration System (IVAS). The current interim government is taking proactive steps to sustain the country’s economic progress, and the NBR has been given strict instructions to identify new taxpayers, adjust VAT rates for revenue collection, and prevent tax evasion.
The NBR has also emphasized maintaining a service-oriented approach towards taxpayers during revenue collection. Consumers are urged to accept electronic invoices or receipts when dining at highway restaurants, as failure to do so may result in VAT not being deposited with the government.
To encourage compliance, the NBR plans to award hundreds of prizes monthly to VAT payers via a lottery system using receipts generated by EFD machines. Additionally, the NBR requests support from stakeholders,
including businesses and the media, to assist in the proper collection of revenues. Consumers are encouraged to obtain VAT receipts to ensure their contributions reach the government and to have a chance to win prizes.