DCCI urges NBR to prevent business harassment in withholding tax monitoring

The Dhaka Chamber of Commerce & Industry (DCCI) has urged the National Board of Revenue (NBR) to ensure that businesses already complying with tax regulations are not subjected to unnecessary harassment as it strengthens monitoring and verification of withholding tax under the Income Tax Act, 2023.

According to a press release, DCCI said the NBR's initiative to intensify monitoring of withholding tax deduction and deposit under Section 147(2) of the Income Tax Act, 2023 would contribute positively to revenue collection and the expansion of the country's tax base if implemented effectively.

However, the chamber expressed concern that the enforcement process should not create undue difficulties for compliant businesses.

DCCI also called on the NBR to allow adequate time and opportunity for businesses that have yet to fully comply with tax requirements so they can regularise their affairs while ensuring their legitimate rights are protected.

The chamber stressed the importance of accelerating automation and digitalisation across the country's revenue administration, saying wider use of digital systems would help achieve the government's revenue targets while reducing unnecessary hassles for the private sector.

DCCI said revenue mobilisation and a business-friendly environment are not mutually exclusive and can be achieved simultaneously through constructive dialogue between the NBR and the business community.

It also urged closer collaboration between the government and the private sector to strengthen tax compliance across all categories of businesses while maintaining a predictable and supportive business environment.