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The businesses and experts on Saturday said that any adopted policy related to the National Board of Revenue should be consistent, implemented for at least five years.

They also said that private-sector representatives be mandatorily included in policy-making related to income tax, VAT and customs.

They were speaking at a roundtable titled ‘NBR Reform: Shaping Towards an Effective Revenue Policy and Management System in Bangladesh’ organised by the Metropolitan Chamber of Commerce and Industry and Policy Exchange Bangladesh in the capital.

At his speech, Muhammad Abdul Mazid, the former chairman of the NBR, stated that without a political commitment, there is no guarantee that it would be implemented.

He said that one of the key objectives of separating tax administration from policy-making was to include the private sector in policy formulation.

‘We recommended that certain private-sector representatives be mandatorily included in policy-making committees and that any adopted policy should be implemented for at least five years,’ he added.

Inamul Haq Khan, senior vice president of the Bangladesh Garment Manufacturers and Exporters Association, stated that only splitting the NBR into two divisions would not resolve all problems.

‘We believe that we must make NBR and its subordinate bodies free from corruption. Tax policies on income tax, customs duties, and VAT should be long-term, at least five years,’ he added.

He also said that stakeholders should be consulted during the drafting or amendment of laws, SROs, rules, and notifications.

Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association, criticised the existing tax policies for export-oriented industries as ‘illegal and violating rights.’

He stated that the excessive certifications required for importing capital machinery result in delays and additional costs.

Regarding the NBR reform, Md Farid Uddin, member of the NBR reform committee, said that NBR has yet to implement the restructuring recommended by the advisory committee.

He also said that the proposed separation of the Revenue Policy Division and the Revenue Management Division has not taken place.

Farid Uddin, also a former member of the NBR, said that if these two divisions continue to operate incorrectly, the situation could worsen in the future.

‘In my personal view, NBR has not been restructured according to the recommendations,’ he added, saying that if the government fails to coordinate, the current challenges of the NBR could escalate further.

He also said that if the NBR were divided into two parts due to ‘hatred’ or errors stemming from the ordinance, it would create a ‘disastrous’ situation for the nation.

On May 12, the government issued an ordinance dissolving the NBR and replacing it with the Revenue Policy and Revenue Management Ordinance, 2025. Following this, NBR employees launched protests, including work stoppages and sit-ins.

After proposing 11 changes, the government issued a gazette on the amended ordinance restructuring NBR on September 3.

He also urged the business community to discuss these issues in various forums and keep the conversation alive.

Over the past 10–15 years, various stakeholders and business representatives have voiced opinions and concerns regarding NBR. The advisory committee compiled these inputs into a set of recommendations, sending the report to 75 organisations, institutions, associations, and chambers for feedback,’ he revealed.

He also mentioned that the committee consulted with political parties, including the BNP and Jamaat.

‘Unfortunately, only the Foreign Investors Chamber of Commerce and Industry provided a complete response, while partial feedback was received from the Dhaka Chamber, MCCI, and ICMAB; most organisations did not respond,’ he added.

He added, ‘It is difficult to apply pressure on the government to implement reforms without a national consensus.’

In his welcome remarks, MCCI president Kamran T Rahman stated that fewer than 3 per cent of citizens are filing income tax returns.

Moreover, corporate tax evasion is widespread, and enforcement mechanisms remain weak, often compromised by institutional limitations and political interference.

‘Most critically, our tax collection system is overly complex, riddled with discretionary practices that both discourage compliance and create opportunities for corruption,’ he added.

The NBR Reform Committee has already put forward recommendations, he added, noting that the challenge is how to ensure these recommendations are effectively implemented.

‘Reform must go beyond rhetoric; it must be pragmatic, implementable, and capable of delivering measurable results,’ he added.

Masrur Reaz, chairman of Policy Exchange Bangladesh, stated that the lower tax-GDP ratio resulted in a shortage of government funds for necessary investments.

‘This shortfall hinders spending on infrastructure, human resources, healthcare, and law enforcement,’ he added.

‘Moreover, the private-sector businesses face service delivery challenges, compounded by institutional capacity gaps,’ he added.