Source of undisclosed money, if invested, cannot be questioned: NBR chairman
If any authority still raises questions, that will be unjust and people can seek legal assistance in that case
No organisation can question the source of undisclosed money if someone wants to invest it, said National Board of Revenue (NBR) Chairman Abu Hena Md Rahmatul Muneem on Tuesday.
He also called on the people to utilise the opportunity to invest undisclosed money offered in the current fiscal year's budget.
He was speaking at a programme arranged to introduce installations of electronic fiscal devices (EFDs) in businesses on a pilot basis at the NBR conference room.
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The NBR initially installed the devices in 100 businesses in Dhaka and Chattogram to prevent VAT evasion.
Muneem said, "We have talked to all the authorities, such as the Anti-Corruption Commission, who raise questions when people want to invest undisclosed money. We have told them personally not to question the source of such money."
If any authority still raises questions, that will be unjust and people can seek legal assistance in that case, he said.
"The government has made a law that permits people to invest undisclosed money, and no one can question this. However, I believe no one will have to take legal help in this regard," the NBR boss said.
In the budget for the 2020-21 fiscal year, the government has allowed the investing of undisclosed money in the stock market, real estate, and economic zones to revive the economy.
Such money is also allowed to be deposited in banks by paying 10 percent tax, which was the first such opportunity in the country's history.
It was said that the source of such money would not be questioned, and no other law would be applicable in this regard.
The NBR chairman said the opportunity to invest undisclosed money had not yet drawn a significant response, but there had been an impact on the capital market.
"We do not know how much money people are investing. We will know when people submit their tax returns. However, cash flow has increased after undisclosed money was invested in the stock market," he said.
Muneem said EFDs were introduced to stop VAT anomalies. "The devices will bring about a groundbreaking change in collection of VAT from businesses. There will be no harassment, and revenue collection expenses as well as business costs will go down."
He said there would be no opportunity to avoid paying tax. "In addition to speeding up revenue collection, EFDs will bring businesses under automation."
As part of VAT automation, the NBR has started installing EFDs in businesses. Within two months, such devices will be installed in 10,000 businesses.
An EFD is a device that is used in place of an electronic cash register. It can store sales information.
NBR officials said these devices would be connected to the central VAT server. A business identification number (BIN) will be given to every business against every software and device.
The BIN will be the same even if multiple EFDs are used by a business. However, the NBR will provide a special code for each device.
As a result, when an EFD is activated, NBR officials in different customs excise and VAT commiserates will be able to get information regarding that business.
