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Staff Correspondent
To facilitate online submission of VAT returns, the National Board of Revenue (NBR) has brought amendments to the VAT rules.
With issuance of a statutory regulatory order recently, NBR made the amendments, including replacement of the existing forms of VAT returns and turnover tax returns with new ones, in the VAT Rules-1991 to help VAT payers file their returns online.
The revenue board also incorporated 10 provisions of the deferred VAT and Supplementary Duty Act-2012 into the VAT Act-1991, aiming to introduce the online system.
In the absence of required provisions, it was made public in the recently declared national budget that VAT regime would be automated from the FY19.
So, it was very urgent for the revenue board to incorporate the provisions into the existing VAT law, with a view to enabling the online return procedure, NBR officials said.
The old VAT forms were not aligned with the VAT online system, made in line with the new VAT act, which is scheduled to come into force by July 1 next.
However, NBR has not been able to make the software compatible with carrying out the online return submission procedure yet, sources said.
The VAT wing is working on the modification of the software as it is not still fully prepared to run into the activities, sources said.
The NBR also replaced old business registration numbers by the newly made e-BIN since July 1.
As per the new provision, the businesses will have to obtain a single and central return submission number, for all of their units and sister concerns, replacing their multiple BIN numbers.
Currently, a company can carry multiple VAT registration numbers, to pay VAT under different field-level commissionerates.
The new VAT return form has been prepared in such a manner that will help the exchequer to find inconsistency in the traditional current account, a NBR official told Bangladesh Post.
The transfer of products from centrally-registered companies to other units, merging the multiple current accounts, management of deposited VAT in the current account as well as VAT collection procedure will also be changed as per the newly introduced system, he said.
NBR officials said the law ministry in a decision approved keeping up the section 4 to 14 of the suspended law effective in the existing law despite the government deferred it until June, 2019.
Some field officers, however, expressed their confusions about the effectiveness of the provisions, saying that two VAT acts (2012 act and 1991 act) would remain in place simultaneously due to the amendments.
They also recommended NBR to prepare a detailed guideline regarding the change so that the businesses could avoid difficulties in filing their VAT returns.