The National Board of Revenue (NBR) has been unable to trace nearly 37.5 per cent—around 48 lakh—of registered Taxpayer Identification Number (TIN) holders across the country due to reasons such as death, change of address, migration abroad, and job switches in the private sector.
According to NBR data, there are currently about 1.28 crore TIN holders nationwide. As part of efforts to boost tax compliance, field-level officials have been sending notices to non-filers at their registered addresses.
However, while around 80 lakh TIN holders have either responded or remain in contact with tax offices, the remaining 48 lakh have not made any communication.
“Tax evasion through non-filing of returns will be curbed as the NBR is tightening enforcement to prevent such practices,” said NBR Member Tax Policy Mutasim Billah Faruqui.
“We are currently updating the actual number of TIN holders. Once the process is complete, we will take necessary measures in accordance with the law,” he added.
Field officials said many of these individuals cannot be traced due to outdated records. In some cases, taxpayers have died, but their status has not been updated in the system.
Others obtained TINs for specific purposes, such as going abroad on student visas, but no longer submit tax returns as they do not reside in the country.
Officials also said TINs are mandatory for workers migrating to countries that have Double Taxation Avoidance Agreements (DTAs) with Bangladesh, and many such individuals fail to file returns.
Some people obtain TINs for one-time purposes despite having no taxable income and subsequently do not submit returns, they added.
Over the past several months, the NBR has verified this information by sending letters to non-filers nationwide and using its special monitoring mechanisms.
The deadline for filing returns for individual taxpayers ended on March 31, with around 76,000 taxpayers submitting returns online on the final day.
Despite time extensions several times, approximately 46 lakh taxpayers filed returns within the stipulated time. In addition, around 1 lakh more registered online, making them eligible to submit returns without penalties.
NBR officials expect the number of return submissions to exceed 50 lakh by June this year.
They added that with enhanced monitoring, compliance could be ensured from an additional 30 lakh responsive TIN holders.
According to a recent study by the Center for Policy Dialogue (CPD), Bangladesh lost an estimated Tk2,26,236 crore in tax revenue in 2023 due to tax evasion and avoidance.
CPD Research Director Khondaker Golam Moazzem said the risk of tax evasion is increasing due to weak institutional capacity.
“To address this challenge, the NBR should strengthen its digital tax infrastructure and undertake necessary policy reforms,” he said.
Under the Income Tax Act, November 30 each year is the deadline for individual taxpayers to submit their returns. Failure to do so results in penalties.
Taxpayers also lose eligibility for investment-related tax rebates, reduced tax rates, and tax-exempt income benefits.
NBR officials, however, said the government needs to invest more in strengthening the capacity of the tax authority.
