ICAB stresses coordinated action, reform implementation to meet FY27 revenue goal

The Institute of Chartered Accountants of Bangladesh (ICAB) has observed that the proposed national budget for FY27 reflects the government’s commitment to economic stability, enhanced revenue mobilization, employment generation, investment expansion, and private sector development.

This observation was made by speakers at a press conference titled “Chartered Accountants’ Perspectives on the Proposed National Budget 2026-2027,” organised by ICAB on Saturday at CA Bhaban in the Capital.

The speakers noted that the global economy continues to face various risks and uncertainties. Ongoing conflicts in the Middle East, the prolonged impact of the Russia-Ukraine war, geopolitical tensions, volatility in international energy markets, global inflationary pressures, supply chain disruptions, sluggish international trade, and other challenges confronting developing economies remain significant concerns.

Despite these challenges, the government has undertaken the ambitious task of implementing an overall Annual Development Programme (ADP) of Tk 316,075 crore, which is expected to contribute positively to Bangladesh’s journey toward becoming a prosperous nation.

However, achieving the revenue collection target of Tk695,000crore will require coordinated efforts and the effective implementation of reform initiatives.

The budget deficit financing has been estimated at Tk 243,000 crore, of which Tk 112,000 crore is expected to be financed through domestic borrowing from the banking sector.

The speakers observed that this may limit the availability of credit to the private sector and potentially hinder private investment.

Speaking at the press conference, ICAB President NKA Mobin stated that the government has placed particular emphasis on increasing revenue collection, modernizing the tax system, accelerating digital transformation, improving the business environment, and adopting investment-friendly policies.

The ICAB believes that increasing the tax-to-GDP ratio and ensuring greater transparency and accountability in the tax system are essential for achieving sustainable economic growth.

He further noted that the Document Verification System (DVS) has emerged as an important initiative in expanding the tax net and establishing a technology-driven tax administration.

Implemented jointly by the National Board of Revenue (NBR) and ICAB, the system has significantly contributed to enhancing transparency in tax administration, preventing tax evasion, and increasing revenue collection.

He expressed confidence that DVS will continue to play an even greater role in the future and extended sincere thanks to the Ministry of Finance and the NBR for their cooperation in implementing this initiative.

NKA Mobin also mentioned that, as in previous years, ICAB had submitted detailed recommendations to the NBR regarding the Income Tax Act 2023, the Value Added Tax (VAT) and Supplementary Duty Act 2012, the VAT and Supplementary Duty Rules 2016, the Customs Act 2023, and other relevant laws and regulations.

The ICAB was also pleased to note that several of its recommendations have been reflected in the proposed budget.

The Institute expects these measures to enhance the efficiency of tax administration, facilitate ease of doing business, and improve the investment climate.

ICAB commended the government for introducing several practical and realistic initiatives in the proposed budget.

The ICAB President emphasized that Chartered Accountants are key stakeholders in the national economy through their contributions in tax advisory services, financial reporting, audit and assurance, tax compliance, and strengthening investor confidence.

He also highlighted the profession’s important role in attracting foreign investment, promoting entrepreneurship, generating employment, facilitating business operations, and implementing international standards in the financial sector.

He further stated that ICAB has consistently provided constructive opinions on various economic, financial, and policy matters in the greater interest of the country.

The Institute believes that through coordinated efforts among the Government, the business community, and professionals, Bangladesh’s economy will become stronger and more sustainable.

The press conference was moderated by Council Member of ICAB and Chairman of the Taxation and Corporate Laws Committee MBM Lutful Hades while the closing remarks were delivered by ICAB Vice President Md. Moniruzzaman.

The welcome address was delivered by Mostafa Kamal, acting chief executive officer of ICAB.
A presentation on various aspects of the proposed national budget was made by Sarker Nahidul Islam, Director – Tax and Advisory Services, Rahman Rahman Huq, Chartered Accountants.

Among others present at the event were ICAB Vice President Md. Rokonuzzaman; Council Members Md. Mahbubur Rahman; Mohammad Redwanur Rahman;, Md. YasinMiah; Ziaur Rahman Zia, Md. AmranHossain; and Mohammad MoinUddinRiad; Past President Md. Shahadat Hossain; and Fellow Member Snehasish Barua.