Businesses must take e-BIN for running their activities as the National Board of Revenue (NBR) is going to make it compulsory for them during the current fiscal year (2017-18).
The NBR has already planned to cancel the old 11-digit Value Added Tax (VAT) registration, sources said.
"NBR is giving online VAT registration so that businesspeople can run their activities in a hassle-free environment. Re-registration and fresh registration facilities are available at the NBR," said online project director and NBR member (Customs and VAT Administration) Md Rezaul Hasan.
He said the government held up the enforcement of the Value Added Tax and Supplementary Duty Act, 2012 but businesses will have to take e-BIN during the FY18 for smooth operation of their activities.June 30 was the deadline for online VAT registration and NBR has already extended this time limit, Hasan said, adding that the NBR will cancel all old BINs in FY18, reports BSS.
He said around 40,000 businesses have already taken e-BIN up to June 30 and NBR gets around 90 percent of its total VAT collected in a fiscal year from these business-houses. As the online system has already been completed, the NBR can now operate some activities, including receiving tax returns, properly.
Besides, if the e-BIN is made mandatory for businesses, NBR will be able to know the actual number of businesses in the country, he added.
NBR launched online VAT registration for businesses on March 15 and taking the 9-digit VAT registration by June 30 was made compulsory for the businesses under the Value Added Tax and Supplementary Duty Act, 2012. But the government held up the enforcement of the law for two more years taking the interest of the people into consideration.
NBR says that there is no barrier to introducing the online VAT system despite the delay in implementation of the Value Added Tax and Supplementary Duty Act, 2012.
"So, NBR is planning to make e-BIN for businesses mandatory during FY18," Hasan said and requested businesses to complete online registration formalities immediately.
According to NBR, there are eight lakh businesses under the VAT law 1991 but the number will fall significantly as per the new registration system because businesses had to take separate registration for their separate businesses entities under the traditional system. For example, Bata Shoes have 3000 registration numbers under traditional system but this company will now be given one e-BIN to run operations, said NBR.
Any business-house can easily take e-BIN by visiting NBR's-Vat.gov.bd- web site, said Hasan.