Dhaka: The country is stepping into a new VAT (value added tax) regime by July this year getting a new law and a state of the art technology to facilitate taxpayers a hassle-free revenue collection system.

‘We know that the VAT Law 2016 will be introduced in July aiming to introduce information management in VAT management, reform the VAT management process and reconstruct the organisational structure of the VAT division,’ said Bangladesh Bank (BB) Governor Atiur Rahman.

Addressing a seminar on ‘VAT e-Payment Integration with IBAS and Other Commercial Banks’ at the Institution of Diploma Engineers Bangladesh (IDEB) in Dhaka, he said the National Board of Revenue (NBR) would also introduce the online VAT e-payment system from July 1.

He said the revenue authorities would also make the whole activities of tax collection process fully automated by December with an objective of ensuring a hassle free revenue collection processes.

The governor said the automation system would help the taxpayers to register for VAT, fill up forms and make payment through online.

Lauding the recent initiatives of NBR to build a tax-friendly environment, he said the central bank is ready to provide necessary support to their effort to help develop a tax-payment culture and mobilise more domestic resources.