The National Board of Revenue (NBR) faced a chaotic time in 2024 after one of its senior members became embroiled in a high-profile scandal over the purchase of a sacrificial goat worth Tk 15 lakh, exposing vast amounts of his illegal wealth.
The year began on a routine note for the revenue authority, but the ‘goat scandal’ thrust the institution into controversy.
Md Motiur Rahman, a former high-ranking NBR official, became the focus of public outrage and investigations after his son, Mushfiqur Rahman Ifat, boasted on social media about purchasing the exorbitantly priced goat ahead of Eid-ul-Azha.
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The revelation sparked widespread scrutiny of Rahman’s wealth, prompting the Anti-Corruption Commission (ACC) to launch an inquiry into his and his family's financial dealings.
Investigators found evidence suggesting Rahman had engaged in insider trading by acquiring placement shares in multiple companies—a violation of service rules that prohibit government officials from speculative trading or investments conflicting with their duties.
Rahman has denied any wrongdoing claiming that his and his family’s income sources are properly documented in tax filings.
In the aftermath, Rahman was removed from his role as president of the NBR’s Customs, Excise, and VAT Appellate Tribunal and reassigned to the Internal Resources Division of the Finance Ministry.
He later applied for voluntary retirement which the government approved.
The ACC investigation is ongoing, and some of Rahman’s assets have been seized after court orders.
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The scandal reignited debates about corruption and ethical conduct in public service, underscoring the urgent need for stricter regulations to curb abuse of power.
Post-Scandal Reforms and Investigations
Following the fall of the Awami League regime through a mass uprising, the NBR intensified its efforts to combat corruption.
It is actively identifying and prosecuting government officials suspected of amassing illicit wealth.
In collaboration with the ACC, the NBR is scrutinising public servants’ financial records to detect discrepancies between declared income and actual assets.
The Central Intelligence Cell (CIC) of NBR has launched inquiries into the financial dealings of prominent industrialists including Salman F Rahman, Vice-Chairman of Beximco Group; Nazrul Islam Mazumder, Chairman of Nassa Group; Muhammed Aziz Khan, Chairman of Summit Group; Ahmed Akbar Sobhan, Chairman of Bashundhara Group; and Obaidul Karim, Chairman of Orion Group.
These investigations aim to uncover tax evasion and ensure compliance with the Income Tax Act, 2023, and the Money Laundering Prevention Act, 2012.
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Earlier, the NBR started similar probes against Saiful Alam Masud, Chairman of S Alam Group, and his family, signaling a broader crackdown on tax evasion among influential figures.
NBR officials said the inquiries are based on confidential information and media reports, with legal action to follow if evidence of tax evasion is found.
Digital Transformation and Revenue Performance
The NBR has also streamlined tax filing by enhancing its online services.
Taxpayers can now submit returns through the NBR’s online portal, reducing the need for physical visits to tax offices.
Step-by-step guidelines and online support have been introduced to simplify the process, encourage compliance, and improve transparency.
Despite these efforts, the NBR collected Tk 382,562 crore in the fiscal year 2023-24, a 15.4% increase from the previous year but falling short of its revised target by Tk 27,438 crore.
The original revenue target for FY24 was Tk 5,00,000 crore.
Value Added Tax (VAT) collection saw the highest growth, increasing by 20% to over Tk 1.5 lakh crore.
Income tax collection rose by 15.6% to Tk 1,31,000 crore, while import tax collection grew by 8.72% to Tk 1,00,819 crore.
Economists attributed the growth partly to high inflation which inflated commodity prices and boosted revenue collection.
However, they warned that achieving the FY25 revenue target of Tk 4.8 lakh crore—requiring a 26% effective growth rate—may prove challenging without significant policy adjustments.