DHAKA: Both old and new business identification numbers (BINs) will be considered valid until June 30, 2017 for opening of letters of credit (L/C) and other purposes.
The National Board of Revenue (NBR) started issuing new BIN from March 15, 2017.
The existing 11-digit BIN (old one) will be automatically invalid from July 1, 2017.
The government has automated the VAT system as a part of implementation of new VAT and Supplementary Duty Act-2012, from the upcoming fiscal year.
In a recent notice, the National Board of Revenue (NBR) said new business ventures can use the new nine-digit BIN just after registering with the VAT online, before July, 1, 2017.
The VAT online system is integrated with the customs system Asycuda world. Both nine-digit and 11-digit BIN can be used for import-export activities until June 30, 2017.
Furnishing BIN is mandatory in import-export documents such as pro-forma invoice, LC, commercial invoice, packing list etc.
Everyday 200 to 250 businesses are obtaining new BIN, on an average, which is much higher than that of the traditional registration rate.
A total of 2,447 businesses obtained e-BIN so far. Of them, some 1,917 are new businesses while rest of them existing 11-digit BIN holders who obtained fresh registration, official data said.
VAT online project (VOP) director and NBR member (customs and VAT administration) Md Rezaul Hassan, in a notice, instructed all customs and VAT commissionarates across the country to accept any of the BINs up to June 30, 2017.
Both the BINs can be used in the customs for assessment purpose and taxation. Concerned customs commissioner will take necessary steps for this, the notice said.
Currently, 11-digit BIN is mandatory for any purchase by the tax-deducting authority through tender. Holders of new nine-digit BIN will be able to participate in tender as per instruction.
Talking to the FE Wednesday, Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) president Abdul Matlub Ahmad, who recently obtained the e-BIN, said the automated registration has simplified the business procedure.
“I have 37 branches of my business units and had to obtain several VAT registration numbers. Now, it can be done with a single central e-BIN,” he said.
Online VAT registration will ensure transparency and proper deposit of VAT to the public exchequer, he added.
“All have to pay VAT as it is consumers’ tax, not a part of business profit,” he added.
Change of mindset of businesses is necessary to ensure compliances among the businesses, he added.
Those who have obtained VAT registration under the existing VAT law, 1991, will have to obtain fresh registration.
The 11-digit and nine-digit e-BIN can be verified through the NBR website www.nbr.gov.bd. Relevant information of the taxpayers and BIN verification can be done by searching the upper-right corner ‘check status’.
The e-BIN is provided in the form of certificate of VAT2.3. Taxpayers’ detailed information can be found by scanning the QR code.
The government has set a goal to bring 5,00,000 taxpayers under VAT registration net.
VAT registration through false information will be stopped and management system of businesses will be automated with the introduction of new online registration system.
