Electronic Fiscal Device (EFD) is an improved version of electronic cash register
The National Board of Revenue will arrange a lottery from January next to reward VAT payers who use the Electronic Fiscal Device or EFD to pay VAT while making purchases.
NBR Chairman Abu Hena Md Rahmatul Muneem made the announcement on Thursday at a programme to inform the businessmen about the use and benefits of EFD and Sales Data Controller.
The programme was organised by the Dhaka South Customs Excise and VAT Commissionerate at a city hotel.
According to the sources at the NBR, EFD is basically an improved version of the electronic cash register. After selling a product, the seller will enter the data into the machine and provide the invoice to the customer.
The NBR will arrange a lottery of those invoices.
The use of EFDs will bring transparency in the process of buying and selling goods and services and reduce VAT evasion to a large extent, the sources added.
The NBR chairman said, "People's reluctance to pay VAT through EFD would be removed if they get rewards. It will also lead to more development of the state."
He further said, "There is a negative attitude regarding VAT collection among many people. Shop owners have their own views, while the consumers say they pay VAT but the shop owners do not deposit it to the government treasury."
He also said the shop owners do not pay the VAT, the consumers pay it. The shop owners' job is to collect it for the government and deposit it properly.
Mannan Sikder, a member of NBR's VAT Implementation and IT section, said VAT must be collected to assist the government in its progress.
"We do not want to lag behind. We want to move forward," he added.
Zakia Sultana, NBR member, said, "We have provided EFDs to 1,000 organisations since August. We want to move on in order to build a digital Bangladesh."
"EFDs are being installed in 20 sectors. The government policy is to ensure the use of digital technology in all possible sectors. So, everyone should assist in the process of providing revenue to the government."