United Nations Public Service Awards Case Studies

The Taxes Training Directorate/ B.C.S. Tax Academy, is the apex institution for training the officers and staff of the Income-tax department in Bangladesh. To impart induction training to the officers of the Bangladesh Civil Service tax officers recruited directly through the Civil Service Examination conducted by the Public Service Commission, Bangladesh, is one of it’s major functions. Apart from this all other in-service courses are run at the Academy for officers and staff of the Income-tax department and other departments. For comprehensive training of the ministerial cadre of Income-tax department, the Academy camps at different parts of the country like Chittagong, Sylhet, Rajshahi, Rangpur, Khulna, Barisal etc. where regional offices are located with Ministerial Staff Training Units for week-long programmes.

The Academy is headed by the Director General (Training), who is a Commissioner of Tax under the National Board of Revenue and is of the rank of Joint Secretary, to the Government of Bangladesh. One Additional Director, one Joint Director One Deputy Director and an Assistant Director is there to assist him.

The Academy provides intensive training in Income-tax law, Accountancy, Office procedure, Bangladesh Service Rules, Financial Rules, other relevant laws, banking etc. to it’s officers.

Every year during the time of submission of Income-tax returns the Academy in addition to all it’s other duties turns into a Tax Advisory and Consulting Cell.

The Academy conducts training programmes on Income-tax law for Accounts officers, Superintendents and Auditors of the Local and Revenue Audit Directorate. It also conducts programmes on Procedure to deduct Advance Income-tax (AIT) and Value Added Tax (VAT) for officers of different authorities who are in-charge of collecting AIT and VAT.

The knowledge and discipline gained from the training contributes in higher revenue earning for the Government.
We would like to apply for the following category of the award for 2009.

i. Advancing knowledge management in government.
Introducing a unique idea, a distinctively new approach to problem solution through the application of new knowledge management techniques, through training.
Each year teams comprising of Audit officers, Superintendents and Auditors from the Govt’s Local and Revenue Audit Department audit all Income tax units/offices. At a time it was revealed that, apart from putting objection in cases of genuine mistakes done by the officer’s of the Income tax department they also calculated the amount of tax at it’s highest rate that they thought was lost for not penalising every assessee who has not submitted his return in time. This was a large amount of tax added to the main sum, which turned arrear when the Comptroller and Auditor General (CAG), submitted his annual report to the President. This amount would remain unrealised and gave a dismal picture of the performance of Income tax department officers.
The impact is measured quantitatively in the amount of arrear demand outstanding at the end of a financial year which is not collectable. Example: The information table regarding created demand and collection of tax as per the NBR’s statistics cell for the year 2004-2005 shows total demand created was Taka 5069.08 crore, reduced in appeal revisions was Taka 3374.67 crore. So collectable arrear demand would be Taka 1694.41 crore. But it is shown at Taka 637.79 crore. The rest Taka 1256.62 crore is not collectable which contains a large amount of penalty for non submission of return in time slapped by the audit auhorities and not created by the Income tax officers.

What is the initiative about? (the solution)
A three week long training programme on Income tax Law specially for the Accounts officers, Superintendents and Auditors of Local and Revenue Audit Directorate was designed. The course curriculum in a nutshell gives them an idea of how the Income tax officer works, the use of his knowledge of accountancy, banking, within his perimeters of office procedure, judiciously exercising his power to apply the Income tax Law. The goal is to make them realize that this Law is very humane. It does not allow it’s user to be unjust in any situation. Any application, submission, prayer by the assessee needs proper consideration. The assessee has his right to be heard before any action is taken against him. Therefore, if he has a good convincing reason for not submitting his return in time, we do not penalize him. Uptil now since the year 2006, one hundred and fifty one officers and staff of the Audit Directorate have been trained in five batches, and another training is in progress at the Academy at the moment. Now there is a greater comprehension between the departments. The certain qualitative change brought about to the Audit personnel has resulted in them showing greater restraint on their part to act randomly. That is being more responsible in raising objections. It has benifited the Income tax department in reduced, correct and collectable demands.

Who proposed the solution, who implemented it and who were the stakeholders?
The solution was proposed by Mr. Choudhury Khalequzzaman, retired Commisioner of this department. He was the D.G. of TTD/BCSTA. Implementation started during his time in the year 2006. Since then realising the importance of the course Mr. Aminur Rahman, Ms. Rahela Choudhury both former D.Gs and the present one have continued it. The stakeholder was the Income tax department, which is the machinery to collect internal revenue under the NBR. A suitable course module was developed by the D.G. Academy, in consultation with senior Commissioners, who were facing the yearly audits and weighed down with uncollectable demands and trying to find a way out. The D.G. of the Local and Revenue Audit was invited to consider the proposal, where their personnel would be trained to resolve problems faced by the Income tax department. The training is free of cost, two training courses a year at their convenient time. A small price to pay for the boost in developed relations between departments and problem solution.

Describe how and when the initiative was implemented by answering these questions
a. What were the strategies used to implement the initiative? In no more than 500 words, provide a summary of the main objectives and strategies of the initiative, how they were established and by whom.
a. What were the strategies: The strategy used to implement the initaitive was designing a suitable module which serves the aim to resolve the problem. The acceptance of the propsal by the audit department. The training would take place at the TTD/BCSTA in Dhaka. Participants coming from outside Dhaka could stay at the Academy dormitory free of charge. The training would be free of cost. An optimum thirty personnel could participate in each course. Certicates are given at the end of a course. Expert senior officers of the Income tax department who are aware of the aim of the initiative would take classes. Directors of Audit department are invited to take motivation classes. The D.G. of the Audit department is invited at opening and closing ceremonies. Last year the Honourable Secretary, Internal Revenue Department (IRD) and Chairman of the NBR, graced the occasion by his presence, hence enhancing the importance of such endeavours on the part of both the departments.

b. What were the key development and implementation steps and the chronology? No more than 500 words
b. Begining from the year 2006 till the end of this ongoing month in 2009, we would have twohundred and one Audit officers, Superintendents and Auditors of the Local and Revenue Audit office trained at the Academy. These are people with a better understanding of the situation in an Income tax office. The training has resulted in their being very responsible in performing their duties as auditors saving us the humiliation of the past.

c. What were the main obstacles encountered? How were they overcome? No more than 500 words
c. Once the policy decision about the training was established, we put our heart and soul in it, to make it attractive as well as sucessful. Elderly participants who have a lower degree of attention level at times failed in the final assessment test. Extra attention is given, so that everyone gets the basics of all that is taught and attain a standard understanding of what is conveyed. Hand notes are given for revision outside class or for future reference. Overhead projectors, multimedia are used in the classroaom to expel monotony. Tea/coffee is served at tea breaks. We only wish we had more monetory resource to improve the quality of entertainment, to give participants a small perdiem as small as taka 200 (U.S.$ 03) only per person per day while training and give them standard training materials. We are trying our best to get administrative approval from the Ministry of Finance. Meanwhile, we are making do with what we have.

d. What resources were used for the initiative and what were its key benefits? In no more than 500 words, specify what were the financial, technical and human resources’ costs associated with this initiative. Describe how resources were mobilized
d. The Taxes Training Directorate/B.C.S. Tax Academy draws it’s training calendar from January to December, which is approved by the NBR. In 2008 the Academy completed 32 training programmes through which 906 people were trained in total 1,946 hours of training time and the budget was taka 93,48,605 in comparison to the year 2007 in which 18 training programmes were conducted to train 450 people in 682 hours of training time and the budget was taka 86,47,000.

Is the initiative sustainable and transferable?
The initiative is sustainable and transferable. The training calendar of the TTD/BCSTA is approved at the begining of the year containing relevant programmes as decided by the Academy. So there is no constraint in giving the trainings. Budget allocated by MOF is sufficient. The training would continue gaining a certain standard as adjustment in training matters and subjects are done wih the need of the time and as long as it is needed. This initiative is being replicated by the Academy itself. In trying to help successful implementation of govt. policies by the NBR we identify fields which are in trouble and find ways to resolve it through training. The NBR is responsible for collecting the annual budget through it’s zonal tax offices. Each office is given a specific amount to be collected. The unit or Tax circle with it’s specific jurisdiction has an annual target as well as a monthly target to be met and report back. The major amount of tax is collected from withholding and advance Income tax. This tax is collected or appropriated from bills by officers incharge of collecting Advance Income Tax (AIT) and Value Added Tax (VAT) of different departments of the Govt. For example, the Accomodation and public housing directorate, the Roads and highways division, Public health and engineering department, Facilities department, Agriculture development corporation, the Local govt. engineering department, Power development board, Rural electrification board, Water development board, the District council office, Dhaka city corporation, Army H.Q. C-N-C housing depratment of Dhaka cantonment, Bangladesh telegraph and telephone board, Gas transmission and distribution company, Food directorate, Bangladesh chemical industries are a few to be named.Last year 120 officers were trained by expert senior officials of both Income tax and Customs department. Most years, the rates of AIT and VAT on different items, goods and services change. The notification letters or gazette notifications usually don’t reach the concerned officers in far flung areas of the country in time. Also, they are not aware of consequences of collecting the tax and not depositing it in, within stipulated time, keeping it either being lazy or on purpose. At times they lack the knowledge of the procedure to do it, the specific forms to be filled in, etc. As a result The Income tax department had to bear the brunt. After training 212 officers in four courses, satisfactory improvement of the situation is noticed. Specially the collection of the last day, 30th June of every financial year is crucial, in having it’s reflection in the annual budget. From a total of more than 35 items the mount of advance AIT collected in June 2009 was taka 61750.59 crore in comparison to taka 5154.97 in June 2007 and taka 4011.94 in June 2006. Which goes to show the success of the programme and module thought up by Mr. Aminur Rahman a former D.G. of the academy. This has given a great chance of networking with other departments of the govt. and also enhanced our prestige as good service providers, in way of supplying them with the govt. notifications or advice over phone as and when needed. We have other such programmes in the pipeline to assist the NBR achieve its goal in successfully implementing its policies.

What are the impact of your initiative and the lessons learned?
Seeing the initiative work, having the desired impact on situations makes one feel good obviously. It gives inspiration to give all-out extra effort to create new programmes and work on them. But it is imperative that each and everyone from their own position give their utmost effort in whatever they are working on. This would help interdepartmental problems and differences turn to agreeable solutions. It would ensure smooth and better service in the long run for the public which is the ultimate goal.


Institution Name:		Taxes Training Directorate/Bangladesh Civil Service Tax Academy.
Institution Type:		Government Department
Contact Person:		Arifa Shahana
Title:		D.G.TTD and Principal BCSTA
Telephone/ Fax:		88-02-9333520, 88-02-9331807
Institution's / Project's Website:		88-02-9345359
E-mail:		arifadgtax@gmail.com
Address:		Taxes Training Directorate/BCS Tax Academy, 27/1 New Eskaton Road, Dhaka
Postal Code:		1000
City:		Dhaka
State/Province:		Dhaka
Country:		Bangladesh

The Problem

Solution and Key Benefits

Actors and Stakeholders

(a) Strategies

(b) Implementation

(c) Overcoming Obstacles

(d) Use of Resources

Sustainability and Transferability

Lessons Learned

Contact Information