The Bangladesh government is planning a VAT-centered revenue strategy for the 2026–27 fiscal year, setting a collection target of about Tk 3.1 trillion from value-added tax. This would form a major portion of the total projected revenue goal of Tk 6.29 trillion. The proposed national budget is expected to reach Tk 9.3 trillion, roughly Tk 1.4 trillion higher than the current year, with priorities including poverty reduction, job creation, human resource development, and inflation control.

According to the Ministry of Finance, the emphasis on VAT collection aims to meet International Monetary Fund loan conditions and raise the revenue-to-GDP ratio to 10.17 percent. The plan allocates Tk 6.04 trillion from taxes, including Tk 2.22 trillion from income tax and Tk 670 billion from customs duties. However, actual revenue collection in the first eight months of 2025–26 reached only about half of the revised target, highlighting persistent structural weaknesses and administrative inefficiencies.

Officials acknowledge challenges such as tax evasion and limited tax coverage but continue to view VAT as the most effective short-term tool for boosting revenue under current economic and international obligations.