State Minister for Planning Zonayed Abdur Rahim Saki has sought to allay public concerns over bringing grocery shops and kitchen markets under the tax net, saying taxes will be determined according to taxpayers' capacity.

"We must undoubtedly express concern about this. But people need to be reassured. Since the tax net has been expanded in a very logical way, initially a flat-rate tax will be determined according to taxpayers' capacity," he said while taking part in the discussion on the proposed national budget for the 2026-27 fiscal year at the parliament today.

Zonayed Saki said that despite concerns over financing, the government would be able to achieve its revenue collection target for the 2026-27 fiscal year through tax reforms, automation and strict measures against tax evasion.

He said many members of parliament had questioned both the size of the proposed budget and its sources of financing.

Pointing out that Bangladesh's budget amounts to about 13 percent of GDP, compared with 30 to 33 percent in neighbouring and many other countries, Saki said the country's budget remained relatively small.

The state minister said the government had inherited a "collapsed and fragile economy" and prepared the budget in line with the country's current economic capacity, with the aim of reconstruction and long-term prosperity.

Responding to concerns over financing, Zonayed Saki acknowledged that questions remained over achieving the revenue target of Tk 6.95 trillion because of the National Board of Revenue's past performance.

However, he said various government measures had led to a significant increase in revenue collection over the past four months compared with the same period of the previous fiscal year.

According to Zonayed Saki, tax evasion, fraud and excessive tax exemptions had for years prevented the government from collecting the revenue it required. To address these irregularities, the government is rapidly advancing automation in tax administration.

He added that automation programmes were inaugurated on Sunday at the National Board of Revenue and five other institutions.

The state minister also said the government would separate revenue policy formulation from revenue collection activities. As part of the reform, an independent policy-making body comprising experts from outside the bureaucracy will be established.

He expressed hope that strict action against tax evasion would enable the government to achieve its targeted revenue collection in the coming fiscal year.