BIN Registration

BIN-Registration-1

VAT Registration in Bangladesh | BIN Registration BD
How to Obtain a BIN/VAT Registration Certificate in Bangladesh

Value Added Tax or VAT is such an indirect tax that is paid by the consumer through a registered person. Value Added Tax or VAT on a particular good or service is determined on the basis of adding an actual level of value of the said goods or service adjusting input tax payable against the supplied goods or service.

BIN-Registration

BIN/VAT REGISTRATION CERTIFICATE

REQUIRED SUPPORTING DOCUMENTS FOR BIN / VAT REGISTRATION CERTIFICATE:

NID
Picture
Phone Number
Email address
Passport If, foreign 100% equity company
BIDA Registration Certificate (If, foreign 100% equity company)
Copy of valid Trade License
Tax Identification Number (TIN)
Bank Solvency Certificate
Rental Deed
Copy of membership certificate from local Chamber of Commerce and Industry or relevant Trade Association
If a partnership business: Incorporation Certificate
If a limited company:
1. Certificate of Incorporation
2. Articles of Association
3. Memorandum of Association

VAT Online Service:

After vat registration you need to file vat return every month date of 15th by using vat online services, NBR

Who pays the VAT?

The procedure of Value Added Tax or VAT is an automatic taxing procedure based on input tax credit against supply or sale. The supplier accepts the paid-up VAT on the purchase tax of the goods or service during the purchase as credit as against the VAT included in the price during the supply of such goods or services and he pays the net amount of VAT.

Therefore, the seller realizes the VAT from within the price obtained from the buyer & deposits the net amount of VAT to the Government treasury after taking on VAT at the purchase level. As VAT is considered to be a consumer tax, the consumer shall pay the whole amount of VAT as applicable on goods or service. As an intermediary procedure, the producer, the supplier, all at every level of sale, shall realize VAT on behalf of the Government and deposit to the Government treasury.

The VAT payer is the last consumer of goods or service in the Value Added Tax procedure. The supplier or seller realizes VAT from the purchaser at every level of sale and deposits to the Government treasury.

How to apply for VAT registration?

Applying for vat registration number , but there are requirements you have to meet to be entitled. You need to provide the right information to support your application. This will also reduce possible delays in processing your request.

What is BIN Registration or Enlistment?

Under the Value Added Tax procedure, any importer, exporter or taxable supplier has to be involved in the VAT Procedure. This involvement takes place with the VAT procedure through registration or enlistment. He has to abide by the VAT law through taking Business Identification Number in the prescribed manner under the purview of the VAT law. And under the purview of the VAT law, taking Business Identification Number in the prescribed manned is called registration or enlistment.

When shall I have to take BIN Registration or Enlistment?

According to the Value Added Tax and Supplementary Duty Act 2012, VAT registration of all business entities has been made compulsory.

For those for whom VAT registration is mandatory:

Those with an annual sale price of between tk. 50 lakh and tk. 3 crore will have to register for turnover VAT. But it does not include the following sale price, namely:

the price of the exempted supply;
the selling price of capital assets;
the selling price of an institution or part of an economic activity; Or
the value of supplies made as a result of the permanent cessation of economic activities;
Those whose annual selling price is above Tk 3 crore will have to register for compulsory VAT.

Also the following persons / businesses have to take compulsory VAT registration irrespective of the selling price:

All persons / organizations supplying / producing / importing goods / services for which supplementary duty is levied All persons / organizations who provide goods / services against tender / contract / work order Individuals / institutions engaged in import-export business Manufacturers / Service Providers / Business Suppliers / Shops located in Super shops and Shopping Malls / Establishments in City Corporations and District Cities as per General Order No. 17.

For those for whom VAT registration is not mandatory:

Whose annual sales value is less than tk. 50 lakh and not related to the nature of the business mentioned above. Goods and services exempted from VAT mentioned in the first schedule.

What is a Business Identification Number (BIN) ?

Business Identification Number is the business identification number taken by an individual on the basis of turnover of his economic activities. This identification number can’t determine the nature and activities of the individual’s economic activities. It is a specific number of 9 digits by which a taxpayer can be identified. A tax payer’s state of business affairs can be identified through this number from the website of the NBR.

How can I obtain a BIN?

If the limit of the annual turnover of my economic activities exceeds the prescribed limit, an application has to be submitted to the Commissioner in Form- VAT 2.1.

After proper scrutiny and examination, a Registration Certificate/Turnover Tax Enlistment Certificate will be issued in your favor in Form-VAT 2.1 containing a BIN from the VAT system within three working days.

Not everybody is entitled to a BIN. Although everybody can apply for free, only those who are entitled will get and hold a BIN.

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BIN Registration FAQ

To get a BIN you need to be carrying on an enterprise. If your BIN application has been successful your details are stored in the IVAS (Integrated VAT Administration System) at NBR. There are options available if the application has been refused.

VAT is a consumption tax that's applicable to the value added at each stage of production or distribution. BIN, on the other hand, is a unique identification number assigned to businesses for regulatory purposes

On every credit card, you'll find a bank identification number (BIN). The BIN represents the card's first six to eight numbers, which together identify the financial institution that issued the card.Apr 12, 2023
Company Registration Process in Bangladesh