It has been seen that the dominance of VAT and import duty in tax revenue sector is increasing day by day. Moreover, in order to increase revenue collection from domestic sources, VAT network has been widened in recent years.

Recommendation: From the above discussion it’s clear that attaining an optimal tax structure is one of the most important issues for the government to increase the revenue generation from taxes for accelerating growth and to improve the quality of life of the citizens. A long term sustainable solution to enhance transparency, promote growth, improve tax compliance and thus to increase tax to GAP ratio is much desirable issue in the context of Bangladesh.