The National Board of Revenue (NBR) has initiated a sweeping administrative overhaul and expansion of its customs and value-added tax (VAT) wings, aimed at broadening the tax base and strengthening revenue mobilization.

According to a notification issued by the Internal Resources Division (IRD) on 14 October, the reform includes the establishment of 12 new commissionerates, customs houses, and specialized units under the NBR.

The initiative also creates 3,597 new positions—including 373 cadre and 3,224 non-cadre posts—to enhance institutional capacity and operational efficiency across the tax administration.

“The expansion is part of a broader effort to promote self-reliance in the national economy through increased revenue collection, improve service delivery for a business-friendly environment, and make the indirect tax system more dynamic and effective,” the IRD said in a statement.

The restructuring plan, proposed by the NBR, received administrative approval from the Ministry of Public Administration, the Finance Division, and the Cabinet Division before the IRD issued its final order.

Under the new framework, the expansion will be rolled out in three phases, creating five new VAT commissionerates, four customs houses, and three specialized offices. The reforms also provide for the decentralization of customs and VAT intelligence operations, expansion of existing units, and the scaling up of customs activities at Dhaka airport’s third terminal.

Officials said the reorganization is designed to improve efficiency in indirect tax administration, raise the tax-to-GDP ratio, facilitate trade and investment, and support the government’s broader objective of achieving sustainable economic growth.