In a dramatic escalation of protest, revenue officials across Bangladesh announced a complete shutdown of National Board of Revenue (NBR) offices starting Monday, in response to the government’s move to split the tax authority into two separate divisions.

The shutdown, declared Saturday by the NBR Oikya Parishad, will halt all revenue operations—including export-import assessments by land, sea, and air—except for international passenger services. It follows days of demonstrations and a partial work stoppage that began May 14, after the government issued an ordinance on May 12 to bifurcate the NBR into Tax Policy and Tax Administration divisions.

At a press conference held outside the NBR headquarters, after law enforcement barred them from using the premises, NBR officials reiterated their four-point demand, foremost of which was the immediate repeal of the ordinance.

Economists, trade leaders, and business chambers have warned that the standoff could paralyse trade and revenue collection at a critical juncture near the end of the fiscal year.

Professor Mustafizur Rahman of the Centre for Policy Dialogue (CPD) blamed the government for mishandling the reform process from the start. “Such major institutional restructuring should have been undertaken with the confidence and cooperation of revenue officials,” he said.

He cautioned that the deadlock would hurt revenue collection and economic stability, stressing the need for a “mutually agreeable solution” without further delay.

Business leaders echoed similar concerns. Taskin Ahmed, President of the Dhaka Chamber of Commerce and Industry (DCCI), said import clearance has stopped, leaving industrial raw materials, essential consumer goods, and machinery stranded at ports.

“This will disrupt production, delay delivery schedules, and eventually drive up consumer prices,” he warned.

Mohammad Hatem, President of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), urged the government to act swiftly. “The apparel sector, which alone handles $300 million worth of trade daily, risks being crippled. Any disruption will jeopardise wage and Eid bonus payments to workers,” he said.

Farooq Ahmed, Secretary-General of the Metropolitan Chamber of Commerce and Industry (MCCI), called for immediate dialogue and offered the chamber’s support for any stakeholder consultation process to help resolve the crisis.

In a press release on May 22, the government had signalled its willingness to amend the ordinance based on discussions. But officials say the move failed to reassure them, citing “hide-and-seek” tactics and a lack of genuine engagement.

“What’s unfolding now is deeply damaging for both governance and the economy,” said Professor Rahman, adding, “It didn’t have to come to this if transparency and dialogue were prioritised from the start.”

With the fiscal year ending in June and budget formulation underway, observers fear prolonged disruption could derail revenue targets and strain Bangladesh’s already limited fiscal space.

The government has yet to issue a formal response to the announcement of the total shutdown.