GDP Growth and Indirect Taxation in Bangladesh: Related Issues, Consequences and Expectation

Aoulad Hosen

doi:doi:10.11648/j.ijber.20190805.15

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GDP Growth and Indirect Taxation in Bangladesh: Related Issues, Consequences and Expectation

Aoulad Hosen

Published in International Journal of Business and Economics Research (Volume 8, Issue 5)

Received: 10 July 2019 Accepted: 6 August 2019 Published: 20 August 2019

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Abstract

This is an empirical study that takes GDP growth and indirect tax in Bangladesh as its cynosure. It examines the relationship between the growth rate of Gross Domestic Product (GDP) and the indirect-tax for the policy issues regarding long-term macroeconomic stability as well as economic development of Bangladesh. This paper focuses on the impact of indirect taxation on GDP and demonstrates the influence that taxation has on the tax paying individual and business firms irrespective of economic scale. To analyze the relationship between GDP and indirect tax, this research incorporated econometric models for time series data of Bangladesh over a period of 43 years. The results show, if the Government in the long run increases the collection of indirect tax revenue by one percent (USD 167.511 million) then the GDP will decrease to a 0.96 percent (USD 2,572 million). The study concludes that the stability of economic growth can be achieved through a reformed tax policy on the basis of the country’s socioeconomic strength and the canons of taxation.

Published in	International Journal of Business and Economics Research (Volume 8, Issue 5)
DOI	10.11648/j.ijber.20190805.15
Page(s)	286-296
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2019. Published by Science Publishing Group

Keywords

GDP, Economic Growth, Econometric Methods, Indirect Tax, Social Justice and Tax Reform

References

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[8]	Nadeem I, Muhammad F A, Suliman S (2015). Empirical Analysis of Tax Revenues and Its Impact on Economic Growth of Pakistan. Journal of Economics and Sustainable Development, 6 (1): 110-118. https://pdfs.semanticscholar.org/fdc0/d05f20260d533f05e5af99892ced5082286c.pdf
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APA Style

Aoulad Hosen. (2019). GDP Growth and Indirect Taxation in Bangladesh: Related Issues, Consequences and Expectation. International Journal of Business and Economics Research, 8(5), 286-296. https://doi.org/10.11648/j.ijber.20190805.15

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ACS Style

Aoulad Hosen. GDP Growth and Indirect Taxation in Bangladesh: Related Issues, Consequences and Expectation. Int. J. Bus. Econ. Res. 2019, 8(5), 286-296. doi: 10.11648/j.ijber.20190805.15

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AMA Style

Aoulad Hosen. GDP Growth and Indirect Taxation in Bangladesh: Related Issues, Consequences and Expectation. Int J Bus Econ Res. 2019;8(5):286-296. doi: 10.11648/j.ijber.20190805.15

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@article{10.11648/j.ijber.20190805.15,
  author = {Aoulad Hosen},
  title = {GDP Growth and Indirect Taxation in Bangladesh: Related Issues, Consequences and Expectation},
  journal = {International Journal of Business and Economics Research},
  volume = {8},
  number = {5},
  pages = {286-296},
  doi = {10.11648/j.ijber.20190805.15},
  url = {https://doi.org/10.11648/j.ijber.20190805.15},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijber.20190805.15},
  abstract = {This is an empirical study that takes GDP growth and indirect tax in Bangladesh as its cynosure. It examines the relationship between the growth rate of Gross Domestic Product (GDP) and the indirect-tax for the policy issues regarding long-term macroeconomic stability as well as economic development of Bangladesh. This paper focuses on the impact of indirect taxation on GDP and demonstrates the influence that taxation has on the tax paying individual and business firms irrespective of economic scale. To analyze the relationship between GDP and indirect tax, this research incorporated econometric models for time series data of Bangladesh over a period of 43 years. The results show, if the Government in the long run increases the collection of indirect tax revenue by one percent (USD 167.511 million) then the GDP will decrease to a 0.96 percent (USD 2,572 million). The study concludes that the stability of economic growth can be achieved through a reformed tax policy on the basis of the country’s socioeconomic strength and the canons of taxation.},
 year = {2019}
}

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TY  - JOUR
T1  - GDP Growth and Indirect Taxation in Bangladesh: Related Issues, Consequences and Expectation
AU  - Aoulad Hosen
Y1  - 2019/08/20
PY  - 2019
N1  - https://doi.org/10.11648/j.ijber.20190805.15
DO  - 10.11648/j.ijber.20190805.15
T2  - International Journal of Business and Economics Research
JF  - International Journal of Business and Economics Research
JO  - International Journal of Business and Economics Research
SP  - 286
EP  - 296
PB  - Science Publishing Group
SN  - 2328-756X
UR  - https://doi.org/10.11648/j.ijber.20190805.15
AB  - This is an empirical study that takes GDP growth and indirect tax in Bangladesh as its cynosure. It examines the relationship between the growth rate of Gross Domestic Product (GDP) and the indirect-tax for the policy issues regarding long-term macroeconomic stability as well as economic development of Bangladesh. This paper focuses on the impact of indirect taxation on GDP and demonstrates the influence that taxation has on the tax paying individual and business firms irrespective of economic scale. To analyze the relationship between GDP and indirect tax, this research incorporated econometric models for time series data of Bangladesh over a period of 43 years. The results show, if the Government in the long run increases the collection of indirect tax revenue by one percent (USD 167.511 million) then the GDP will decrease to a 0.96 percent (USD 2,572 million). The study concludes that the stability of economic growth can be achieved through a reformed tax policy on the basis of the country’s socioeconomic strength and the canons of taxation.
VL  - 8
IS  - 5
ER  -

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Author Information

Aoulad Hosen

Department of Economics, National University, Gazipur, Bangladesh

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Plain Text BibTeX RIS

APA Style

Aoulad Hosen. (2019). GDP Growth and Indirect Taxation in Bangladesh: Related Issues, Consequences and Expectation. International Journal of Business and Economics Research, 8(5), 286-296. https://doi.org/10.11648/j.ijber.20190805.15

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ACS Style

Aoulad Hosen. GDP Growth and Indirect Taxation in Bangladesh: Related Issues, Consequences and Expectation. Int. J. Bus. Econ. Res. 2019, 8(5), 286-296. doi: 10.11648/j.ijber.20190805.15

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AMA Style

Aoulad Hosen. GDP Growth and Indirect Taxation in Bangladesh: Related Issues, Consequences and Expectation. Int J Bus Econ Res. 2019;8(5):286-296. doi: 10.11648/j.ijber.20190805.15

Copy | Download

@article{10.11648/j.ijber.20190805.15,
  author = {Aoulad Hosen},
  title = {GDP Growth and Indirect Taxation in Bangladesh: Related Issues, Consequences and Expectation},
  journal = {International Journal of Business and Economics Research},
  volume = {8},
  number = {5},
  pages = {286-296},
  doi = {10.11648/j.ijber.20190805.15},
  url = {https://doi.org/10.11648/j.ijber.20190805.15},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijber.20190805.15},
  abstract = {This is an empirical study that takes GDP growth and indirect tax in Bangladesh as its cynosure. It examines the relationship between the growth rate of Gross Domestic Product (GDP) and the indirect-tax for the policy issues regarding long-term macroeconomic stability as well as economic development of Bangladesh. This paper focuses on the impact of indirect taxation on GDP and demonstrates the influence that taxation has on the tax paying individual and business firms irrespective of economic scale. To analyze the relationship between GDP and indirect tax, this research incorporated econometric models for time series data of Bangladesh over a period of 43 years. The results show, if the Government in the long run increases the collection of indirect tax revenue by one percent (USD 167.511 million) then the GDP will decrease to a 0.96 percent (USD 2,572 million). The study concludes that the stability of economic growth can be achieved through a reformed tax policy on the basis of the country’s socioeconomic strength and the canons of taxation.},
 year = {2019}
}

Copy | Download

TY  - JOUR
T1  - GDP Growth and Indirect Taxation in Bangladesh: Related Issues, Consequences and Expectation
AU  - Aoulad Hosen
Y1  - 2019/08/20
PY  - 2019
N1  - https://doi.org/10.11648/j.ijber.20190805.15
DO  - 10.11648/j.ijber.20190805.15
T2  - International Journal of Business and Economics Research
JF  - International Journal of Business and Economics Research
JO  - International Journal of Business and Economics Research
SP  - 286
EP  - 296
PB  - Science Publishing Group
SN  - 2328-756X
UR  - https://doi.org/10.11648/j.ijber.20190805.15
AB  - This is an empirical study that takes GDP growth and indirect tax in Bangladesh as its cynosure. It examines the relationship between the growth rate of Gross Domestic Product (GDP) and the indirect-tax for the policy issues regarding long-term macroeconomic stability as well as economic development of Bangladesh. This paper focuses on the impact of indirect taxation on GDP and demonstrates the influence that taxation has on the tax paying individual and business firms irrespective of economic scale. To analyze the relationship between GDP and indirect tax, this research incorporated econometric models for time series data of Bangladesh over a period of 43 years. The results show, if the Government in the long run increases the collection of indirect tax revenue by one percent (USD 167.511 million) then the GDP will decrease to a 0.96 percent (USD 2,572 million). The study concludes that the stability of economic growth can be achieved through a reformed tax policy on the basis of the country’s socioeconomic strength and the canons of taxation.
VL  - 8
IS  - 5
ER  -

Copy | Download