BIN Certificate

In Bangladesh, a Business Identification Number (BIN) Certificate is the most critical document for any entrepreneur looking to operate a legitimate and compliant business. Issued by the National Board of Revenue (NBR), this 13-digit identification number serves as your business's official identity within the Value Added Tax (VAT) system.

Whether you are starting a small proprietorship or managing a large limited company, understanding the VAT registration | BIN Certificate process is essential. This article explores the core keywords and steps you need to know to secure your e-BIN.

Key Terms and Keywords for BIN Certificate Registration.

 

When applying for or discussing a BIN certificate, you will frequently encounter these essential terms:

• e-BIN: The electronic Business Identification Number.
• Mushak 2.1: The standard application form for VAT registration or turnover tax enlistment.
• Mushak 6.3: The mandatory tax invoice/challan issued for every sale.
• Input Tax Credit: The mechanism that allows you to deduct the VAT you paid on purchases from the VAT you collect on sales.
• Turnover Tax: A simplified tax for businesses with an annual turnover below specific thresholds (currently 50 Lakh BDT for enlistment).
• VAT Online Portal: The official NBR website (vat.gov.bd) used for all digital tax activities.

Why Your Business Needs a BIN Certificate

A BIN is not just a tax requirement; it is a gateway to essential commercial activities. Without a valid 13-digit BIN, your business cannot:

• Import or Export: It is mandatory for customs clearance (IRC/ERC).
• Participate in Tenders: Most government and private contracts require a BIN.
• Open Bank Accounts: Most commercial banks in Bangladesh require a BIN to open a business account.
• Issue Legal Invoices: To collect VAT and provide Mushak 6.3 to customers.
• Claim Input Credit: You cannot reduce your tax liability without being registered.

Step-by-Step BIN Certificate Application Process

The registration process has shifted entirely online to the Integrated VAT Administration System (IVAS).
 

1. Account Creation

Visit the VAT Online Portal and create a user account.You will need a valid mobile number and email address for OTP verification.

2. Filling Form Mushak-2.1

Select the type of registration (VAT Registration or Turnover Tax Enlistment) and provide details such as:

• Business Name and Nature (Manufacturer, Service Provider, etc.)
• e-TIN (Taxpayer Identification Number)
• Bank account details and business address.

3. Documentation Upload

You must upload scanned copies of several documents:

• Trade License (valid for the current fiscal year).
• National ID (NID) or Passport of the owner/directors.
• Bank Solvency Certificate or recent bank statement.
• Rental agreement or ownership deed of the business premises.
• Incorporation certificate, MOA, and AOA (for limited companies).

4. Verification and Approval

Once submitted, the application is forwarded to the local VAT Circle Office.An officer may conduct a physical inspection of your premises.If everything is in order, your 13-digit BIN certificate will be issued electronically within 3 to 7 working days.

Compliance after Obtaining a BIN
 

Getting the certificate is only the beginning. To keep your BIN active and avoid legal penalties, you must:

Display the Certificate: It must be prominently visible at your place of business.

File Monthly Returns: You must file Form Mushak 9.1 every month, even if you had zero transactions.

Issue Mushak 6.3: Always provide a tax invoice to your customers.

Failure to file returns for consecutive periods can lead to your BIN being locked, which halts all banking and import-export activities.

Written by-

Rajan Kumer Debnath
Income Tax and VAT Adviser 
Member: Dhaka Taxes Bar Association