COMPARATIVELY LOWER TAX-GDP RATIO IN BANGLADESH: THE PSYCHOLOGICAL IMPACT OF HISTORICALLY LONG COLONIAL RULE

It is often told that the tax evasion rate is high in Bangladesh which results in income inequality and deficit development finance. The objectives of the research were to find out the causes of lower Tax-GDP ratio in Bangladesh and the psychological impact of tax evasion. This research was conducted from March 2020 to March 2021. This is basically a review article. Data is collected from websites of NBR, OECD, and Bangladesh Bank, journals, e-books, and research papers. This study seeks to create a link between the lower Tax- GDP ratio in Bangladesh and the psychological impact of historically long colonial rule. After the literature review and qualitative analysis of data it is found that being ruled by foreigners for hundreds of years, the psychology of the citizens has been developed in such a way that, revenue collected by the government is smuggled elsewhere.