Bangladesh National Savings Scheme 2025 offers the highest profit rate for 5-year Sanchayapatra compared to all its previous versions. Both the rate of return at maturity and on encashment have seen notable increases. Additionally, the investment limit has been significantly raised. On January 21, the National Savings Department published a notice confirming the continuation of tax at source on its official website. Consequently, savings certificate holders now better understand their entitled amount at maturity or upon early encashment. Let’s explore the new profit structure of the 5-Year Bangladesh Savings Certificate (Sanchayapatra) in detail. 5-year Bangladesh Savings Certificates’ Updated Return on Investment The profit payable upon encashment and maturity at different investment limits under this 5-year scheme is detailed in the table below: Table: Profit Rates for Various Investment Limits in the 5-Year Bangladesh Savings Scheme Investment Period (Year) Investments Up to BDT 7,50,000 Investments BDT 7,50,001 and Above TDS on Investment up to BDT 5,00,000 (%) Profit Rate (%) TDS on Investment from BDT 5,00,001 to 7,50,000 (%) Profit Rate (%) TDS (%) Profit Rate (%) 1st 5 10.13 10 10.13 10 10.11 2nd 10.64 10.64 10.62 3rd 11.19 11.19 11.17 4th 11.78 11.78 11.75 5th 12.40 12.40  12.37 For investors who buy Bangladesh Sanchayapatra up to BDT 7.5 lakh (7,50,000 or below) ceiling, the maximum profit will be given at an annual rate of 12.4 percent (12.4%). For investments exceeding BDT 7.5 lakh (7,50,001 and above), the maximum profit rate decreases slightly to 12.37 percent. Read more: 3-Monthly Profit-Bearing Sanchayapatra in Bangladesh: Revised Profit Rates in 2025 The source tax on profits varies based on the investment threshold. For investments up to BDT 5 lakh (5,00,000 or below), a 5% tax applies. However, for amounts surpassing BDT 5 lakh (5,00,001 or above), the applicable tax rate is 10%. If cashed out before the expiry date, the principal amount will be returned along with profit calculated at the relevant rate for each elapsed period as mentioned in the table. In the case of early encashments, for investors with up to BDT 5 lakh (5,00,000 or below), the annual interest rate will be 10.13 percent at the end of the first year. At the end of the second year, this return will be 10.64 percent. By the third year, the interest rate will be 11.19 percent; after the fourth year, it will reach 11.78 percent. For investments above BDT 5 lakh and up to 7.5 lakhs (BDT 5,00,001 - 7,50,000), the encashment results in a profit of 10.13 percent in the first year. At the end of the second, third, and fourth years, the profit rate will be charged at 10.64 percent, 11.19 percent, and 11.78 percent respectively. In all cases, a 10 percent source tax will be imposed on the profit. Read more: Paribar Sanchayapatra 2025: Revised profit rates of Family Savings Certificate in Bangladesh For investments exceeding BDT 7.5 lakh (7,50,001 and above), the 10 percent source tax on profit remains unchanged. In cases of early encashment, the annual profit will be calculated at a rate of 10.11 percent for the first year. This rate increases to 10.62 percent in the second year. For the third and fourth years, the profit rate rises further to 11.17 percent and 11.75 percent, respectively. Eligibility Criteria for the New Profit Rate The revised profit rate applies exclusively to investments in 5-year Bangladesh Savings Certificates made on or after January 1, 2025. Who Can Apply for This Savings Scheme - All Bangladeshi citizens irrespective of profession- Provident funds will be acknowledged or administered by the following rules:    o Sub-rule (2) under the rule of 49 of the Income-tax Acts 1984 (Part-II)    o Provident Funds Act, 1925 (19th Act of 1925)- Income from the following sources (certified by the concerned Deputy Commissioner of Taxes) according to the 34th section of Part A of Schedule 6 of the Income-tax Ordinance-1984:    o Seed production and Marketing of locally produced seeds    o Fruit and leafy vegetable cultivation    o Production of pelleted poultry feeds    o Poultry farms    o Cattle farms and Dairy and dairy farms    o Fishery farms    o Frog production farms    o Silkworm rearing farms    o Mushroom production    o Horticulture farm projects- Educational institutions for individuals with autism, or any other organization providing services to autistic individuals (must be certified by the relevant district social services office). A key requirement for profit distribution is that all income generated from the institution's investments must be exclusively used for the benefit of autistic individuals.- Orphanages, foster homes, or registered shelters established for the care of orphaned and destitute children.  - Dedicated and registered shelters for the elderly. Read more: Sanchayapatra interest rate revised: New profit rates of Bangladesh National Savings Certificate in 2025 Highest Ceiling - For Individuals: A limit of BDT 30 lakh for a single account and BDT 60 lakh for a joint account. - For Institutions: 50% of the total provident fund balance, with not more than BDT 50 crore. - For Firms: A maximum cap of BDT 2 crore. - For Institutions supporting Autism, Registered Shelters for Orphans, Destitute Children.  - Elderly: A maximum limit of BDT 5 crore. Additional Benefits - Investors have the option to appoint a nominee. - Upon the investor's death, the nominated individual can either encash the scheme or wait until maturity. Read more: Sanchayapatra at Maturity: Encashment or Renewal of Bangladesh’s National Savings Certificate Summing Up Investments of up to BDT 7,50,000 in 5-Year Bangladesh Sanchayapatra will yield a maximum profit rate of 12.4 percent at maturity. For investments going beyond BDT 7,50,000, the net profit rate is capped at 12.37 percent. In 5-year Bangladesh Savings Certificates, two distinct categories exist for investments within the BDT 7.5 lakh limit, based on the source tax applied to the profit. A 5% tax is levied on investments up to BDT 5 lakh, while a 10% tax is applied to amounts exceeding BDT 5 lakh. Moreover, early redemption provides higher returns this year compared to previous periods. Read more: How to Buy Sanchayapatra in Bangladesh: A Beginner's Guide

A high-level advisory panel has suggested formation of a commission for the National Board of Revenue to tighten tax administration and boost revenue collection based on sound policies. The proposed Revenue Commission will work to formulate revenue policies in light of the government's overall development policy strategy, proposals and suggestions from stakeholders, and specific policies formulated based on international best practices, as per the interim proposal that was submitted recently. NBR Chairman urges businesses to stop seeking tax exemptions It will have a permanent advisory council comprising appropriate representatives of the Ministry of Industry, Ministry of Commerce, Finance Department, Bangladesh Bank, Tariff Commission, eminent economists, persons with experience in tax and fiscal matters, representatives of business organisations, and representatives of think tanks and civil society. The proposals have been made in a preliminary report by a five-member advisory committee the interim government formed in October last year to initiate positive reforms in the NBR. The advisory committee comprises NBR's ex-chairmen Muhammad Abdul Mazid and Dr Nasiruddin Ahmed and three former members -M Delowar Hossain, Farid Uddin and Aminur Rahman. The advisory committee has been tasked to make suggestions on fiscal policy reforms, revenue administration reforms, assess the institutional capacity of the National Board of Revenue and provide recommendations for modernisation, advise on formulation of institutional frameworks and policies for integrity and good governance, advise on citizen communication and stakeholder engagement activities and any other policy advice related to revenue reforms.  The interim report said that skilled and dedicated officers with sufficient knowledge and experience in tax revenue policy and tax revenue management from among the officers in the Income Tax, Customs and VAT cadres will be appointed by the government as Secretary/Senior Secretary of the Revenue Commission on the basis of specific policies. Committee on NBR reform submits report advising wholesale changes in tax collection system Skilled and dedicated officers with knowledge and experience in formulating and implementing the revenue policy of the National Board of Revenue i.e. the Revenue Service will be appointed to this office for a fixed term on the basis of specific policies as per the needs of the organisational structure of the Revenue Commission. This council will provide regular advice to the Revenue Commission on the determination of customs and tax policies on a minimum quarterly basis in the light of the policies formulated in consultation with stakeholders and international best practices. NBR explains heavy tax cut in import of air purifiers The Customs and VAT Appellate Tribunal and the Income Tax Appellate Tribunal will be vested in the reconstituted Revenue Commission. It would be reasonable for the location of the reconstituted Revenue Commission to be outside the Secretariat and outside the Revenue Building to facilitate the travel and communication of stakeholders (including the Appellate Court) in accessing tax policy services.

The National Board of Revenue (NBR) has issued several notifications by re-fixing the rates of VAT, Supplementary Duty and Excise Duty on some goods and services, which were increased on January 9, aiming to strengthen the country's economic base. The government had issued the "Value Added Tax and Supplementary Duty (Amendment) Ordinance, 2025" and "The Excises and Salt Act (Amendment) Ordinance, 2025" on January 9, 2025. Later, considering the requests of various professional organizations, civil society and stakeholders, in the larger public interest, the National Board of Revenue has issued 4 new notifications on Wednesday reducing the existing VAT rate, VAT deduction rate at source and Supplementary Duty rate on some goods and services. Medicines: In order to make medical services more accessible to all sections of the population, the increased VAT rate on the pharmaceutical industry at the business level has been completely withdrawn and the previous rate of 2.4% has been maintained. Read more: VAT on hotels, restaurants to be revised to previous level: NBR With the withdrawal of the additional VAT imposed on medicines, the continuous development of the pharmaceutical industry will continue and the price of medicines will not increase at the general consumer level. Mobile Phone and ISP Services: In order to continue the ongoing digitization activities of the country and to create a modern IT-savvy young generation and increase online-based activities, the increased supplementary duty on services provided through the use of mobile phone SIM/RIM cards and the newly imposed supplementary duty on ISP services have been completely withdrawn. With the complete withdrawal of the increased/newly imposed supplementary duty on mobile phone and ISP services, the cost of consumers in these two sectors will not increase. Restaurants: In order to facilitate the large population of the country to consume food in restaurants at affordable prices, the additional VAT imposed on all restaurants except three-star, four-star and five-star hotels has been completely withdrawn. Read more: VAT reduction on medicines recommended: Health Adviser As a result of the complete withdrawal of the additional VAT, the general public will be able to consume food in these restaurants at the previous price. Motor vehicle garages and workshops: In the public interest, the increased VAT rate has been completely withdrawn in the case of motor vehicle garage and workshop services. As a result of the complete withdrawal of the additional VAT, the price of the related service will not increase. Others: In the same consideration, the additional VAT imposed on the marketing of other clothes except for own-brand ready-made clothes has been completely withdrawn. In addition, the VAT rate on services has been reduced from 15 percent to 10 percent in the case of non-AC hotels, dessert shops, and marketing of own-brand ready-made clothes. Read more: Commerce Adviser defends govt’s move to increase VAT A press release from NBR said that that in the larger interest of the people of the country, in the last few months, the National Board of Revenue has provided massive tax exemptions on import duty, regulatory duty, VAT, advance income tax and advance tax on edible oil, sugar, potatoes, eggs, onions, rice, dates and pesticides. In order to ensure easy availability of books for students at all levels of Bangladesh, to establish a modern and information technology-based education system and to improve the quality of the education system, VAT exemption has been provided for e-book services at the local supply and import level. VAT exemption has been provided on the fast, safe and environment-friendly metro rail service for its important role in reducing traffic congestion. In addition, the National Board of Revenue has completely withdrawn the excise duty on Hajj tickets in order to reduce the expenses of Hajj passengers.

The tax imposed on marriage registration has been cancelled, Law Adviser Dr Asif Nazrul has said. "Tax was imposed on marriage registration. The ministry has cancelled this illogical tax," he said at a press conference on current affairs at the Secretariat on Tuesday. Document authentication process goes online Responding to a question from when the decision would take effect, the adviser said, "I have signed document in this regard  today. You can get married without tax." “The marriage registration form used to mention ‘married’ or ‘virgin’. This is a disrespectful word for a girl. We have replaced that word with unmarried,” he added. The adviser said they have done many such small things. “I have plans to do many more things."

The corporate income tax rate for manufacturers of refrigerators, air conditioners (AC), motorcycles and compressors has been doubled. Starting from the 2025-2026 fiscal year, the National Board of Revenue (NBR) will be able to impose an income tax of up to 20% on the producers of these products, said a notification issued in this regard on Tuesday. The NBR said that the revised tax rate will remain in effect until 2032 for these electronic appliances and motorcycle manufacturers. According to the notification, the new tax rate will be applicable from the 2025-2026 fiscal year and producers in these sectors will have to pay the increased tax on the income earned in the current fiscal year. The government is focusing on reducing reliance on both domestic and foreign debt, while also boosting revenue collection and capacity. As part of this effort, the decision to raise taxes on manufacturers of electronic goods and motorcycles has been made. After disgraceful 2024 ‘goat scandal’ NBR steps up efforts to curb graft In January 2023, the International Monetary Fund (IMF) approved a $4.7 billion loan for Bangladesh, subject to certain conditions. One of the key requirements was the implementation of significant reforms in the country’s tax system. The IMF had recommended a major overhaul to enhance revenue collection. As part of the ongoing fiscal year 2024-2025, the IMF had urged Bangladesh to raise an additional Tk 12,000 crore in revenue. It also advised the government to implement a coordinated strategy to reduce subsidies and settle arrears in the electricity and fertiliser sectors. Bangladesh currently has the lowest tax-to-GDP ratio globally, which, combined with extensive tax exemptions, has left the government grappling with financial deficits. For the 2024-2025 fiscal year, the government has provided Tk 163,000 crore in tax exemptions. The NBR began offering tax incentives to manufacturers of refrigerators, air conditioners, and motorcycles in July 2009. NBR to launch door-to-door campaign to boost VAT collection Initially, a 5% corporate income tax rate was applied for a 12-year period. Over time, these tax incentives were expanded. But, in the fiscal year 2020-2021, the tax on these products was increased to 10%. As part of the "Made in Bangladesh" initiative, the government has been providing such incentives to promote locally produced goods.

Submitting a return on income tax is a legal obligation for every TIN (Tax Identification Number) holder, regardless of taxability. Even individuals with no income or taxable earnings must file returns to inform the government of Bangladesh about their financial status. For those whose income falls within the tax-free limit, submitting this declaration incurs no tax liability. That’s where the return without payments comes in, submitted digitally, making the process easier than ever. Let’s explore how to submit zero income tax return online in Bangladesh seamlessly and effectively. What is a Zero Return? Filing a return without tax payment is commonly known as a “zero return”. It applies to cases where the declared income falls within the tax-free threshold. In such instances, exemptions, rebates, or advance tax payments may reduce the taxable amount to zero. Even when no tax is due, filing a return without tax payment is mandatory to declare income, expenses, assets, and liabilities, ensuring compliance and accurate record-keeping. Who is Eligible for Zero Return Filing? TIN-holding citizens whose annual income falls within the tax-free limit are eligible to file a zero return. The income thresholds per annum (in a fiscal year) are as follows: - Women and individuals aged 65 or above: Up to BDT 4,00,000- Third gender and persons with disabilities: Less than BDT 4,75,000- Gazetted war-wounded freedom fighters: Up to BDT 5,00,000- All other individuals: Not exceeding BDT 3,50,000. Read more: e-TIN: Online registration process in Bangladesh Online Method of Filing Zero-Income Tax Return General Method To begin the process, first log in to the National Board of Revenue (NBR) e-return platform (https://etaxnbr.gov.bd/#/auth/sign-in). Before proceeding, ensure all relevant documents related to income, expenditure, debts, and assets are prepared. This will not only ensure the accuracy of the information but also expedite the entire process. According to the traditional rules of digital services, zero returns can be filed either as a single-page or multiple-page return, depending on the level of detail required. In the case of a single-page return, all income, expenditure, and assets must be recorded briefly. This format does not automatically calculate values based on the provided information, so all details must be entered manually. In the case of taxable income, the specific tax amount must also be entered manually. Generally, the tax payable is determined based on total income, and tax rebates are deducted. When the tax payable for the return is zero, no further calculations are necessary, and the tax payable remains zero. For detailed returns, calculations are automatically determined according to the information provided. Read more: How to submit income tax returns online The first question on the form is crucial, as it determines whether taxable income exists. Based on the answer, relevant sections for providing additional details will either be enabled or disabled. If there is no income, select the tab ‘No’, which will deactivate all income heads. If the income amount is not taxable or subject to exemptions or rebates, a return without payments is applicable. In that case, select ‘Yes’. Other options on the Assessment page should be filled out in the same manner as for any return. After clicking the tab ‘Save and Continue’, an additional Information page will appear. If ‘No’ was selected for taxable income, the 'No' option will be automatically specified in the rebate section. As a result, several options for minimum tax calculation will not appear. Only shareholders of a company and IT10B categories will be listed. Appropriate information for each of these categories must be provided. For individuals with assets and debts, submitting IT10B is required. After completing this section, click the tab ‘Save and Continue’. The expense calculation page will then appear, along with additional tabs on the right side: Tax and Payment, and Return Review. If IT10B was kept active on the previous page, Assets and Liabilities will be listed as a new tab. After filling out the entire form, click ‘Proceed to Online Return’. Next, review the page, and select the tab ‘Submit Return’. Now, the process will be completed. Read more: How to Deactivate TIN in Bangladesh: A Comprehensive Guide How to Submit Zero Return in Sanchayapatra To begin the process, select the detailed return option. When asked whether there is taxable income, choose ‘Yes’. This will activate the ‘Income from Financial Assets’ option under ‘Heads of Income’, which should then be selected. Consequently, the rebate option will become active on the subsequent ‘Additional Information’ page. To claim the rebate, choose ‘Yes’ in this section. Additionally, the IT10B category should remain active. On the ‘Income’ page, other general tabs like ‘Expenditure’ and ‘Rebate’ will be visible. The main task on this page is to provide information related to the profit from the Sanchayapatra (savings certificate). On the ‘Tax Rebate’ page, select ‘Approved Savings Certificate’ under the Investment category and enter the savings certificate details. The rebate determined for the savings certificate investment will automatically display. The maximum rebate for savings certificates is BDT 500,000, even if the investment exceeds this amount. On the following page, the expense calculation will be displayed. Here, the Tax Deducted at Source (TDS) from the profit earned on the savings certificates should be entered. The total TDS must be placed in the ‘Payment of Tax at Source’ box. This amount includes the quantity that was earlier entered on the savings certificates under the ‘Income’ page. Read more: How to Buy Sanchayapatra in Bangladesh: A Beginner's Guide Since the IT10B category remains active, the ‘Assets and Liabilities’ section will appear as usual. In this section, the ‘Financial Assets’ option will be available, where the Sanchayapatra information must be entered again. Next, provide the source amount of funds used for purchasing all assets, including the savings certificates. To ensure accurate calculations, the amounts for ‘Fund Outflow’ and ‘Source of Funds’ should match. After completing this, click on the tab ‘Save and Continue’ to move to the ‘Tax and Payment’ page, where the final tax payable will be automatically calculated. To verify the tax deducted at source, answer ‘Yes’ to the question regarding whether tax has been paid at source during the current financial year. Then, by selecting ‘Yes’ for the ‘Tax Payment Update Status’ option, the ledger page will appear. From the left-hand menu, navigate to ‘Savings Certificate’ under ‘Claim Source Tax’. On this page, re-enter the Sanchayapatra details, including the TDS. After saving, this information will appear below in the at-a-glance TDS list. Next, go to ‘Tax Payment Status’ at the bottom of the left-hand menu, where the updated source tax status will be visible. Click on ‘Go to e-Return’ at the bottom right to return to the previous ‘Tax and Payment’ page. At this point, the final tax payable section will show as zero. After confirming that all information is correct, click on the tab ‘Proceed to Online Return’. The entire return will be displayed on the next page. Review all information again, then select ‘Submit Return’ to complete the process. Summing Up The process of submitting Zero Income Tax Return Online in Bangladesh begins with preparation – gathering the necessary documents makes the process flawless and faster. Every detail must be consistent to avoid errors. Tax rebates, exemptions, and advance tax payments must be updated to ensure the final payment is generated accurately. Since all TDS and rebates are stored in the user’s account, adjusting calculations with previous data becomes hassle-free. Read more: Sanchayapatra at Maturity: Encashment or Renewal of Bangladesh’s National Savings Certificate

The National Board of Revenue (NBR) has taken a move to put more emphasis on ensuring submission of PSR (proof of submission of income tax return) in related fields aiming to expand tax net as well as enhance revenue collection. NBR chairman Md Abdur Rahman Khan has recently held a meeting in this regard where he asked the officials to be more active in this matter. The proof of submission of income tax return (PSR) is now mandatory for 43 Services to execute the decision of the NBR and collect the government treasury. According to the meeting the NBR chairman asked the field level officials to ensure the submission of PSR in related services. Recently, Md Abdur Rahman Khan while briefing reporters said that if the field administration could be utilised properly, it would be beneficial for the revenue board to expand its tax net and tax collection. NBR nominates six officials for C&F Agent attachment process In this connection, he said that for any construction of a building under Rajuk, CDA, KDA, RDA and others, submission of PSR is mandatory. “We could send inspectors there to see whether the related authorities are following the rules properly or not,” he said. The NBR chief mentioned that if the related authorities are not following the rules, the NBR will create awareness among them. “After that we will send our team there to convince them, and at last we will implement the related laws which would be monetary fine to make it mandatory,” he said. He hoped that if the submission of PSR is maintained in every enlisted services followed properly, it would be beneficial to increase the TIN holders and income tax return submission numbers. He also said that there is an allegation that the tax net of the country is too small with a small amount of tax collection. “If we can ensure the submission of the PSR it would also help us to put pressure on regular taxpayers also,” he said. The NBR chairman said that with the increased tax net it would be helpful for his organisation to provide relief for the other regular taxpayers. Currently the tax-to-GDP ratio is just 7.3 percent in the country, whereas it stands at 12 percent in India, 17.5 percent in Nepal, 12.3 percent in Bhutan, and 7.5 percent in Pakistan. Only 5.2 percent of the population registered as taxpayers, compared to 23.08 percent in India. At present the number of e-TIN registered taxpayers has surpassed 1 crore. Until April of last fiscal year, NBR received 41 lakhs tax returns from taxpayers, mainly individuals, which was 27 percent higher than that of the same period in fiscal year 2023-24. At present income tax contributes about 33 percent  of the total revenue collected by the National Board of Revenue. The average growth in income tax collection is more than 16 percent. The services which require PSR are: 1. Applying for a loan exceeding Tk. 20 lakh from a bank or a financial institution. 2. Becoming a director or a sponsor shareholder of a company. 3. Obtaining or continuing an import registration certificate or export registration certificate 4. Obtaining or renewal of a trade license in the area of a city corporation or paurashava. 5. Obtaining registration of any cooperative society 6. Obtaining or renewing of license or enlistment as a surveyor of general insurance. 7. Obtaining registration, by a resident, of the deed of transfer, baynanama or power of attorney or selling of land, building or an apartment situated within a city corporation or a paurashava of a district headquarter or cantonment board, where the deed value exceeds Tk. 10 lakh 8. Obtaining or maintaining a credit card 9. Obtaining or continuing the membership of the professional body as a doctor, dentist, lawyer, chartered accountant, cost and management accountant, engineer, architect or surveyor or any other similar profession 10. Obtaining and retaining a license as a Nikah Registrar under the Muslim Marriages and Divorces (Registration) Act. 1974 (LII of 1974) 11. Obtaining or continuing the membership of any trade or professional body 12. Obtaining or renewal of a drug license, a fire license, an environment clearance certificate, a BSTI license, and a clearance 13. Obtaining or continuing commercial and industrial connection of gas in any area and obtaining or continuing residential connection of gas in the city corporation area. 14. Obtaining or continuing a survey certificate of any water vessel including launch, steamer, fishing trawler, cargo, coaster, dumb barge etc., plying for hire 15. Obtaining the permission or the renewal of permission for the manufacture of bricks by the Deputy Commissioner’s office in a district or Directorate of Environment, as the case may be 16. Obtaining the admission of a child or a dependent in an English medium school providing education under an international curriculum or English version of the national curriculum, situated in any city corporation, district headquarter or paurashava 17. Obtaining or continuing the connection of electricity in a city corporation or cantonment board. 18. Obtaining or continuing the agency or the distributorship of a company. 19. Obtaining or continuing a license for arms. 20. pening a letter of credit (LC) for the purpose of import. 21. Opening postal savings accounts of Tk. exceeding 5 lakhs. 22. Opening and continuing bank accounts of any sort with a credit balance exceeding Tk. 10 lakhs. 23. Purchasing savings instruments (Sanchayapatra) of Tk. exceeding 5 lakhs. 24. Participating in any election in upazila, paurashava, zilla parishad, city corporation or Jatiya Sangsad 25. Participating in a shared economic activity by providing motor vehicle, space, accommodation, or any other assets. 26. Receiving any payment which is an income of the payee classifiable under the head "Salaries" by any person employed in the management or administrative function or in any supervisory position in the production function. 27. Receiving salaries and allowances of public servants 28. Receiving any commission, fee, or another sum in relation to money transfer through mobile banking or other electronic means or in relation to the recharge of a mobile phone account. 29. Receiving any payment by a resident from a company on account of any advisory or consultancy service, catering service, event management service, supply of manpower or providing security service 30. Receiving any amount from the Government under the MPO if the amount of payment exceeds tk. 16,000 per month. 31. Registration or renewal of agency certificate of an insurance company. 32. Registration, change of ownership or renewal of fitness of a motor vehicle of any type excluding two and three-wheeler. 33. Releasing overseas grants to a non-government organization registered with NGO Affairs Bureau or to a Micro Credit Organization having a license with Micro Credit Regulatory Authority. 34. Selling of any goods or services by any digital platform to consumers in Bangladesh. 35. Applying for the membership of a club registered under the Companies Act 1994 and Societies Registration Act, 1860. 36. Submitting tender documents by a resident for the purpose of supply of goods, execution of a contract or rendering a service. 37. Receiving any kind of product or service from any company or firm. 38. Submitting a bill of entry for import into or export from Bangladesh. 39. Submitting plan for the construction of a building for the purpose of obtaining approval from Rajdhani Unnayan Kartripakkha (Rajuk), Chittagong Development Authority (CDA), Khulna Development Authority (KDA) and Rajshahi Development Authority (RDA) or other concerned authority in any city corporation or paurashava. 40. Registration of document writers, stamps, and court fee vendors. 41. Opening bank accounts of cooperatives, trusts, NGOs etc. 42. Renting and leasing houses in city corporation areas. 43. Products supply and providing services for certain entities.

The National Board of Revenue (NBR) is now putting its focus on settling the long pending cases through Alternative Dispute Resolution (ADR) system to boost the revenue collection. The revenue collecting authority of the country is at unease as the first two months of the running FY24-25 saw a setback in the collection due to the political unrest, officials said. A senior official of the NBR said that all commissionaretes have been asked to make a list of long pending cases which can be settled through the ADR. The NBR official said that emphasis has been given to utilise the ADR system to clear these cases. The official wished anonymity as he is not authorised to speak on the subject. In a recent meeting, NBR Chairman Md Abdur Rahman Khan asked the officials to take effective steps in this regard, said another official this week. "The NBR chairman also asked the officials to take all out efforts to realise the outstanding taxes," the NBR official said. The NBR introduced ADR on July 1, 2012 to speed up disposal of the revenue-related cases through out-of-court settlement. NBR reforms advisory committee likely to start work next week despite some confusions ADR is a tool that parties can use to settle disputes with the help of a third party. It is used for disagreeing parties who cannot come to an agreement short of litigation. However, ADR is also increasingly being adopted as a tool to help settle disputes within the court system. The NBR chairman has asked the  officials concerned to expedite the Alternative Dispute Resolution (ADR), the NBR official told UNB. Another senior official of the NBR said that as per the law taxpayers have to apply to resolve the tax related disputes. He mentioned that some taxpayers always try to evade tax and feel encouraged to settle the matter in the courts.  He also said that those who failed to make any headway in the courts usually come to the ADR system for resolving their disputes. An NBR official involved in the ADR said that due to the reluctant attitude from the businesspeople of the country the system is yet to give its full swing benefit for them and also for the national exchequer. "The NBR has taken various types of initiatives to vibrant the system, and a former NBR member has been appointed after forming a neutral cell for this system," he said. The NBR chairman, while talking to reporters recently, said ADR is a system where both parties can avail a win-win chance. NBR accelerates efforts to clear revenue case backlog He mentioned that if the taxpayers and tax authority do not come to a consensus then there is nothing to do in this ADR system. “For that reason many do not want to go to the ADR process,” he said. In this connection, the NBR chairman pointed out the reluctant attitude of taxpayers and tax collecting authority as they both want to win it all. “In ADR system both have to compromise or both have to sacrifice, that is the meaning of the ADR,” he said. The chairman  mentioned that those who are involved in the ADR are very much experienced and know the law very well. “They try to convince both parties to come for a consensus. If the taxpayers and tax collecting authority do not want to go for a long legal battle then ADR is the best option,” the NBR chairman said. As per available data, there are more than 27,000 cases pending in various courts related to income tax, Vat and duty involving not less than Tk 39,000 crore. Read more: How to file your Tax Returns in Bangladesh

The National Board of Revenue (NBR) has initiated a plan to digitize its tax audit selection process, replacing the long-standing manual method, to eliminate human interference and restore taxpayer confidence. The move comes in response to ongoing complaints from taxpayers who claim the existing manual system exposes them to unnecessary harassment. NBR Chairman Md Abdur Rahman Khan confirmed the development: “We have begun working on digitizing the selection process to ensure it is objective and transparent.” He acknowledged NBR's "image crisis" concerning how tax audit files are selected. "Taxpayers often complain that the manual selection process is subjective, and this has damaged trust in the system," he said. "Our goal is to eliminate any confusion by fully automating the audit selection process, free from human intervention." In line with the NBR's ongoing transition to a digital system, the authority has temporarily suspended the selection of new tax files for audits. Following the formation of the interim government, NBR's member of taxes (tax audit, intelligence and investigation), Md Alamgir Hossain, issued a directive instructing all field-level tax offices to halt new audit selections until further notice. The decision aims to address the complexities faced by both taxpayers and tax officials under the existing manual process. NBR to focus on out-of-court settlement of tax disputes to boost revenue Bangladesh continues to grapple with one of the lowest tax-to-GDP ratios in the South Asian region—just 7.3%. In contrast, neighboring countries like India (12%), Nepal (17.5%), and Bhutan (12.3%) have significantly higher ratios. Moreover, only 5.2% of Bangladesh's population are registered as taxpayers, a stark contrast to India’s 23.08%. Currently, 67% of the government’s revenue comes from indirect taxes. The NBR has acknowledged the need to shift this dependency toward direct taxes. The NBR chairman has said they are working to broaden the tax net in a way that is more convenient for taxpayers, encouraging compliance while reducing the burden of indirect taxation. The implementation of the Income Tax Act 2023 has introduced new audit guidelines that have raised concerns about potential increased bureaucracy and costs for taxpayers. Under the guidelines, taxpayers may face multiple stages of interrogation, which some fear could open the door to underhand dealings. To combat these concerns, the NBR has been developing specialized software, known as the "Risk Management Engine," which is designed to bring greater transparency to the tax audit process. The software will link with other government agencies to gather data and select tax files for audit based on risk factors, helping to detect tax evasion more effectively. Read more: How to file your Tax Returns in Bangladesh

The National Board of Revenue (NBR) has decided to allow black money whitening by paying just 15 percent tax for individuals. In the next budget for the fiscal year 2024-25, the NBR brings back the opportunity of individual black money whitening closing such opportunities as investing in Economic Zones or high-tech parks. In the last five years, the opportunity of whitening black money was available in EZs, but not a single penny of black money was being invested. Under the new rules, black money can be turned into white without question by paying only 15 percent tax, said sources of the budget section of NBR. According to the sources, to bring black money into the mainstream of the economy, the 2019-20 budget allowed unquestioned investment in economic zones or hi-tech parks. Then finance minister AHM Mustafa Kamal said in the budget speech that the income arising from the production of goods or services in economic zones and hi-tech parks has been given tax exemption at various rates for 10 years. Junior finance minister gets coy over keeping provision for whitening black money in next budget A tax of 10 percent on the money invested from undisclosed income in setting up industries in economic zones and hi-tech parks to increase investment and create employment. Such investment would not raise any question from the Income Tax Department about the source of that invested money. After several years economic zones or hi-tech parks got the opportunity to invest black money. But no one took this opportunity in 5 years. This facility is scheduled to expire on June 30 of the current fiscal year 2023-24. Therefore, black money investment in new economic zones or hi-tech parks is not allowed as part of the advice of the International Monetary Fund (IMF). Instead, an opportunity to legitimize black money or undeclared income is being offered under a general amnesty (tax amnesty). Of course, for this, you will have to pay more income tax than before. HC summons BFIU chief over 'incomplete report' on black money in Swiss banks Earlier black money could be whitened by a 10 percent tax, in the future, it will be 15 percent. If the money is legalized in this way, no other organization of the government can question this, said an official of NBR.