Income Tax Act 2023 & Revenue Ordinances Summary
Comprehensive breakdown of Bangladesh tax provisions, sections, and structural reform ordinances.
Structure of Income Tax Act 2023 (Act No. 12 of 2023)
Major & Transformational Legal Amendments:
Any return filed correctly by the taxpayer is deemed automatically accepted and finalized immediately upon submission. No officer can arbitrarily withhold files.
Replacing complex legacy sections, income is categorized into 7 straightforward heads: Employment, House Property, Agriculture, Business, Capital Gains, Financial Assets, and Other Sources.
Rebate is strictly determined as the lowest among 3% of taxable income, 10% of allowable investments, or a maximum cap of ৳7,50,000.
Proof of Submission of Return (PSR) is strictly mandatory for obtaining 46 essential public & commercial services including bank loans, trade licenses, and connections.
Revenue Policy & Management Ordinance (Ordinance No. 59)
National Board of Revenue (NBR) responsibilities are bifurcated into two independent departments: Policy Formulation and Tax Administration.
- • Operates directly under the Ministry of Finance to formulate tax policies and enact statutes.
- • Conducts economic research, pre-budget stakeholder forums, and evaluates incentive schemes.
- • Has zero field collection or taxpayer summoning powers, entirely eliminating conflicts of interest.
- • Manages e-Return systems, cutting-edge IT infrastructure, and enforces revenue collection.
- • Deploys digital audit techniques and cross-database telemetry to curb tax evasion.
- • Protects bona-fide taxpayers from harassment by delivering 100% online citizen services.