The Daily Corporate Desk
Dhaka — The National Board of Revenue (NBR) is planning a significant shift in the country’s tax framework ahead of the FY2026–27 budget, proposing a Tk1,000 minimum tax while expanding its coverage to include a wider pool of taxpayers.
The move will reduce the minimum tax from Tk3,000 for existing taxpayers, but at the same time introduce a mandatory minimum payment for many individuals who previously paid no tax. The initiative is aimed at bringing a large portion of the informal economy into the formal tax system.
NBR Chairman Md Abdur Rahman Khan said that around 40–50 percent of Bangladesh’s GDP comes from the informal sector, where businesses such as street vendors, small দোকানদার, and online sellers largely operate through cash transactions and remain outside the tax net.
By lowering the entry barrier while widening the base, the NBR expects to encourage voluntary compliance and gradually integrate these segments into the formal economy.
The chairman also confirmed that there are no plans to introduce an inheritance tax in the upcoming budget.
In parallel, the revenue authority is focusing on expanding the VAT base, with a target to raise the number of VAT-registered entities to 15 million. Monitoring of TIN holders who fail to submit returns will also be strengthened.
To modernize tax administration, the NBR is accelerating digital transformation, including the rollout of an electronic Tax Deducted at Source (e-TDS) system. This will enable automatic integration of tax data into returns and improve transparency through access to systems like ASYCUDA.
So far this year, a record 4.4 million taxpayers have filed their returns online, reflecting growing adoption of digital tax services in Bangladesh.
