Taxpayers who submit their income tax returns by September this year will receive a special tax rebate. If your income tax liability is Tk 100,000, you will only need to pay Tk 95,000. The National Board of Revenue (NBR) will grant a tax rebate of 5 per cent of the payable tax, equivalent to Tk 5,000 in this case.
Similarly, if your tax liability is Tk 50,000, the NBR will waive Tk 2,500 as an incentive. Regardless of the amount of tax payable, taxpayers who submit their returns before the end of September will receive a 5 per cent rebate on the payable tax.
The National Board of Revenue (NBR) has introduced this new system from this fiscal year. Under the revised rules, taxpayers who submit their returns earlier will receive greater tax benefits, while those who delay submission will face financial penalties.
At present, more than 12.5 million (1.25 crore) people hold Taxpayer Identification Numbers (TINs). During the previous filing season, more than 4.5 million (45 lakh) TIN holders submitted their tax returns online.
How much is the rebate, why penalties introduced
Taxpayers can now submit their income tax returns throughout the year. Those who file earlier will receive larger tax rebates.
If you submit your return during the first quarter of the fiscal year (July–September), you will receive a rebate equal to 5 per cent of the tax payable or Tk 25,000, whichever is lower.
If you submit your return during the second quarter (October–December), you will pay only the tax due. No rebate or incentive will apply.
If you submit your return during the third quarter (January–March), you must pay an additional amount equal to 2 per cent of the tax payable or Tk 3,000, whichever is higher.
For example, if your tax liability is Tk 100,000, you will have to pay Tk 102,000. The additional Tk 2,000 will be charged as a late-filing penalty. However, the penalty will not exceed Tk 3,000.
If you submit your return during the fourth quarter (April–June), you must pay an additional amount equal to 5 per cent of the tax payable or Tk 5,000, whichever is higher.
For example, if your income tax liability is Tk 100,000, you will have to pay Tk 105,000. The NBR will impose a penalty of Tk 5,000 for late submission. However, the penalty will not exceed Tk 5,000.
How to submit your tax return online
First, visit the designated tax return website. On the day you wish to file your return, log in to the system and complete the required information step by step, including your annual income, investments, expenditure, assets and liabilities, before submitting your return.
Through the e-Return system, taxpayers can pay their taxes from home using bank transfer, debit card, credit card, bKash, Rocket, Nagad or any other mobile financial service.
After providing accurate information and preparing the return correctly, taxpayers can submit it electronically and immediately obtain an acknowledgement receipt and an income tax certificate.