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Income Tax Ordinance
Chapter VII
53FF. Collection of tax from persons engaged in real estate or land development business.-
1[53FF. Collection of tax from persons engaged in real estate or land development business.-
Any person responsible for registering any document for transfer of any land or building or apartment, under the provision of Registration Act 1908 (XVI of 1908), shall not register the document unless tax is paid at the following rate by the transferer who is engaged in real estate or land development business,-
2[(a) in case of building or apartment 3[, constructed for residential purposes,] situated-
4[(i) at Gulshan Model Town, Banani, Baridhara, Motijeel Commercial Area and Dilkusha Commercial Area of Dhaka, taka 5[one thousand and six hundred] per square metre;
(ii) at Dhanmondi Residential Area, Defense Officers Housing Society (DOHS), Mahakhali, Lalmatia Housing Society, Uttara Model Town, Bashundhara Residential Area, Dhaka Cantonment Area, Karwan Bazar Commercial Area of Dhaka and Panchlaish Residential Area, Khulshi Resindential Area, Agrabad and Nasirabad of Chittagong, taka 6[one thousand and five hundred] per square metre;
7[(iii) in areas other than the areas mentioned in sub-clauses (i) and(ii)-
A. if the area is within Dhaka South City Corporation, Dhaka North City Corporation and Chittagong City Corporation, taka one thousand per square metre;
B. if the area is within any other city corporation, taka seven hundred per square metre;
C, any other area, taka three bundred per square metre:
Provided that the rate of source tax under clause (a) in respect of a residential apartment shall be twenty percent (20%) lower if the size of the apartment, including common space, is not more than seventy square metre, and forty percent(40%) lower if the size of the apartment, including common space, is not more than sixty square metre.] Subs F. A. 2016
8[(aa) in case of building or apartment or any space thereof, constructed not for the residential purposes, situated-
(i) in areas mentioned under sub-clause (i) of clause (a), taka 9[six thousand and five hundred] per square metre;
(ii) in areas mentioned under sub-clause (ii) of clause (a), taka 10[five thousand] per square metre;
11[(iii) in areas other than the areas mentioned in sub-clauses (i) and(ii)-
A. if the area is within Dhaka South City Corporation, Dhaka North City Corporation and Chittagong City Corporation, taka three thousand and five hundred per square metre;
B. if the area is within any other city corporation, taka two thousand and five hundred per square metre;
C. any other area, taka one thousand and two hundred per square metre.]
12[(b) in case of land to which the document relates and on which stamp duty is chargeable under the Stamp Act, 1899 (Act No. II of 1899) at the rate of-
(i) five percent for Dhaka, Gazipur, Narayanganj, Munshiganj, Manikganj, Narsingdi and Chittagong districts;
(ii) three percent for any other district.]
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1Ins. by F.A. 2005
2Subs. by F.A. 2010
3Ins. by F.A. 2011
4Subs. for "sub-clause (i) and (ii)" by F.A. 2011
5omitted "two thousand" by F.A. 2013 and Ins. "one thousand and six hundred" by F.A. 2013
6Subs. for "one thousand and eight hundred" by F.A. 2013.
7Subs. by F.A. 2016
8Ins. by F.A. 2011
9Subs. for "six thousand" by F.A. 2013
10Subs. for "six thousand " by F.A. 2013.
11Subs. by F.A. 2016
12Subs. by F.A. 2009 and re-subs. by F.A. 2012
53G. Deduction at source from insurance commission.-
1[53G. Deduction at source from insurance commission.-
Any person responsible for paying to a resident any sum by way of remuneration or reward, whether by way of commission or otherwise, for soliciting or procuring insurance business including business relating to the continuance, renewal or revival of policies of insurance, shall, at the time of credit of such sum to the account of the payee or at the time of payment thereof in cash or by issue of a cheque or draft or by any other mode, whichever is earlier, deduct income tax on such sum at the rate of 2[five percent] 3[.
[Provided that no tax shall be deducted under this section if total amount of insurance commission during the income year does not exceed 4[forty] thousand taka.]
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1 Sec. 53G ins by F. A. 1990
2 Subs. for "three per cent" by F.A. 2010
3 Subs. "full stop" for "colon" and omitted proviso by F.A 2008
4 Subs for "twenty five" by F. A. 2000
53GG. Deduction at source from fees, etc. of surveyors of general insurance company.-
1[53GG. Deduction at source from fees, etc. of surveyors of general insurance company.-
A person responsible for paying to a resident any sum by way of
remuneration or fees for conducting any survey regarding settlement of claim of an insurance shall, at the time of payment, deduct income-tax on such sum at the rate of
2[Ten percent.]]
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1Insby F.A. 2000
2Subs for seven and half per cent by F.A 2010
53GGG.Collection of tax on the credit bill amount of credit cards
1[53GGG.] Collection of tax on the credit bill amount of credit cards.-
Any person responsible for collecting the credit bill amount resulting from the use of credit cards shall collect tax in advance at the rate of three per cent on the amount so payable by the credit card holder.]
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1Ins by F. A. 2006 and subsequently omitted by F. O 2007
53A. Deduction at source from house property.-
53A. Deduction at source from house property.-
(1) Where any specified person is a tenant in respect of a house property or hotel accommodation, the tenant shall deduct tax from the rent of such house property
or hotel accommodation at the rate of five per cent at the time of payment of such rent.
Explanation.- For the purpose of this section, "rent" means any payment, by whatever name called, under any lease, tenancy or any other agreement or arrangement for the use of any house property or hotel accommodation including any furniture, fittings and the land appurtenant thereto.
(2) Where, after the assessment made for the relevant year, it is found that no tax was payable by the owner of the house property or the amount of tax deducted is in excess of the amount payable, the amount deducted shall be refunded,-
(a) if no tax was payable, in full; or
(b) if the amount deducted is in excess of the amount payable, to the extent of the excess deduction to the owner of the house property.
(3) Where the Deputy Commissioner of Taxes, on an application made in this behalf, gives a certificate in the prescribed form to an owner of house property that, to the best of his belief, the owner is not likely to have any assessable income during the year or the income is otherwise exempted from payment of income tax under any provision of this Ordinance, payment referred to in subsection (1) shall be made without any deduction until the certificate is cancelled.
(4) In this section-
(a) “specified person” shall have the same meaning as in clause (a) of sub-section (2) of section 52;
(b) “payment” shall have the same meaning as in clause (d) of subsection (2) of section 52.”।।।
52P. Deduction of tax for services from convention hall, conference centre, etc.-
52P. Deduction of tax for services from convention hall, conference centre, etc.-
(1) Where any payment is to be made by a specified person to any other person on account of renting or using space of convention hall, conference centre, room or, as the case may be, hall, hotel, community centre or any restaurant, shall deduct tax at the rate of five per cent from the whole amount of the payment for the services thereof at the time of making such payment to the payee:
Provided that no deduction shall be made when such amount is paid directly to the Government.
(2) In this section
(a) “specified person” shall have the same meaning as in clause (a) of sub-section (2) of section 52;
(b) “payment” shall have the same meaning as in clause (d) of subsection (2) of section 52.”।
53H. Collection of tax on transfer, etc. of property.-
1[53H. Collection of tax on transfer, etc. of property.-
(1) Any registering officer responsible for registering any document of a person under the provisions of clause (b), (c) or (e) of sub-section (1) of section 17 of the Registration Act, 1908 (XVI of 1908) shall not register any document unless tax is paid at such rate as may be prescribed in relation to the property to which the document relates and on which stamp-duty is chargeable under Stamp Act, 1899 (II of 1899) by the person whose right, title or interest is sought to be transferred, assigned, limited or extinguished thereby, at the time of registration of such document:
Provided that the rate of tax shall not exceed taka ten lakh and eighty thousand per katha (1.65 decimal) for land, taka six hundred per square meter for any structure, building, flat, apartment or floor space on the land, if any, or four per cent of the deed value, whichever is higher.
(2) Nothing in this section shall apply to a document relating to:
(a) sale by a bank or any financial institution as a mortgagee empowered to sell;
(b) mortgage of any property to any bank or any financial institution against any loan 2[;
“(c) transfer of property to a trust or special purpose vehicle established only for the purpose of issuing sukuk approved by government or Securities Exchange Commission and vice versa.”।]
3[Explanation.-For the purpose of this sub-section, ―financial institution‖ shall mean the Bangladesh House Building Finance Corporation or the Bangladesh Development Bank Ltd.]
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1Subs. by F.A. 2014
2 Subs for ";" for "." && ins new clause (c) by F. A. 2021
3 Onitted by F. A. 2015
53HH. Collection of tax from lease of property
1[53HH. Collection of tax from lease of property,-
Any registering officer responsible for registering under the Registration Act, 1908 (XVI of 1908) any document in relation to any lease of immovable property for not less than ten years from any authority formed or established under any law 2[ or from any other person being an individual, a firm, an association of persons, a Hindu undivided family, a company or any artificial juridical person] shall not register such document unless tax is paid at a rate of four per cent by the lessor on the lease amount of such property.
Explanation.- For the purpose of this section, "any authority" shall mean Rajdhani Unnayan Kartripakkha (RAJUK), Chittagong Development Authority (CDA), Rajshahi Development Authority (RDA), Khulna Development Authority (KDA) or National Housing Authority].
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1Ins. new section by F.A. 2014
2 Ins. by F. A. 2015
53I. Deduction at source from interest on deposit of Post Office Savings Bank Account.-
1[53I. Deduction at source from interest on deposit of Post Office Savings Bank Account.-
Any person responsible for paying any amount on account of interest of Post Office Savings Bank Account shall deduct, at the time of credit to the account of the payee or at the time of payment thereof, whichever is earlier, tax on such amount at the rate of ten percent:
2[Provided that no tax shall be deducted at source under this section if total amount of interest does not exceed one lakh fifty thousand taka during the year]:
Provided 3[further] that nothing contained in this section shall apply to such payee or class of payees as the Board may, by a general or special order, specify in this behalf.
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1Ins new section by F. O. 2008
2Omitted by F.A. 2010
3Omitted by F.A. 2010
53J. Deduction at source from rental value of vacant land or plant or machinery.-
53J. Deduction at source from rental value of vacant land or plant or machinery.-
The Government or any authority, corporation or body, including its units, the activities or the principal activities of which are authorised by any Act, Ordinance, Order or Instrument having the force of law in Bangladesh or any company as defined in clause (20) of section (2) or any banking company or any insurance company or any co-operative bank established by or under any law for the time being in force or any nongovernment organization registered with NGO Affairs Bureau or any university or medical college or dental college or engineering college responsible for making any payment on account of rental value of vacant land or plant and/or machinery, shall deduct tax in advance at the time of such payment 1[or credit of such payment to the account of the payee] at the rate 2[of five percent].
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1 Ins. by F.A. 2011
2 Subs. for "prescribed by the Board" by F.A. 2012
53K. Deduction of tax from advertising bill of newspaper or magazine or private television channel.-
53K. Deduction of tax from advertising bill of newspaper or magazine or private television channel 1[or private radio station 2[, etc.]-
The Government or any authority, corporation or body, including its units, the activities or the principal activities of which are authorized by any Act, Ordinance, Order or any other Instrument having the force of law in Bangladesh or any company as defined in clause (20) of section (2) or any banking company or any insurance company or any co-operative bank established by or under any law for the time being in force or any non government organization registered with NGO Affairs Bureau or any university or medical college or dental college or engineering college responsible for making any payment to newspaper or magazine or private television channel 3[or 4[private radio station or any web site 5[or any person on account of advertisement or] purchasing airtime of private television channel or radio station or such web site] shall deduct tax in advance at the time of such payment at the rate of 6[four percent (4%)]
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1Ins. by F.A. 2012
2Ins. by F.A. 2014
3Ins. by F.A. 2012
4 Subs. for "private radio station on account of advertisement or purchasing airtime of private television channel or radio station" by F. A. 2014
5 Subs. for "on account of advertisement of" by F. A. 2015
6 Subs. for "three percent" by F. A. 2015
53L. Collection of tax from sale of share in a premium over face value.—
1[ 2[53L. Collection of tax from sale of share in a premium over face value.—
Where a company raises its share capital through book building or public offering or rights offering or private placement or preferential share or in any other way at the value in excess of face value, the Securities & Exchange Commission shall collect tax at the rate of three per cent on the difference between the value at which the share is sold and its face value from the concerned company at the time determined by the Securities & Exchange Commission.]
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1 Ins. new sections 53L and 53M by F.A. 2010
2 Omitted by F.A. 2013
53M. Collection of tax from transfer of securities or mutual fund units by sponsor shareholders of a company etc.-
[53M. Collection of tax from transfer of securities or mutual fund units by sponsor shareholders of a company etc.-
The Securities & Exchange Commission or Stock Exchange, as the case may be, at the time of transfer or declaration of transfer or according consent to transfer of securities or mutual fund units of a sponsor shareholder or director or placement holder of a company or sponsor or placement holder of a mutual fund listed with a stock Exchange shall collect tax at the rate of five percent on the difference between transfer value and cost of acquisition of the securities or mutual fund units.
Explanation.—For the purpose of this section-
(1) 'transfer' includes transfer under a gift, bequest, will or an irrevocable trust;
(2) 'transfer value' of a security or a mutual fund units shall be deemed to be the closing price of securities or mutual fund units prevailing on the day consent accorded by the Securities and Exchange Commission or the Stock Exchange, as the case may be, or where such securities or mutual fund units were not traded on the day
such consent was accorded, the closing price of the day when such securities or mutual fund units were last traded.]
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53N. Collection of tax from transfer of share of shareholder of Stock Exchanges
1[53N. Collection of tax from transfer of share of shareholder of Stock Exchanges.-
(1) The Principal Officer of a stock exchange shall deduct tax at the rate of fifteen per cent on any profits and gains arising from the transfer of share of a shareholder of stock exchange established under “এক্সচেঞ্জেস ডিমিউচ্যুয়ালাইজেশন আইন, ২০১৩, (২০১৩ সনের১৫ নং আইন)” [Exchanges Demutualisation Act, 2013 (Act No. 15 of 2013)] at the time of transfer or declaration of transfer or according consent to transfer of such share, whichever is earlier.
(2) For the purpose of the computation of profits and gains of share under sub-section (1), the cost of acquisition of such share shall be the cost of acquisition incurred before “এক্সচেঞ্জেস ডিমিউচ্যুয়ালাইজেশন আইন, ২০১৩, (২০১৩ সনের ১৫ নং আইন)” [Exchanges Demutualisation Act,2013 (Act No. 15 of 2013)] came into force.
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1 Ins. new section 53N and 53O by F.A. 2014
53O. Deduction of tax from gains of securities traded in the Stock Exchanges
1[53O. Deduction of tax from gains of securities traded in the Stock Exchanges.-
(1) The Principal Officer of a company holding Trading Right Entitlement Certificate (TREC) under ―এক্সচেচেস ডিডিউচ্যুয়ালাইচেশন আইন, ২০১৩, (২০১৩ সচনর ১৫ নং আইন)‖ of any stock exchange dealing in shares or securities listed with such stock exchange or a bank or merchant bank or financial institution maintaining account of any investor of shares or securities shall deduct tax at the rate of ten percent of the realised gains derived by any company, as defined in clause (20) of section 2 of this Ordinance, or firm before closing of a financial year.
(2) For the purpose of calculation of the realised gain of a share or security under sub-section (1), proportionate average cost of such share or security including all commissions, fees or interest of any loan or advance paid or charged in relation to the transfer of share or security shall be deducted from the sale value of such shares or securities.]
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1 Omitted by F. A.2015
53P. Deduction of tax from any sum paid by real estate developer to land owner
1[53P. Deduction of tax from any sum paid by real estate developer to land owner,-
Where any person engaged in real estate or land development business pays any sum to the land owner on account of signing money, subsistence money, house rent or in any other form called by whatever name for the purpose of development of the land of such owner in accordance with any power of attorney or any agreement or any written contract, such person shall deduct tax at the rate of fifteen per cent (15%) on the sum so paid at the time of such payment.]
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1 Ins new section 53P by F. A. 2015
54. Deduction of tax from dividends.-
1[54. Deduction of tax from dividends.-
The principal officer of a company registered in Bangladesh, or of any other company, shall, at the time of paying any dividend to a shareholder, deduct tax on the amount of such dividend, in the case of a resident or a non-resident Bangladeshi,-
- if the shareholder is a company, at the rate applicable to a company ;
- if the shareholder is a person other than a company, at the rate of ten per cent (10%) where the person receiving such dividend furnishes his twelve-digit Taxpayer's Identification Number (TIN) to the payer or fifteen per cent (15%) where the person receiving such dividend fails to furnish his twelve-digit Taxpayer's Identification Number (TIN) to the payer.]
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1Ins. by F.A. 1991 and again subs. by F. A. 2015
55. Deduction from income from lottery, etc.-
55. Deduction from income from lottery, etc.-
The person responsible for paying any amount on account of winnings referred to in section 19(13) shall, at the time of making such payment, deduct tax 1[payable on the amount at the rate of twenty per cent.]
Explanation.- For the purposes of this section, the expression "any amount" means the value of any goods or assets where the payment on account of such winnings is made not in the form of cash but in the form of goods or other assets.
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1 Subs. for the words "payable on the amount at the rates specified in paragraph 3(b) of the
Second Schedule" by F.A. 1994
56. Deduction from income of non-residents.-
56. Deduction from income of non-residents.-
1[(1) Subject to the provisions of sub-section (2), the specified person or any other person responsible for making payment to a non-resident of any amount which constitutes the income of such non-resident chargeable to tax under this Ordinance shall, unless such person is himself liable to pay tax thereon as agent, at the time of making such payment, deduct tax on the amount so payable at the rate, specified below:
|
SL.No |
Description of services or payments |
Rate of deduction of tax |
|
1 |
Advisory or consultancy service |
20% |
|
2 |
Pre-shipment inspection service |
20% |
|
3 |
Professional service, technical services, technical know-how or technical assistance |
20% |
|
4 |
Architecture, interior design or landscape design, fashion design or process design |
20% |
|
5 |
Certification, rating etc. |
20% |
|
6 |
Charge or rent for satellite, airtime or frequency, rent for channel broadcast |
20% |
|
7 |
Legal service |
20% |
|
8 |
Management service including even management |
20% |
|
9 |
Commission |
20% |
|
10 |
Royalty, license fee or payments related to intangibles |
20% |
|
11 |
Interest |
20% |
|
12 |
Advertisement broadcasting |
20% |
|
13 |
Advertisement making 2[or Digital marketing] |
15% |
|
14 |
Air transport or water transport |
7.5% |
|
15 |
Contractor or sub-contractor of manufacturing, process or conversion |
7.5% |
|
16 |
Supplier |
7.5% |
|
17 |
Capital gain |
15% |
|
18 |
Insurance premium |
10% |
|
19 |
Rental of machinery, equipment etc. |
15% |
|
20 |
3[Dividend- |
20% |
|
21 |
Artist, singer or player |
30% |
|
22 |
Salary or remuneration |
30% |
|
23 |
Exploration or drilling in petroleum operations |
5.25% |
|
24 |
Survey for Coal , oil or gas exploration |
5.25% |
|
24A |
Fees, etc. of surveyors of general insurance company |
20% |
|
25 |
Any service for making connectivity between oil or gas field and its export point |
5.25% |
|
26 |
Any payments against any services not mentioned above |
20% |
|
27 |
Any other payments |
30% |
[Provided that when any capital gain arises from the transfer of any share of a company, the person or the authority, as the case may be, responsible for effecting the transfer of shares shall not give any effect in respect of such transfer if tax on such capital gain has not been paid.]
(2) Where in respect of any payment under this section, the Board, on an application made in this behalf, is satisfied that due to tax treaty or any other reason the non-resident is not be liable to pay any tax in Bangladesh, or is liable to pay any tax at a reduced rate in Bangladesh, the Board may issue a certificate [Within thirty days from the date of receipt of such application accompanied by all the documents as required by the board] to the effect that the payment referred to in sub-section (1) shall be made without any deduction at the reduce rate as mentioned in the certificate.
(2A) Tax deducted under this section shall be deemed to be the minimum tax liability of the payee in respect of the income for which the deduction is made, and shall not be subject of refund or set off or an adjustment against a demand.
4[(3) For the purpose of this section—
(i) “specified person” shall have the same meaning as in clause (a) of sub-section (2) of section 52 of this Ordinance; and
(ii) “payment” includes a transfer, a credit, an adjustment of payment or an order or instruction of making payment.”।
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1 Subs. by F. A. 2016
2 Subs. by F. A. 2017
3 Subs by F. A 2020
4 Subs. sub-section (3) by F. A. 2020
57A. Consequences of the issuance of certificate of tax deduction or collection without actual deduction, collection, collection or payment.-
1[57A. Consequences of the issuance of certificate of tax deduction or collection without actual deduction, collection, collection or payment.-
(1) Where a person issues a certificate of deduction or collection of tax at source without actual deduction or collection or payment to the credit of the Government, without prejudice to any other consequences to which he may be liable, the person shall be personally liable to pay the amount not being deducted, collected or paid to the credit of the Government.
(2) The deputy commissioner of Taxes shall take necessary action for the collection of amount mentioned in sub-section (1) from the person so personally liable after giving the person a reasonable opportunity of being heard.]
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1 Added by F. A. 2016
57. Consequences of failure to deduct, Collect, etc.-
1[57. Consequences of failure to deduct, Collect, etc.-
[(1) Where a person-
(a) fails to deduct or collect tax at source as required by or under the provisions of this Chapter; or
(b) deducts or collects tax at a lesser rate or in lesser amount; or
(c) after deducting or collecting tax under this chapter, fails to pay the same to the credit of the government, or pays to the credit of the Government an amount lower than the collected or deducted amount;
Such person shall be deemed to be an asseesee in default, and without prejudice to any other consequences to which such person may be liable, shall be personally liable to pay-
(i) the amount of tax that has not been deducted or collected; or
(ii) the amount which was required to be deducted or collected under this Chapter as reduced by the amount that has been actually deducted or collected; or
(iii) the amount that, after being collected and deducted, has not been paid to the credit of the Government.
(2) In addition to the amount as mentioned in sub-section(1), the person shall also be liable to pay an additional amount at the rate of two percent (2%) per month on the amount as mentioned in sub-clause(i),(ii)and(iii)of clause(c) of sub-section(1), as the case or cases may be, calculated for the period-
(i) in the case of failure to deduct or collect, or of the deduction or collection at lower rate or amount, from the due date of the deduction or collection to the date of the payment of the amount, as mentioned in sub-clauses (i) or (ii) of clause (c) of sub-section(1), as the case may be, to the credit of the Government;
(ii) in the case of failure to deposit the amount deducted or collected, from the date of deduction or collection to the date of payment of the amount, as mentioned in sub-clause (iii) of clause (c) of sub-section(1), to the credit of the Government.
Explanation.- The period for which the additional amount is calculated shall not exceed twenty four months.
(3) The Deputy Commissioner of Taxes shall take necessary action for the realization of the amount as mentioned in sub-section(1) and the additional amount as mentioned in sub-section (2) from the person referred to in sub-section (1) after giving the person a reasonable opportunity of being heard.
(4) No realization of the amount mentioned in sub-section (1) shall be made if it is established that such amount has meanwhile been paid by the person from whom the deduction or collection was due.]
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1 Subs. by F.A. 2016
58. Certificate of deduction, etc., of tax.-
1[58. Certificate of deduction, etc. of tax.-
(1) Every person who has deducted or collected any tax under this Chapter shall furnish, to the person from whom such deduction or collection has been made, a certificate of tax deduction or collection specifying therein-
(a) the name and the Taxpayer’s Identification Number, if any, of the person from whom tax has been deducted or collected;
(b) the amount of deduction or collection of taxes;
(c) section or sections under which tax has been deducted or collected;
(d) the particulars of the payment of deducted or collected amount to the credit of the Government; and
(e) such other particulars as may be prescribed.
(2) The Board may, by notification in the official Gazette;
(a) specify 2[the cases in which] the certificate of tax deduction or collection shall be generated or furnished electronically or in any other machine readable or computer readable media;
(b) specify the manner in which such electronic, machine readable or computer readable certificate shall be generated or furnished.]
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1 Subs by F.A. 2016
2 Subs by F.A. 2017
59. Payment to Government of tax deducted.-
59. Payment to Government of tax deducted.-
All sums deducted or collected as tax under the provisions of this Chapter shall be paid within the prescribed time by the person making the deduction or collection to the credit of the Government or as the Board may direct.
60. Unauthorized deduction prohibited.-
60. Unauthorized deduction prohibited.-
Save as provided in this Ordinance, no person shall charge, withhold, deduct or collect any sum, directly or indirectly, as tax, and, where any sum is so charged, withheld, deducted or collected, it shall be paid in the manner provided in section 59.
61. Power to levy tax without prejudice to other mode of recovery.
Power to levy tax without prejudice to other mode of recovery.-
The power to levy tax by deduction or collection under this Chapter shall be without prejudice to any other mode of recovery.
62. Credit of tax deducted or collected at source.-
62. Credit of tax deducted or collected at source.-
Any deduction or collection of tax made and paid to the account of the Government in accordance with the provisions of this Chapter shall be treated as a payment of tax on behalf of the person from whose income the deduction or collection was made, or of the owner of the security or of the shareholder, as the case may be, and credit shall be given to him therefor on the production of the certificate furnished 1[,along with the proof of payment of such tax to the account of the Government,] under section 58 in the assessment, if any, made for the following year under this Ordinance:
Provided that, if such person or such owner obtains, in accordance with the provisions of this Ordinance, a refund of any portion of the tax so deducted, no credit shall be given for the amount of such refund:
Provided further that where such person or owner is a person whose income is included under the provisions of section 43 (4) or (5) or section 104 or 105 or 106 in the total income of another person, such other person shall be deemed to be the person or owner on whose behalf payment has been made and to whom credit shall be given in the assessment for the following year.
1[provided futher that , notwithstanding the provisions of this section, if such person derives income exempted under section 45,credit of tax deducted or collected at source shall be given to him for the assessment year following next after the expiry of the period of exemption allowed under the said section.]
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1 Ins. by F.A 2016
2 Ins. by F.A. 1992 subsequently omitted by F.A. 1993
62A. Procedure of deduction or collection of tax at source.-
1[62A. Procedure of deduction or collection of tax at source.-
Tax payable in respect of income under this Ordinance and deductable under Chapter VII shall be paid, deducted or collected at source in the manner and as per specifications laid down in the Eighth Schedule of this Ordinance:
Provided that in case of discrepancy, if any, provisions of Chapter VII of this Ordinance shall prevail.]
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1Ins. by F.A. 2009 subsequently omitted by F.A. 2011
63. Payment of tax where no deduction is made.-
63. Payment of tax where no deduction is made.-
The tax under this Ordinance shall be payable by the assessee direct -
(a) in any case where tax has not been deducted or collected as required by, and in accordance with, the provisions of this Chapter ;
(b) in any case where the amount deducted or collected is found, after regular assessment, to be less than the tax due from the assessee, to the extent of deficiency ; and
(c) in the case of income in respect of which no provision has been mad e for deduction or collection of tax under the provisions of this Chapter.
64. Advance payment of tax.-
64. Advance payment of tax.-
1[(1) Except as provided in sub-section (2), tax shall be payable by an assessee during each financial year by way of advance payment of tax, hereinafter referred to as "advance tax", in accordance with the provisions hereafter made in this Chapter if the total income of the assessee for the latest income year in respect of which he has been assessed by way of regular assessment, or has been provisionally assessed under this Ordinance, or the Income-tax Act, 1922 (XI of 1922), 2[exceeds 3{Six lakh taka}];]
(2) Nothing in sub-section (1) shall apply to any income classifiable under the heads "Agricultural income" and "Capital gains" 4[excluding gain from transfer of share of a company listed with a stock exchange]
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1Subs. by F.A. 1993
2Subs. for "three lakh taka" by F.A. 2010
3Subs. for "two lakh taka" by F.O. 2007
4Ins. by F.A. 2010
65. Computation of advance tax.-
65. Computation of advance tax.-
(1) 1[The minimum amount of advance tax] payable by an assessee in a financial year shall be the amount equal to the tax payable on his total income of the latest income year as assessed on regular basis or provisionally, as the case may be, as reduced by the amount of tax required to be deducted or collected at source in accordance with the preceding provisions of this Chapter.
(2) The tax payable under sub-section (1) shall be calculated at the rates in force in respect of the financial year referred to therein.
1 Ins. by F.A. 2007
66. Installments of advance tax.-
66. Instalments of advance tax.-
Advance tax shall be payable in four equal installments on the fifteenth day of September, December, March and June of the financial year for which the tax is payable:
1[Provided that, if before the fifteenth day of May of the year, an assessment of the assessee is completed in respect of an income year, later than that on the basis of which the tax was computed under section 65, the assessee shall pay in one instalment on the specified date or in equal instalments on the specified dates, if more than one falling after the date of the said assessment, the tax computed on the revised basis as reduced by the amount, if any, paid in accordance with the original computation].
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1Ins. by F.O. 1985
67. Estimate of advance tax.-
67. Estimate of advance tax.-
(1) Where, an assessee who is required to pay advance tax under section 64 estimates, at any time before the last instalment is due, that the tax payable by him for the relevant assessment year is likely to be less than the amount of tax as computed under section 65, he may, after giving to the Deputy Commissioner of Taxes an estimate of the tax payable by him, pay such estimated amount of advance tax, as reduced by the amount, if any, already paid, in equal instalments on the due dates of payment under section 66.
(2) The assessee may furnish a revised estimate of such amount at any time before any of such instalments become payable and may thereby adjust any excess or deficiency, by reference to the amount already paid by him under this section, in any subsequent instalment or instalments payable in such financial year.
68B. Advance tax for the owners of private motor car.-
68B. Advance tax for the owners of private motor car.-
(1) Every person owning a private motor car shall be deemed to have an income by which the motor car is maintained and shall pay advance income tax to be collected at the rate and in the manner as mentioned in sub-section(2).
(2) Subject to the provision of sub-section (3), the authority responsible for the registration and fitness renewal of motor car shall collect, on or before the date of registration or fitness renewal of the motor car, advance tax at the following rate-
1 [Table
| SL.No | Type and engine capacity of motor car | Amount of tax (in taka) |
| 1 | A car or a jeep, not exceeding 1500cc or 75kw | 25,000/- |
| 2 | A car or a jeep, exceeding 1500cc or 75 kw but not exceeding 2000cc or 100 kw | 50,000/- |
| 3 | A car or a jeep, exceeding 2000cc or 100 kw but not exceeding 2500cc or 125 kw | 75,000/- |
| 4 | A car or a jeep, exceeding 2500cc or 125 kw but not exceeding 3000cc or 150 kw | 1,25,000/- |
| 5 | A car or a jeep, exceeding 3000cc or 150 kw but not exceeding 3500cc or 175 kw | 1,50,000/- |
| 6 | A car or a jeep, exceeding 3500cc or 175 kw | 2,00,000/- |
| 7 | A microbus | 30,000/-] |
Provided that rate of tax shall be fifty percent (50%) higher for each additional motor car if the owner has two or more motor cars in his name or in joint names with other person or persons.
2[“(2A) In case of registration or fitness renewal of motor car for more than one year, advance tax under sub-section (2) shall be collected on or before 30th June in every subsequent year or years following the year in which registration or fitness renewal of motor car has been done.
(2B) Where any person fails to pay advance tax in accordance with sub-section (2A), the amount of advance tax payable shall be calculated following A+B formula, where A = the amount of advance tax not paid in the previous year or
A = the amount of advance tax not paid in the previous year or years; and
B = the amount of advance tax payable under sub-section (2) for the year in which an assessee is making the payment.
(3) Advance tax under sub-section(2) shall net be collected if the motor car is owned by-
(i) the government and the local government;
(ii) a project, programme or activity under the the government and the local government;
(iii) a foreign diplomat, a diplomatic mission in Bangladesh, United Nations and its offices;
(iv) a development partner of Bangladesh and its affiliated office or offices;
(v) an educational institution under the Monthly Payment Order of the Government;
(vi) a public university;
(vii) any entity that is not a person as defined under clause 46 of section(2) of this Ordinance;
(viii) a gazetted war-wounded freedom fighter; or
(ix) an institution that has obtained a certificate from the Board that advance tax shall not be collected from it.
(4) Where a person pays advance tax under sub-section (2), and the income from regular sources of the person results in a tax liability less than the said advance tax, the income of such person shall be deemed to be the amount that results a tax liability equal to the said advance tax.
(5) The advance tax paid under sub-section (2)shall not be refundable.
(6) In this section-
(a) “motor car” means a motor car as defined in clause (25) of section 2 of the Motor Vehicles Ordinance 1983(LV of 1983) and includes a jeep and a microbus;
(b) income from regular sources means income from any source other than the sources mentioned in sub-section (2) of section 82C.]
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1Subs table by F.A. 2021
2 Ins. new sub- section (2A) and (2B) by F. A 2021
68A. Advance tax on certain income.-
1[68A. Advance tax on certain income.-
(1) A manufacturer of cigarette shall pay advance tax at the rate of three percent (3%) on net sale price in every month.
(2) The advance tax paid under sub-section(1) shall be adjustable against the quarterly installments of advance tax payable under section 66.
Explanation.- In this section, “net sale” shall be A-B, where, A is the gross sale and B is the value added tax and the supplementary duty, if any, on such gross sale.
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1Added by F.A. 2016
68. Advance payment of tax by new assessees.
68. Advance payment of tax by new assessees.-
Any person who has not previously been assessed by way of regular assessment under this Ordinance or the Income-tax Act, 1922 (XI of 1922), shall before the fifteenth day of June in each financial year, if his total income, subject to section 64 (2), of the period which would be the income year for the immediately following assessment year is likely to exceed 1[ 2[six] lakh taka], send to the Deputy Commissioner of Taxes an estimate of his total income and advance tax payable by him calculated in the manner laid down in section 65 and shall pay such amount on such dates specified in section 66 as have not expired by instalments which may be revised according to section 67(2).
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1Subs for "Three lakh taka" by F.A. 2010
2 Subs. for "four" by F. A. 2020
69. Failure to pay installments of advance tax-
69. Failure to pay instalments of advance tax.-
Where, an assessee who is required to pay advance tax fails to pay any instalment of such tax, as originally computed or, as the case may be, estimated, on the due date, he shall be deemed to be an assessee in default in respect of such instalment.
70. Levy of interest for failure to pay advance tax.-
70. Levy of interest for failure to pay advance tax.-
Where, in respect of an assessee who is required to pay advance tax, it is found in the course of regular assessment that advance tax has not been paid in accordance with the provisions of this Chapter, there shall be added, without prejudice to the consequences of the assessee being in default under section 69, to the tax as determined on the basis of such assessment, simple interest thereon calculated at the rate and for the period specified in section 73.
71. Credit of advance tax.-
71. Credit of advance tax.-
Any sum, other than a penalty or interest, paid by or recovered from an assessee as advance tax, shall be treated as a payment of tax in respect of the income of the period which would be the income year for an assessment for the year next following the year in which it was payable and shall be given credit for in the assessment of tax payable by the assessee.
72. Interest payable by Government on excess payment of advance tax.
72. Interest payable by Government on excess payment of advance tax.-
(1)The Government shall pay simple interest at 1[ten per cent.] per annum on the amount by which the aggregate sum of advance tax paid during a financial year exceeds the amount of tax payable by him as determined on regular assessment.
(2) The period for which interest under sub-section (1) shall be payable shall be the period from the 2[first day of July of the year of assessment] to the date of regular assessment in respect of the income of that year or a period of two years from the said first day of July, whichever is shorter.
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1Subs. for "twelve per cent" by F.A. 1994
2Subs. for "first day of July of the year in which the advance tax was paid" by F.A. 1998
73A. Delay Interest for not filing return on or before the Tax Day.-
1[73A. Delay Interest for not filing return on or before the Tax Day.-
(1) Where an assessee is required to file a return of income for an assessment year under section 75 and fails to file the same before the expiry of the Tax Day, the assessee shall, without prejudice to any other consequences to which he may be liable to, pay a delay interest at the rate of two percent (2%) per month on the difference between the tax assessed on total income for the assessment year and the tax paid in advance for the assessment year including the tax deducted or collected or collected at source;
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Added by F.A. 2016
73. Interest payable by the assessee on deficiency in payment of advance tax.
73. Interest payable by the assessee on deficiency in payment of advance tax.-
1[(1) Where in any financial year advance tax paid by an assessee together with the tax deducted or collected at source, if any, under this Chapter is less than seventy-five percent (75%) of the amount of tax payable by him as determined on regular assessment, the assessee shall pay, in addition to the balance of tax payable by him, simple interest at the rate of ten percent (10%) per annum on the amount by which the tax so paid, deducted and collected falls short of the seventy five percent(75%) of the assessed tax:
Provided that the rate of interest shall be fifty percent (50%) higher if the return is not filed on or before the Tax Day.
(2) The period for which the interest under sub-section (1) is payable shall be the period from the first day of July next following the financial year in which the advance tax was applicable to the date of regular assessment in respect of the income of that year or a period of two years from the said first day of July, whichever is shorter.
(3) Notwithstanding anything contained in sub-sections (1) and (2) where-
(a) tax is paid under section 74; or
(b) provisional assessment has been made under section 81 but regular assessment has not been made, the simple interest shall be calculated in accordance with the following provisions-
(i) up to the date or dates on which tax under section 74 or as provisionally assessed, was paid;
(ii) thereafter, such simple interest shall be calculated on the amount by which the tax so paid falls short of the said seventy five percent(75%) of the assessed tax
(4) Where as a result of appeal, revision or reference the amount on which interest was payable under sub-section(1) has been reduced, the amount of interest payable shall be reduced accordingly and the excess interest paid, if any, shall be refunded together with the amount of tax that is refundable.
Explanation.-For the removal of doubts, it is hereby declared that in this section, “regular assessment” includes 2[the acceptance of revised return or the assessment made as a result of the audit under section 82BB(7)]
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1 Subs. by F.A 2016
2 Subs. by F.A 2017
74. Payment of tax on the basis of return.-
74. Payment of tax on the basis of return.-
1[(1) Every person who is required to file a return under section 75, 77, 78, 89(2), 91(3) or 93(1) shall, on or before the date on which he files the return, pay the amount of tax payable by him on the basis of such return or as per provision 2[sub-section(4)of section 82C] of section 16CCC, which ever is higher, as reduced by the amount of any tax deducted from his income or paid by him in accordance with the provisions of this Chapter.]
(2) Any amount paid under sub-section (1) shall be deemed to have been paid towards the sum as may be determined to be payable by him after regular assessment.
(3) A person who, without reasonable cause, fails to pay the tax as required by sub-section (1) shall be deemed to be an assessee in default.
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1 Subs. by F. A. 2014
2 Subs. by F. A. 2016