Important Changes Introduced

By

The Finance Act, 2015

This represents a brief summary of the important changes introduced by the Finance Act, 2015,
both in the fields of Direct Tax and Indirect Taxes. As it would be evident from this summary that
some of the existing provisions of taxation laws have been amended or rationalized. Our aim is to
acquaint all interested users especially our clients and prospective investors, home and abroad, with
the latest changes in the provisions of law.

Sl #

Particulars

Page #

Section I: Direct Tax....1-15

1.0

Income Tax................................................................................................................................. 1

1.01

Changes in the rates of income tax for Assessment year 2015-2016 over Assessment year 20142015 for an individual, firm, NGO and association of persons are as follows: ............................. 1

1.02

Changes in the rate of surcharge.................................................................................................. 1

1.03

Exclusion from total income- Sixth Schedule (Part A) ................................................................. 2

1.04

Corporate Tax Rates ................................................................................................................... 3

1.05

Change in definition of income year [Section 2(35)] .................................................................... 3

1.06

Employer engaging expatriate employee at his business or profession without permission from
BOI or any competent authority will be liable to pay additional tax [Section: 16B(b)] .................. 4

1.07

Reduction in rate of minimum tax for an industrial undertaking engaged in manufacturing of

goods [Section: 16CCC] .............................................................................................................. 4

1.08

Deemed income- u/s 19.............................................................................................................. 4

1.09

Special tax treatment- u/s 19BBBBB........................................................................................... 5

1.10

Voluntary disclosure of income [Section: 19E(3)(e)] .................................................................... 5

1.11
1.12

Income from business or profession [Section: 28(3)] ................................................................... 5

Obsolescence allowance for building, machinery, plant or any other fixed asset [Section: 29(1)
(xi)] ............................................................................................................................................. 6

1.13

Allowable limit of perquisite [Section: 30(e)]................................................................................ 6

1.14

Set off of losses [Section: 37] ....................................................................................................... 6

1.15

Tax holiday: ................................................................................................................................ 6

1.16

Changes in the provision of exemption of co-operative societies [Section: 47(1) (a & c)] ............. 6

1.17

Changes relating to deduction of tax at source:............................................................................ 7

1.18

Collection of tax from shipping business of a resident [Section: 53AA] ....................................... 9

1.19

Collection of tax on transfer, etc. of property [Section: 53H] ..................................................... 10

1.20

Collection of tax from lease of property [Section 53HH] ........................................................... 10

1.21

Deduction of tax from dividend [Section: 54] ............................................................................ 10

1.22

Extension of time by the Deputy Commissioner of Taxes for submission of income tax return
[Section: 75] .............................................................................................................................. 10

1.23

Universal self-assessment [Section: 82BB (1) & (2)] ................................................................... 10

1.24

Amendments in tax on income of certain person [Section: 82C] ................................................ 10

1.25

Best judgment assessment [Section: 84] ..................................................................................... 11

1.26

Amendments in transfer pricing ................................................................................................ 11

1.27

Amendments in the chapter of imposition of penalty ................................................................ 11

1.28
1.29

Bar to imposition of penalty without hearing [Section: 130]....................................................... 12

Order of Appellate Joint Commissioner, etc., to be sent to the Deputy Commissioner of Taxes
[Section: 132] ............................................................................................................................ 12

1.30

Application for alternative resolution of dispute [Section: 152I] ................................................ 12

1.31

Appeal against order of DCT and IJCT [Section: 153] ............................................................... 12

1.32

Amendments in the chapter of offences or prosecution ............................................................ 13

1.33

Amendments in the requirement of certificate or acknowledgement receipt containing e- TIN

[Section: 184A] .......................................................................................................................... 13

1.34

Amendments in Third Schedule [Computation of depreciation allowance and amortization] ..... 13

1.35

Changes in Income Tax Rules, 1984 .......................................................................................... 13

1.36

Extension of reduced rate of tax for textile industry .................................................................. 15

1.37

Tax holiday period introduced for Bangladesh Security and Exchange Commission .................. 15

1.38

Modification of list of autonomous bodies income of which is subject to 25% income tax ........ 15

1.37

Salaries of Government officials will be subject to income tax................................................... 15

1.39

Income tax rate for income from poultry, fisheries and few others ............................................ 15

1.40

has been incorporated as philanthropic institution ............................................. 16

Section II: Indirect Tax......17-21

2.0

Value Added Tax (VAT) ........................................................................................................... 17

2.01

Change in the rules and obligation to participate in tender without registration [Section 19A)] .. 17

2.02

Assistance to Value Added Tax Officer [Section 24].................................................................. 17

2.03

Rights of authorized officers to enter into the premises of production, place of rendering of
service, place of trading and place of residence and to inspect stock of goods, services and inputs
and to examine accounts and records [Section 26] ..................................................................... 17

2.04

Seizer of goods worth confiscation [section 27] ......................................................................... 17

2.05

Change in the offences and penalties [section 37] ...................................................................... 17

2.06

Assistant Director of Value Added Tax has also been empowered to search [section 48]........... 17

2.07

Change of place or status of business [rule 12(1)] ...................................................................... 17

2.08

Amendments in the deducting authorities of VAT [rule 18ka] ................................................... 17

2.09

Increase the period for credit of input VAT rebate in case of export [Rule 19] .......................... 18

2.10

Stamps used in declaration for zero tax rate and drawback facilities for backward linkage
industries [Rule 32A] ................................................................................................................. 18

2.11

Services provided by Government and non-government orphanages will be exempt from Value
Added Tax [Second schedule of VAT Act 1991] ....................................................................... 18

2.12

Supplementary Duty imposable goods and services [Third Schedule of VAT Act 1991] ............ 18

2.13

Addition and changes in definition of the following VAT related services through SRO no-120AIN/2015/726-Mushak dated 04 June 2015 ............................................................................. 19

2.14
2.15

Change in truncated rates .......................................................................................................... 19

VAT payment by small retailers and importer [S.R.O No. -124-AIN/2015/730-Mushak dated 04
June 2015] ................................................................................................................................. 19

2.16

VAT deduction at sources will not be applicable in case issuance or renewal of license of Jute or
Jute products business (S.R.O No. 128-Ain/2015/738-Mushak, dated 04 June 2015)................ 20

2.17

Extension of tax exemption period up to 30 June 2017 from 30 June 2015 in case of local
production of refrigerator, freezer and motor cycle and purchase of raw material of making these
as per S.R.O No-127-AIN/2015/733-Mushak dated 04 June 2015 ........................................... 20

2.18

Amendment of General Order No-06/Mushak/2007 regarding exemption of Value Added Tax

on sample of medicine export has been increased to Tk. 100,000 from Tk. 30,000 vide General
Order No 08/Mushak/2015 dated 04 June 2015 ....................................................................... 20

3.0

Rate of Excise Duty under Excise duty and salt Act 1944 (S.R.O No-129-AIN/2015/314-Excise
dated 04 June 2015)................................................................................................................... 20

4.0

Customs Duty ........................................................................................................................... 20

Section-I
DIRECT TAX

1.0

Income Tax

1.01

Changes in the rates of income tax for Assessment year 2015-2016 over Assessment year
2014-2015 for an individual, firm, NGO and association of persons are as follows:
Assessment year 2015-2016
Annual income

Assessment year 2014-2015

Income tax rate

Annual income

Income tax rate

First Tk. 250,000

Nil

First Tk. 220,000

Nil

Next Tk. 400,000

10%

Next Tk. 300,000

10%

Next Tk. 500,000

15%

Next Tk. 400,000

15%

Next Tk. 600,000

20%

Next Tk. 500,000

20%

Next Tk. 3,000,000

25%

Next Tk. 3,000,000

25%

Balance amount

30%

Balance amount

30%

Changes in tax exempted income of female taxpayers, senior male taxpayers, physically
handicapped and gazetted war-wounded freedom fighters are as under:
Assessment year
2015-2016
Tk. 300,000

Assessment year
2014-2015
Tk. 275,000

Senior male taxpayers of 65 years and above

Tk. 300,000

Tk. 275,000

Physically handicapped taxpayers

Tk. 375,000

Tk. 350,000

Gazetted war-wounded freedom fighters

Tk. 425,000

Tk. 400,000

Category
All female taxpayers

Minimum tax liability for any type of individual category of assessees has been changed in the
following manner:
Assessment year
2015-2016

Location of assessee
Assessees residing in Dhaka and Chittagong City
Corporation
Assessees residing in other City Corporation
Assessees residing in Paurashabhas at district towns
Assessees residing in areas other than those mentioned
above
1.02

Assessment year
2014-2015

Tk. 5,000

Tk. 3,000

Tk. 4,000
Tk. 3,000

Tk. 2,000

Tk. 3,000

Tk. 1,000

Changes in the rate of surcharge

Assessment year 2015-2016
Total net worth
Up to 2.25 crore

Assessment year 2014-2015

Rate
Nil

Total net worth

Up to 2 crore

Rate
Nil

Over Tk. 2.25 crore up to Tk. 10 crore

10%

Over Tk. 2 crore up to Tk. 10 crore

10%

Over Tk. 10 crore up to Tk. 20 crore

15%

Over Tk. 10 crore up to Tk. 20 crore

15%

Over Tk. 20 crore to up Tk. 30 crore

20%

Over Tk. 20 crore up to Tk. 30 crore

20%

Important Changes Introduced by Finance Act, 2015 ________________________________________

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25%

Over Tk. 30 crore

25%

Over Tk. 30 crore

Minimum surcharge has been fixed at Tk. 3,000 for the Assessment year 2015-2016, whereas
there was no minimum surcharge for the Assessment year 2014-2015.
1.03

Exclusion from total income- Sixth Schedule (Part A)

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Particulars

Income from dividend from

a company listed in any
(i)
stock
exchange
in
Bangladesh
(ii) Gratuity income
Any payment from Workers
Profit Participation Fund
(iii)
established
under
Bangladesh Labor Act, 2006
Income from mutual fund
(iv) or unit fund up to Tk.
25,000
Income received by an
assessee from wage earners
development bond, US
dollar premium bond, US
dollar investment bond,
(v)
Euro premium bond, Euro
investment bond, Pound
sterling investment bond or
Pound sterling premium
bond
Income derived from the
Information
Technology
Enabled Services (ITES)
(vi) business and Nationwide
Telecommunication
Transmission
Network
(NTTN)
Income derived from the
(vii)
export of handicrafts

Reference
Para- 11A

Assessment year
2015-2016

Assessment year
2014-2015

Up to Tk. 25,000

Up to Tk. 20,000

Up to Tk. 25,000,000
Received by workers
as defined in section
2(65) of Labor Act,
2006

Fully exempted
Received by all
beneficiaries
of
Workers
Profit
Participation Fund

Para- 22A

Any income

Only dividend
income

Para- 24A

Fully exempted

Taxable

Para- 20
Para21(d)

Para- 33

Fully exempted up to Fully exempted up

30 June 2024
to 30 June 2019

Para- 35

Fully exempted up to Fully exempted up

30 June 2019
to 30 June 2015

(viii) Income of an assessee donated in an income year by a crossed cheque or bank transfer to
any girls school or girls college (Para- 49), Technical and Vocational Training
Institute approved by the Ministry of Education of the Government (Para- 50), or
National Level Institution engaged in the Research & Development (R&D) of
agriculture, science, technology and industrial development (Para- 51). (earlier only
crossed cheque was mentioned).
(ix) Income classifiable under Income from other source other than bank interest or dividend
received by any educational institution, if it1. is enlisted for Monthly Pay Order (MPO) of the Government;
2. follows the curriculum approved by the Government;
3. is governed by a body formed as per Government rules.

[Para- 52]

Important Changes Introduced by Finance Act, 2015 ________________________________________

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(x)
1.04

Income received other than bank interest or dividend by any Public University, ICAB,
ICMAB and ICSB. [Para- 53]

Corporate Tax Rates

Tax rates of companies in some cases have been changed for the assessment year 2015-2016.
A brief picture of the corporate tax rates applicable for the assessment years 2015-2016 and
2014-2015 is shown in the table below:
SL #

Corporate Category

Assessment year
2015-2016

2014-2015

25%

27.5%

35%

35%

45%

45%

40%

40%

40%

42.5%

42.5%

42.5%

37.5%

37.5%

f.

Publicly traded companies (except banks, insurance

companies, financial institutions, merchant banks,
mobile phone operator companies and cigarette
manufacturing companies)*
Non-publicly traded companies (except banks, insurance
companies, financial institutions, merchant banks
mobile phone operator companies and cigarette
manufacturing companies)**
i) Mobile phone operator companies (not publicly
traded).
ii) Mobile phone operator companies (publicly traded by
transfer of 10% share through stock exchange of which
maximum 5% may be through pre-initial public
offering).
Banks, insurance companies, financial institutions
(except merchant banks) , publicly traded
Banks, insurance companies, financial institutions
(except merchant banks) , not publicly traded
Merchant banks

g.

Cigarette manufacturing companies publicly traded

45%

40%

h.

Cigarette manufacturer other than companies

45%

45%

j.

Any dividend received from a company

Co-operative society registered under the Co- operative
Society Act 2001

20%

20%

15%

Nil

a.

b.
c.

d.
e.

i.

* Unlike in the previous year, no rebate is allowed even if dividend is paid more than 30% of the
share capital. The rate of income tax would be 35% if the company fails to declare or pay
dividend at less than 10% of share capital within the specified time (60 days) has been withdrawn.
**Non-listed companies including mobile phone operator companies other than banks, insurance
and other financial institutions, merchant banks and cigarette manufacturing companies will
receive rebate of 10% in the year of listing if they list at least 20% of their paid up capital.
1.05

Change in definition of income year [Section 2(35)]

Income year means
a.

The period beginning with the date of setting up of a business and ending with the thirtieth
day of June following the date of setting up of such business;

Important Changes Introduced by Finance Act, 2015 ________________________________________

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b. The period beginning with the date on which a source of income newly comes into
existence and ending with the thirtieth day of June following the date on which such new
source comes into existence;
c. The period beginning with the first day of July and ending with the date of discontinuance
of the business or dissolution of the unincorporated body or liquidation of the company, as
the case may be;
d. The period beginning with the first day of July and ending with the date of retirement or
death of a participant of the unincorporated body;
e. The period immediately following the date of retirement, or death, of a participant of the
unincorporated body and ending with the date of retirement, or death, of another
participant or the thirtieth day of June following the date of the retirement, or death, as the
case may be;
f.

In the case of bank, insurance or financial institution the period of twelve months
commencing from the first day of January of the relevant year; or

g. In any other case the period of twelve months commencing from the first day of July of the
relevant year.
1.06

Employer engaging expatriate employee at his business or profession without permission

from BOI or any competent authority will be liable to pay additional tax [Section: 16B(b)]
If an employer of an expatriate employee does not obtain permission from BOI or any
competent authority, he will be charged additional tax at the rate of 50% of the tax payable on his
income or Tk. 500,000, whichever is higher in addition to tax payable by him under the
Ordinance.

1.07

Reduction in rate of minimum tax for an industrial undertaking engaged in

manufacturing of goods [Section: 16CCC]
Minimum tax rate remains unchanged for companies and firms i.e. 0.30% on gross receipt.
However, minimum tax at the rate of 0.10% on gross receipts shall be applicable for new
industrial undertakings engaged in manufacturing of goods for the first 3 years since
commencement of its commercial production.

1.08

Deemed income- u/s 19

a) Where any assesee other than company receives any loan from any person excluding a
banking company or a financial institution otherwise than by a crossed cheque drawn on a
bank or by bank transfer and the loan has not been paid back in full within 3 years from the
end of the income year in which it is received, shall be deemed as Income from other
sources. [Section: 19(21)]
b) Paid up capital shall include reserve and accumulated profit to compute deemed income
under the head Income from other sources for purchasing motor car or jeep exceeding
prescribed limit. [Section: 19(27)]
c) Insertion of new sub-sections 29, 30 and 31 in section 19:
Section 19(29): Where an assessee, during any income year, purchases on credit any material
for the purpose of construction of building or house property or its unit and fails to pay the
sum or any part thereof representing the liability in respect of such purchase, the sum or any

Important Changes Introduced by Finance Act, 2015 ________________________________________

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part thereof, which has not been paid in the following year in which such purchase was
made, shall be deemed to be the income of the assessee for that income year classifiable
under the head Income from other sources.
Section 19(30): Where an assessee, in the course of any proceedings under this Ordinance, is
found to have any sum or part thereof allowed or deducted but not spent in accordance with
the provision of clause (h) of sub-section (1) of section 25 of this Ordinance, such unspent
sum or part thereof shall be deemed to be the income of such assessee for that income year
classifiable under the head Income from house property.
Section 19(31): Where an assessee files a revised return under sections 78 or 93 and shows
tax exempted income or income that is subject to reduced tax rate, so much of the excess as
it exceeds the amount shown in the original return shall be deemed to be income for that
income year classifiable under the head "Income from other sources".
1.09

Special tax treatment- u/s 19BBBBB

a) Any sum invested by any person in construction or purchase of any residential building or
apartment shall be deemed to have been explained, if the assessee pays, before the
assessment for the relevant assessment year, tax at the following rate:

Location of the Property

Gulshan Model Town, Banani, Baridhara,
Motijheel Commercial Area and Dilkusha
Commercial Area of Dhaka.
Dhanmondi Residential Area, Defence
Officers Housing Society (DOHS),
Mahakhali, Lalmatia Housing Society,
Uttara Model Town, Bashundhara
Residential Area, Dhaka Cantonment,
Kawran
Bazar,
Bijaynagar,
Segunbagicha, Nikunja of Dhaka and
Panchlaish,
Khulshi,
Agrabad
and Nasirabad Area of Chittagong.
Other areas of City Corporation
Paurasabha of any district headquarters
Area other than aforementioned areas
1.10

Assessment year (2015-2016)

Rate per sq.
Rate per sq. meter
meter up to 200 Sq.
above 200
meter
Sq. meter
Tk. 5,000

Tk. 7,000

Tk. 4,000

Tk. 5,000

Tk. 2,000
Tk. 600 (previously
Tk. 1,000)
Tk. 400 (previously
Tk. 700)

Tk. 3,000
Tk. 800 (previously
Tk. 1,500)
Tk. 600 (previously
Tk. 1,000)

Voluntary disclosure of income [Section: 19E(3)(e)]

Voluntary disclosure of income as per section 19E will not be applicable to any income which is
exempted from tax in the concerned income year or is chargeable to tax at a reduced rate in
accordance with section 44 of the Income Tax ordinance, 1984.

1.11

Income from business or profession [Section: 28(3)]

Notwithstanding anything to the contrary contained in any other provisions of this Ordinance, in
the case of Bangladesh Development Bank Ltd., Investment Corporation of Bangladesh, any
financial institution and any commercial bank including the Bangladesh Krishi Bank and Rajshahi

Important Changes Introduced by Finance Act, 2015 ________________________________________

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Krishi Unnayan Bank, the income by way of interest in relation to such categories of bad or
doubtful debts as the Bangladesh Bank may classify in the income year in which it is credited to
its profit and loss account for that year or, as the case may be, in which it is actually received,
whichever is earlier, shall be classified and computed under the head income from business or
profession.
1.12

Obsolescence allowance for building, machinery, plant or any other fixed asset [Section:
29(1) (xi)]
Any building, machinery, plant or any other fixed asset not being imported software used by a
business will be allowed an obsolescence allowance to the extent and computed in the manner
specified in paragraph 10 of the 3rd Schedule in the year of sale, transfer or destroyed, demolished
or discarded by a competent authority.

1.13

Allowable limit of perquisite [Section: 30(e)]

Allowable limit of perquisite has been raised to Tk. 450,000 from Tk. 350,000.

1.14

Set off of losses [Section: 37]

No loss in respect of any income from any head shall be set off against any income from
manufacturing of cigarette.

1.15

Tax holiday:
(a) Widening of the scope of industrial undertaking [Section: 46B(2)]
Automobile manufacturing industry, bi-cycle manufacturing industry, tyre manufacturing industry
and brick made of automatic Tunnel Kiln technology shall be classified as industrial undertaking.
(b) Change in the provision in relation to the withdrawal of tax holiday [Section: 46B(11) and
46C(9)]
Exemption in respect of tax holiday shall stand withdrawn for the relevant assessment year, if any
industrial undertaking or physical infrastructure employs any expatriate employee without prior
permission of BOI or any competent authority of the Government.

1.16

Changes in the provision of exemption of co-operative societies [Section: 47(1) (a & c)]
The following income of co-operative society shall now be subject to payment of tax which was
earlier exempt from tax:
i.

Income from its dealings with its member involving sale of goods, lending of money or
lease of buildings and land which is for personal use of such member, or where such
member is a firm or association of persons for the personal use of the partners or members
thereof.

ii.

Income from interest and dividends derived from its investments with any other cooperative society.

Important Changes Introduced by Finance Act, 2015 ________________________________________

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1.17

Changes relating to deduction of tax at source:

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Particulars

Section

Financial
year 20152016

Financial
year 20142015

53P

15%

N/A

52B(2)

3%

N/A

Insertion of new section

1.

Payment by real estate developer to 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 land of such owner
2.
Collection of tax on maximum retail price from
cigarette manufacturers at the time of collection
of VAT
Amendments in the existing sections
1.

Salaries of government employees

2.

Interest on Treasury bill and Treasury bond

3.

Catering services

4.

Cleaning service
(a) commission
(b) gross receipts
Collection and recovery agency
(a) commission
(b) gross receipts
Credit rating agency

5.
6.
7.
8.

Event management
(a) commission
(b) gross receipts
Indenting commission

9.

Meeting fees, training fees or honorarium

10.

12.

Mobile network operator, technical support

service provider or service delivery agents
engaged in mobile banking operations
Private security service provider
(a) commission
(b) gross receipts
Product processing charge

13.

Shipping agency commissions

14.

Stevedoring/berth operation commission

15.

Supply of manpower
(a) commission
(b) gross receipts
Any other service which is not mentioned in
Chapter VII of this Ordinance and is not a service
provided by any bank, insurance or financial

11.

16.

50(1)(A)
and
50(1)(B)

51

Average
Average
rate
on rate
on
income
basic salary
from
salaries
N/A
5%

52AA

10%

10%

52AA

10%
1.5%

10%

52AA

10%
1.5%
10%

10%

52AA

10%
1.5%

10%

52AA

7.5%

52AA

10%

7.5% (Rule
17)
N/A

52AA

10%

10%

52AA

1.5%

52AA

10%
1.5%
10%

52AA

5%

52AA

10%

52AA

10%
1.5%

10%

52AA

10%

10%

52AA

10%

10%
5% (Rule
17)
10%

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Sl #

Particulars

Section

Financial
year 20152016

Financial
year 20142015

52D

N/A

5%

52U

N/A

3%

53E(1)

10%

N/A

53F(1)
(c)

10%

N/A

56(1)

20%

Not existed

institutions
17.

21.

Interest or profit arising from Wage earners

development
bond, US Dollar premium bond,
US Dollar investment bond, Euro premium bond,
Euro investment bond, Pound sterling premium
bond or Pound sterling investment bond
Payment related to local letter of credit (L/C) and
any other financing agreement in respect of
purchase or procurement of computer or
computer accessories, jute, cotton and yearn
Dealers promotional charges or fees or
commission or any other payment called by
whatever name
Interest or share of profit to a public university,
an educational institution whose teachers are
listed for Monthly Pay Order MPO, following the
curriculum approved by government whose
governing body is formed as per government
rules and regulations or professional institution
established under the law of ICAB, ICMAB and
ICSB
Accounting or tax consultancy

22.

Advertisement making

56(1)

15%

Not existed

23.

Advertisement broadcasting

56(1)

20%

Not existed

24.

Advisory or consultancy service

56(1)

30%

Not existed

25.

Air transport or water transport

56(1)

7.5%

Not existed

26.

Architecture, interior design or landscape design

56(1)

20%

Not existed

27.

Artist, singer or player

56(1)

30%

Not existed

28.

Capital gain received:

a) From capital assets (not being securities
listed with stock exchange)

18.

19.
20.

Not existed
15%
56(1)

29.

b) By a company or firm if such gain arises

from securities listed with any stock
exchange in Bangladesh which is not
exempted from tax in the country of such
non-resident
Certification

56(1)

30%

Not existed

30.

Charge or rent for satellite, airtime or frequency

56(1)

20%

Not existed

31.

Contractor, sub-contractor or supplier

56(1)

5%

32.

Courier service business of a non-resident

56(1)

15%

Not existed
15%
(Section
53CC)

33.

Dividend:
(a) company
(b) any other person, not being a company

56(1)

20%
30%

10%

Not existed

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34.

Insurance premium

56(1)

Financial
year 20152016
10%

35.

Interest, royalty or commission

56(1)

20%

Not existed

36.

Legal service

56(1)

20%

Not existed

37.

Machinery rent

56(1)

15%

Not existed

38.

Management or event management

56(1)

20%

Not existed

39.

Pre-shipment inspection service

56(1)

30%

Not existed

40.

56(1)

20%

Not existed

41.

Professional service, technical services fee,

technical know-how fee or technical assistance fee
Salary or remuneration

56(1)

30%

Not existed

42.

Exploration or drilling in petroleum operations

56(1)

5.25%

Not existed

43.

Survey for oil or gas exploration

56(1)

5.25%

Not existed

44.

Any service for making connectivity between oil

or gas field and its export point
Any other payments

56(1)

5.25%

Not existed

56(1)

30%

Not existed

53O

N/A

10%

Sl #

45.

Particulars

Section

Financial
year 20142015
Not existed

Withdrawal of rate
1.

Gains of securities traded in the Stock Exchanges

Reduction of rate
1.

Motor garage or workshop

52AA

5%

10%

2.

Printing service

52AA

3%

10%

3.

Private container port or dockyard service

52AA

5%

10%

4.

Transport provider

52AA

3%

10%

52JJ

0.3%

3%

52AA

10%

Rule 16

52S

4%

3%

53BB

0.6%

0.3% (SRO
No.
68/AIN/20
14 dated 22
April, 2014)

53EE

10%

7.5%

53K

4%

3%

5.

Collection of tax from travel agent by any person

responsible for paying on behalf of any airlines
Increase of rate
1.

Contract or toll manufacturing

2.

Collection of tax from manufacturer of soft

drinks

3.

Collection of tax from export

4.

Commission or remuneration paid to an agent of

foreign buyer
Advertising bill of newspaper or magazine or
private television channel or private radio station

5.
1.18

Collection of tax from shipping business of a resident [Section: 53AA]

Commissioner of Customs or any other authority shall not grant port clearance to a ship owned
or chartered by a resident assessee unless a certificate (corresponding Rule- 62A) is received in
prescribed manner from the DCT concerned and tax is not collected at the rate of 5% of total
proceed received or receivable in or out of Bangladesh.

Important Changes Introduced by Finance Act, 2015 ________________________________________

Page | 9

1.19

Collection of tax on transfer, etc. of property [Section: 53H]

For the purpose of Section 53H(2) treating exclusively Bangladesh House Building Finance
Corporation and Bangladesh Development Bank Limited as financial institution has been
omitted.

1.20

Collection of tax from lease of property [Section 53HH]

Any registering officer shall not register the document of lease of immovable property for not
less than ten years from any authority formed or established under any law or from any
individual, firm, Hindu undivided family, company or artificial juridical person unless tax is paid
at the rate of 4% on the lease amount of such property by the person being lessor.

1.21

Deduction of tax from dividend [Section: 54]

The existing section has been replaced as below:
The principal officer of a company registered in Bangladesh or of any other company shall
deduct tax from amount of such dividend at the time of paying any dividend to a shareholder to
both a resident and a non-resident Bangladeshi(a) If the shareholder is a company, at the rate applicable to a company;
(b) 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.

1.22

Extension of time by the Deputy Commissioner of Taxes for submission of income tax
return [Section: 75]
The Deputy Commissioner of Taxes may extend the date of submission of return up to two
months (earlier it was 03 months) from the stipulated date and he may further extend the date up
to two months (earlier it was 03 months) with the approval of the Inspecting Joint Commissioner
of Taxes.

1.23

Universal self-assessment [Section: 82BB (1) & (2)]

In the case of submission of income tax return under universal self-assessment scheme, a scrutiny
assessment procedure has been introduced maintaining normal selection of audit procedures.
An acknowledgement receipt provided by the DCT shall be treated as an assessment order as
previous years. However, the DCT shall issue a demand notice upon correction of arithmetical
error or incorrect claim stated in the submitted tax return after adjusting tax deducted at source,
advance income tax paid and income tax paid under section 74. This process shall be done by the
DCT within 12 months from the end of the financial year of the return submitted.

1.24

Amendments in tax on income of certain person [Section: 82C]

Deduction of tax on savings instruments
Deduction of tax on savings instruments at the rate of 5% shall be treated as final discharge of
tax liability. [clause eee]
Collection of tax from travel agent
Collection of tax at the rate of 0.3% from travel agent under section 52JJ shall be treated as final
discharge of tax liability. [clause eeee]

Important Changes Introduced by Finance Act, 2015 ________________________________________

Page | 10

Collection of tax from export of goods as specified in section 52BBBB

Collection of tax of the total export proceeds at the rate of 0.60% export of goods under section
52BBBB shall be treated as final discharge of tax liability. [clause kk]
Collection of tax from commission or remuneration paid to agent of foreign buyer
Collection of tax from commission or remuneration paid to an agent of a foreign buyer at the
rate of 10% under section 53EE shall be treated as final discharge of tax liability. [clause mmm]
Deduction of tax from interest on saving deposit and fixed deposits etc.
Deduction of tax at the rate of 10% under clause (c) of sub-section 1 of section 53F on interest
or share of profit of saving deposits of public university, MPO enlisted educational institutions,
ICAB, ICMAB and ICSB shall be treated as final discharge of tax liability. [clause mmmm]
Exclusion from final discharge of tax liability
Tax deduction from gas distribution company shall not be treated as final discharge of tax
liability.
1.25

Best judgment assessment [Section: 84]

The provision of refusal or cancelation of registration of a firm under the best judgment
assessment has been omitted.

1.26

Amendments in transfer pricing

Report from an accountant to be furnished in case of international transaction [Section: 107F]
Transfer pricing report by a Chartered Accountant or a Cost and Management Accountant shall
require to be submitted to the DCT if instructed in the notice.
Penalty for failure to furnish statement of international transactions [Section: 107HH]
Failure to furnish statement of international transactions along with the return of income may
result in a penalty of maximum 2% on the value of international transaction.

1.27

Amendments in the chapter of imposition of penalty

Penalty for failure to file return [Section: 124]
Failure to file income tax return may result in a penalty of 10% of last assessed tax or Tk. 1,000;
whichever is higher. However, in case of an individual, penalty shall not exceed:
Tk. 5,000 whose income was not assessed previously,
Tk. 1,000 or 50% of the tax payable on the last assessed income; whichever is higher.
Penalty for failure to verify the authenticity of e-TIN [Section: 124AA]
Where a person, responsible for verification of the authenticity of twelve-digit Taxpayers
Identification Number (TIN) in accordance with the provision of sub-section (2) of section 184A
of this Ordinance, has, without reasonable cause, failed to comply with such requirement under
that provision, the Deputy Commissioner of Taxes or any other income tax authority authorized
by the Board for this purpose, as the case may be, may impose upon such person a penalty not
exceeding taka fifty thousand.

Important Changes Introduced by Finance Act, 2015 ________________________________________

Page | 11

Penalty for failure to pay on the basis of return [Section: 127]

Failure to pay balance tax under section 74 may result in a penalty at the rate of 25% on the tax
payable or the shortage amount of tax payment.
Penalty for furnishing fake audit report [Section: 129B]
A penalty of Tk. 100,000 shall be imposed upon an assessee if any audit report furnished by him
is not signed by a chartered accountant or is believed to be false.
1.28

Bar to imposition of penalty without hearing [Section: 130]

No order imposing a penalty under this chapter (Chapter XV: Imposition of penalty) or chapter
XIA (Transfer pricing) shall be made on any person unless such person has been heard or has
been given a reasonable opportunity of being heard. Earlier this was only applicable in the case of
Chapter XV: Imposition of penalty.

1.29

Order of Appellate Joint Commissioner, etc., to be sent to the Deputy Commissioner of

Taxes [Section: 132]
The Appellate Joint Commissioner or the Commissioners (Appeals) or the Appellate Tribunal or
any other tax authority making an order imposing any penalty under this chapter (Chapter XV:
Imposition of penalty) or chapter XIA (Transfer pricing) shall forthwith send a copy of the order
to the Deputy Commissioner of Taxes, and thereupon all the provisions of this Ordinance
relating to the recovery of penalty shall apply as if such order were made by the Deputy
Commissioner of Taxes. Earlier this was only applicable in the case of Chapter XV: Imposition
of penalty.

1.30

Application for alternative resolution of dispute [Section: 152I]

If an assessee wants to apply for ADR of a dispute pending before any income tax authority,
tribunal or court, he shall take permission of the concerned income tax authority, tribunal or the
court.

1.31

Appeal against order of DCT and IJCT [Section: 153]

Clause (d) of section 153(1) regarding the refusal to register a firm or cancellation of registration
under section 84 (Best Judgment Assessment) has been deleted.
Clause (e) of section 153(1) has been changed as follows:
Any assesse not being a company can appeal to the Appellate Joint Commissioner of Taxes
against the order of DCT and Inspecting Joint Commissioner of Taxes if he is aggrieved by the
order of imposition of penalty under chapter XIA, chapter XV and under section 137 of chapter
XVI.
Section 153(1A) (b) has been changed in the following manner:
Any assesse being company, if aggrieved by the order of DCT and Inspecting Joint
Commissioner of Taxes regarding imposition of penalty under chapter XV or XIA or section
137, may appeal to the Appellate Joint Commissioner of Taxes.
Subsection (3) of section 153 has been changed as follows:
No appeal shall lie against any order of assessment under this section unless the tax payable on
the basis of return under section 74 has been paid.

Important Changes Introduced by Finance Act, 2015 ________________________________________

Page | 12

1.32

Amendments in the chapter of offences or prosecution

Punishment for furnishing fake audit report [Newly introduced section: 165AA]
Imprisonment between 3 months and 3 years or a fine up to Tk. 100,000 or both shall be
imposed on a person furnishing an audit report which is false or does not conform with signature
of a chartered accountant purported to be signatory to such statement.
Penalty for unauthorized employment [Newly introduced section: 165C]
Imprisonment between 3 months and 3 years or a fine up to Tk. 500,000 or both shall be
imposed on the person employing or allowing working any foreign individual without prior
approval from the BOI or a competent authority of the government.

1.33

Amendments in the requirement of certificate or acknowledgement receipt containing eTIN [Section: 184A]
Obtaining e-TIN is not mandatory for non-resident foreign directors or foreign sponsor
shareholders of a company incorporated in Bangladesh.
Obtaining e-TIN is compulsory for the parents of the students of English medium school,
situated in any city corporation or any paurasabha of district headquarter, following international
curriculum.

1.34

1.35

Amendments in Third Schedule [Computation of depreciation allowance and

amortization]

Depreciation at 10% is now allowed on imported computer software.

Tk. 2,500,000 instead of tk. 2,000,000 is now allowable as acquisition cost of motor vehicles.

Changes in Income Tax Rules, 1984

(a) Gas distribution company [Rule-16]:
In case of company engaged in gas distribution, the rate of income tax deduction would be
3% on any amount.
(b) Deduction of tax from indenting and shipping agency commission [Rule 17]:
The provision of tax deducted at source from indenting and shipping agency commission has
been shifted to section 52AA.
(c) Collection of tax from importers [Rule 17A]:
For the purpose of making collection of tax under section 53 of the Ordinance, the
Commissioner of Customs or any appropriate officer shall collect tax in the case of any
import of goods at the following rate:
(i)
5% on the value of the imported goods in case of import of goods excluding the
goods mentioned in clause (ii) and clause (iii)
(ii)
2% on the value of the imported goods in the case of import of goods some of
which are specified below:
Petroleum oils and oils obtained from bituminous minerals crude (H.S.
Code 2709.00.00)
Motor spirit of H.B.O.C type (H.S. Code 2710.12.11)
Other motor spirits, including aviation spirit (H.S. Code 2710.12.19)
Naptha (H.S. Code 2710.12.39) etc.

Important Changes Introduced by Finance Act, 2015 ________________________________________

Page | 13

(iii)

Taka 800 per ton in case of import of specified products some of which are
mentioned below:
Ferrous products obtained by direct reduction of iron ore and/or similar
(H.S. Code 7203)
Ferrous waste of and scrap, remelting scrap ingots of iron or steel (H.S.
Code 72.04.10.00, 72.04.21.00, 7204.29.00, 7204.30.00, 7204.41.00,
7204.49.00, 7204.50.00) etc.

Provided further that where the Board is satisfied that an importer is not likely to have any
taxable income during any period or the income is otherwise exempted from payment of
income tax under any provision of the Ordinance, it may, on application by such importer,
exempt such person from payment of tax for the period during which income of such
importer is not likely to be assessable or is exempted from payment of tax.
(d) Issuance of certificate to the person from whom tax has been deducted [Rule18]:
Deducting authority shall issue a certificate as required as per section 58 of the Ordinance to
the person from whom tax has been deducted under section 49 (1) (c), (h) or (r) of the
Ordinance within two weeks of the month following the month in which the deduction was
made.
(e) Issuance of certificate to the person from whom tax has been deducted [Rule18A]:
Deducting authority shall issue an annual certificate as per section 50(1B) of the Ordinance
regarding deduction of tax under section 50(1A) within two weeks of the month following
the month in which the deduction was made.
(f) Return if withholding tax has been modified [Rule 24A]:
Format of Return of withholding Tax to be filed by a company under section 75A of the
Ordinance has been modified inserting new heads.
(g) House rent allowance [Rule 33A]:
Exemption of House Rent Allowance has been increased to Tk. 25,000 per month from Tk.
20,000 per month or 50% of basic salary, whichever is lower.
(h) Conveyance facilities to employees [Rule 33D]:
Where conveyance facilities are provided partly or exclusively to an employee for personal or
private purposes, an amount equivalent to Tk. 60,000 per annum or 5% of basic salary
whichever is higher shall be added to his/her income.
(i) Medical allowance [Rule 33I]:
Exemption of medical allowance has been raised up to Tk. 120,000 (previously Tk. 60,000)
or 10% of basic salary, whichever is lower.
(j) Change in recognition of association of accountants, registration of income tax practitioners,
etc., by the Board [Rule 37]:
The chartered accountants and cost and management accountants of Institute of Chartered
Accountants of England and Wales, Scotland, London, Pakistan and India shall not be
eligible to provide income tax advisory service in Bangladesh. Only Bangladeshi Chartered
Accountants and Cost and Management Accountants are eligible to be authorized
representative to income tax authority.
Important Changes Introduced by Finance Act, 2015 ________________________________________

Page | 14

(k) Form of certificate for deduction of income tax from shipping business of a resident [Rule
62A]:
For the income tax deducted at source under section 53AA of the Ordinance by the
Commissioner of Customs or any other authority, a certificate has to be issued by the
Deputy Commissioner of Taxes in prescribed manner as per Rule 62A.
(l) Change in information and documents to be kept and maintained under section 107E [Rule
73]:
Instead of the document for the manner of choosing tested party including the rationale for
choice (clause q), the list of database utilized has to be kept and maintained.
(m) Report from a certified accountant to be furnished under section 107F [Rule 74]:
The above rule has been omitted.
(n) Change in the form of report from a certified accountant to be furnished under section 107F
[Rule 75]:
A new format has been introduced for the report from a certified accountant to be furnished
under section 107F.
1.36

Extension of reduced rate of tax for textile industry

Imposition of tax at the reduced rate of 15% for textile and jute industry has been extended to 30
June 2019 vide SRO No. 193/Ain/Income Tax/2015 dated 30 June, 2015 and 194/Ain/Income
Tax/2015 dated 30 June, 2015.

1.37

Tax holiday period introduced for Bangladesh Security and Exchange Commission
Income of Bangladesh Security and Exchange Commission will avail tax holiday for a period of
05 years vide SRO No. 195/AIN/Income Tax/2015 dated 30 June, 2015 in the manner as
follows:
Tax Holiday period
1st year
2nd year
3rd year
4th year
5th year

1.38

Tax exemption rate

100%
80%
60%
40%
20%

Modification of list of autonomous bodies income of which is subject to 25% income tax
Bangladesh Road Transport Authority (BRTA) and Bangladesh Securities and Exchange
Commission (BSEC) have been removed from the list of autonomous bodies income of whose is
subject to 25% income tax vides SRO No. 197/AIN/Income Tax/2015 dated 30 June, 2015.

1.37

Salaries of Government officials will be subject to income tax

Basic Salary, Festival bonus and bonus of the Government employees will be subject to income
tax vide SRO. 198-AIN/Income Tax/2015 dated 30 June, 2015

1.39

Income tax rate for income from poultry, fisheries and few others
Income tax rate for income from poultry (except fisheries) and few others as mentioned in the
SRO no 199/ain/Income Tax/2015 dated 30 June, 2015 is as below.

Important Changes Introduced by Finance Act, 2015 ________________________________________

Page | 15

On first Tk. 1,000,000

Next 2,000,000
Above 3,000,000
1.40

3%
10%
15%

has been incorporated as philanthropic institution

As per SRO No. 116-ain/Income Tax/2015 dated 04 June, 2015
has been
incorporated as Philanthropic Institution approved by Government and donation to those will
avail investment allowance as per para 22 of 6th Schedule Part B of Income Tax Ordinance 1984.

Important Changes Introduced by Finance Act, 2015 ________________________________________

Page | 16

Section-II
INDIRECT TAXES
2-Value Added Tax
3-Excise Duty
4-Customs Duty

Important Changes Introduced by Finance Act, 2015 ________________________________________

Page | 1

2.0

Value Added Tax (VAT)

2.01

Change in the rules and obligation to participate in tender without registration [Section
19A)]
No person would be able to take part in any tender or no work order can be issued in favor of
him without VAT registration or being enlisted for turnover tax (earlier person listed under
turnover tax was not addressed).

2.02

Assistance to Value Added Tax Officer [Section 24]

An Assistant Director of Value Added Tax is empowered like an Assistant Commissioner of
Taxes to ask for supply of document with regard to Value Added Tax issues as stated in the said
section of VAT Act, 1991.

2.03

Rights of authorized officers to enter into the premises of production, place of rendering
of service, place of trading and place of residence and to inspect stock of goods, services
and inputs and to examine accounts and records [Section 26]
An Assistant Director of Value Added Tax is empowered like an Assistant Commissioner of
Taxes to inspect or enter into business premises and other places regarding Value Added Tax
issues as stated section 26 of VAT Act, 1991.

2.04

Seizer of goods worth confiscation [section 27]

An Assistant Director of Value Added Tax is empowered like an Assistant Commissioner of
Taxes to seize goods concerning Value Added Tax issues as stated section 27 of VAT Act, 1991.

2.05

Change in the offences and penalties [section 37]

If any registered person receives any goods or services without VAT Challan, his such activity
will be an offence under section 37(2) of the VAT Act, 1991.
In addition, any attempt to evade Value Added Tax by not incorporating information regarding
the purchase of inputs within 48 hours (previously it was 24 hours) in the purchase register will
be an offence under section 37(2) of the VAT Act, 1991.

2.06

Assistant Director of Value Added Tax has also been empowered to search [section 48]
Assistant Director of Value Added Tax has been included in the list of the persons empowered
to search under the section 48 of the VAT Act, 1991.

2.07

Change of place or status of business [rule 12(1)]

The following requirement needs to be fulfilled before changing business place or status of any
VAT registered person:
Particulars
Financial year 2015-2016
Financial year 2014-2015
Non-judicial stamp

2.08

Undertaking in Tk. 300 non- Undertaking is under Tk. 150

judicial stamp
non-judicial stamp

Amendments in the deducting authorities of VAT [rule 18ka]

Organization having annual turnover exceeding Taka 1 (One) crore is also given responsibility to
deduct VAT at sources in addition to any other authorities as empowered earlier.

Important Changes Introduced by Finance Act, 2015 ________________________________________

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2.09

Increase the period for credit of input VAT rebate in case of export [Rule 19]
As per sub-rule (4) of rule 19, a registered person supplying taxable goods and exporting such
goods can take credit of input VAT within five successive VAT periods following the completion
of the VAT period instead of earlier two periods.

2.10

Stamps used in declaration for zero tax rate and drawback facilities for backward linkage
industries [Rule 32A]
In case of drawback on VAT paid on the goods or services, supplier shall declare in non-judicial
stamps of Tk. 300 (earlier it was Tk. 150 stamps).

2.11

Services provided by Government and non-government orphanages will be exempt from

Value Added Tax [Second schedule of VAT Act 1991]
Any service provided by any Government and non-government orphanages will be exempted
from VAT payment as per new clause (Jha) of paragraph 2 of Second schedule under Social
welfare services. Earlier, this type of organization was not included in the list of VAT exempted
services.

2.12

Supplementary Duty imposable goods and services [Third Schedule of VAT Act 1991]
Changes (increase, decrease or exclusion) in rate of supplementary duty of some of important
items of goods are as follows:
Rate for Financial Rate for Financial
Description of services
year 2015-2016
year 2014-2015
Liquid glucose
20%
30%
Finished chocolate(block, slab or bar size)

20%

30%

Sweet biscuits

45%

60%

Mosquito coil; aerosol; mosquito repellent

Printed books, Brochures, leaflets, similar printed
matter in single sheets, whether or not folded
Cartons, boxes and cases, of corrugated paper and
paperboard
Toilet paper, tissue paper, towel or napkin or similar
products, commodities, sanitary or similar work
usages
Printed photo, other printed products along with
photograph
Frozen prawn
Butter and other milk made fat and oil, dairy
spreads
Frozen and cold tomato

20%

30%

10%

15%

10%

15%

30%

45%

10%

15%

20%

15%

20%

15%

20%

15%

Other goods which are used to produce soft drinks

20%

0%

Filter

20%

15%

SIM card

20%

15%

Revolver and pistol: Others

150%

100%

Seats of a kind used for motorcycle

20%

15%

Important Changes Introduced by Finance Act, 2015 ________________________________________

Page | 18

Moreover, 3% Supplementary Duty (SD) has been imposed on cellular phone services.
2.13

Addition and changes in definition of the following VAT related services through SRO
no-120-AIN/2015/726-Mushak dated 04 June 2015
Training on beautification has been added in the definition of coaching center. In addition,
the following two services have been introduced:
Service
code

2.14

Name of the
services

S099.50

Product sale
through online

S099.60

Credit rating
agency

Definition
Online product sales means sale or purchase of any goods
and services using electronic network and transfer of money
and information under the same system including any activities
performing by any person engaged in supplying goods and
services under this program.
Credit rating agency means any person or organization or
institutions engaged in reviewing the financial position of any
person or organization or any institution to measure the ability
of loan repayment.

Change in truncated rates

The rate of truncated Value Added Tax in some cases has been increased/decreased vide SRO
No. 123-AIN/2015/729-Mushak dated 04 June 2015 and SRO. 221-AIN/2015/740-Mushak
dated 01 July, 2015 as provided below:
SL
No.

1
2
3
4
5
2.15

Service
Code

S010.20
S026.00
S037.00
S070.10
S070.20

Name of service

Rate for Financial

year 2015-2016

Rate for
Financial
year 2014-2015

1.5%
2.5%
4.5%
5%
5%
7.5%
7.5%

3%

Building construction Organization:

Total receipt from sale or transfer of:
1- 1,100 sq. feet
1,101-1,600 sq. feet
Over 1,600 sq. feet
Goldsmith
Procurement Provider
Private University
Private Medical and Engineering
College

3%
4%
Nil
Nil

VAT payment by small retailers and importer [S.R.O No. -124-AIN/2015/730-Mushak

dated 04 June 2015]
Minimum VAT for small retailers has been changed as follows:
Area
Dhaka North, Dhaka South and Chittagong City
Corporation
Other City Corporations
Municipal of any District

Rate for Financial

year 2015-2016
(BDT)

Rate for Financial

year 2014-2015
(BDT)

14,000

11,000

10,000

8,000

7,200

6,000

Important Changes Introduced by Finance Act, 2015 ________________________________________

Page | 19

Any other area of Bangladesh

3,600

3,000

The rate of VAT for super shops has been increased to 4% as compared to previous rate of 2%.
2.16

VAT deduction at sources will not be applicable in case issuance or renewal of license
of Jute or Jute products business (S.R.O No. 128-Ain/2015/738-Mushak, dated 04 June
2015)
In case of issue of license or renewal of license of jute or jute products business there will be no
deducting of VAT.

2.17

Extension of tax exemption period up to 30 June 2017 from 30 June 2015 in case of local
production of refrigerator, freezer and motor cycle and purchase of raw material of
making these as per S.R.O No-127-AIN/2015/733-Mushak dated 04 June 2015

2.18

Amendment of General Order No-06/Mushak/2007 regarding exemption of Value

Added Tax on sample of medicine export has been increased to Tk. 100,000 from Tk.
30,000 vide General Order No 08/Mushak/2015 dated 04 June 2015

3.0

Rate of Excise Duty under Excise duty and salt Act 1944 (S.R.O No-129-AIN/2015/314Excise dated 04 June 2015)
Rate for
Financial year
2015-2016 (BDT)

Rate for
Financial year
2014-2015 (BDT)

Nil

Nil

150

120

500

350

1,500

1,000

7,500

5,000

15,000

10,000

500

300

500

300

b) For other countries of Asia

1,000

500

c) For Europe, USA and rest of the World

1,500

1,000

Nil

Nil

Description of services
Services rendered by Bank or Financial InstituteIn cases where the balance, credit or debit does not
exceed Tk. 20,000 at any time during a year
In cases where the balance, credit or debit exceeds
Tk. 20,000 but does not exceed Tk. 100,000 at any
time during a year
In cases where the balance, credit or debit exceeds Tk. 100,000
but does not exceed Tk. 1,000,000 at any time during a year
In cases where the balance, credit or debit exceeds Tk. 1,000,000
but does not exceed Tk. 10,000,000 at any time during a year
In cases where the balance, credit or debit exceeds Tk.
10,000,000 but does not exceed Tk. 50,000,000 at any time
during a year
Whether credit or debit exceeds Tk. 50,000,000 at any time
during the year

Services rendered by AirlineAirline ticket per single seat journey in domestic route

Airline ticket per sit single journey in international route

a) For SAARC countries

Foreign national of diplomatic class, showing his/her diplomatic

passport at the Airline Ticket counter and check-in counter

4.0

Customs Duty
Changes (increase or decrease) in the rate of customs duty of some of the important items at
import stage are shown below:

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Page | 20

Description of products
Onion
Copying machines and facsimile machines
Automated teller machine
Solar powered lantern/lamps
Metal frames for LCD/LED TV panel imported
by VAT registered TV manufacturer
Parts imported by VAT registered electrical goods
manufacturers
Belts and bandoliers
Other computer software (Customized)
LCD/LED panel of Heading 85.28 without PCB
imported by VAT registered TV manufacturing
industry
Optical fiber cables
Blood transfusion set
Feeding tube
Urine drainage bag
Other LED lamps and bulb

Rate for Financial

year 2015-2016
0%
5%
5%
0%

Rate for Financial

year 2014-2015
5%
10%
10%
25%

10%

10%

5%

10%

25%
5%

10%
2%

25%

10%

10%
10%
10%
10%
25%

5%
5%
5%
5%
5%

THE END

Important Changes Introduced by Finance Act, 2015 ________________________________________

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Our Tax Division is working with the vision to serve our tax clients in helping them to ensure effective
planning and management of Income Tax, VAT and other taxes. We are committed to assist them in
providing the best advices on all Income Tax, VAT and other tax issues to ensure maximum tax benefits
to them fulfilling the requirements of Income Tax, VAT and other tax laws of the country.

For further information, you may contact: Telephone: (880-2) 8144347-52,

Facsimile: (880-2) 8144353
E-mail: acnabin@bangla.net

Important Changes Introduced by Finance Act, 2015

Page | 1