Income Tax
INCOME TAX
Introduction :
The income tax is administrated Income Tax Ordinance, 1984 and the Income tax Rules, 1984 as well as notification made under the Ordinance. The charge of tax of a person depends on its resident ship. Total world Income of a resident is charged to tax in Bangladesh. Where as a non-resident's Bangladesh income is only charged to tax in Bangladesh. There are seven heads of income. The are salary, interest on security, house property, agriculture, business and profession, capital gain and other sources.
Submission of income tax returns are generally due by 30th September in case of non-companies and by 31st December in case of companies.
Assessment is made in several procedures. They are self-assessment, presumptive assessment, spot assessment, pre-audit based assessment. Certain percent of self-assessment cases are selected for audit.
The assessee can prefer appeal if aggrieved by his assessment. There are three primary forums for appeal. They are to the Appellate Commissioner/Additional Commissioner/Joint Commissioner or to the Commission for reviews. The decisions of Appellate Commissioner/Additional Commissioner/Joint Commissioner can be challenged to the next Appellate Court named as Appellate Tribunal.
Withholding tax is leviable on a number of items including contractors, imports, transfer of urban land/building, bank deposits etc.
Bangladesh has Agreement on Avoidance of Double Taxation with 20 countries. Negotiation with some other countries are on way.
Definition:
A tax that governments impose on financial income generated by all entities within their jurisdiction. By law, businesses and individuals must file an income tax return every year to determine whether they owe any taxes or are eligible for a tax refund. Income tax is a key source of funds that the government uses to fund its activities and serve the public.
Income Tax Laws in Bangladesh:
Income-tax in the Indian subcontinent had its origin
Introduction :
The income tax is administrated Income Tax Ordinance, 1984 and the Income tax Rules, 1984 as well as notification made under the Ordinance. The charge of tax of a person depends on its resident ship. Total world Income of a resident is charged to tax in Bangladesh. Where as a non-resident's Bangladesh income is only charged to tax in Bangladesh. There are seven heads of income. The are salary, interest on security, house property, agriculture, business and profession, capital gain and other sources.
Submission of income tax returns are generally due by 30th September in case of non-companies and by 31st December in case of companies.
Assessment is made in several procedures. They are self-assessment, presumptive assessment, spot assessment, pre-audit based assessment. Certain percent of self-assessment cases are selected for audit.
The assessee can prefer appeal if aggrieved by his assessment. There are three primary forums for appeal. They are to the Appellate Commissioner/Additional Commissioner/Joint Commissioner or to the Commission for reviews. The decisions of Appellate Commissioner/Additional Commissioner/Joint Commissioner can be challenged to the next Appellate Court named as Appellate Tribunal.
Withholding tax is leviable on a number of items including contractors, imports, transfer of urban land/building, bank deposits etc.
Bangladesh has Agreement on Avoidance of Double Taxation with 20 countries. Negotiation with some other countries are on way.
Definition:
A tax that governments impose on financial income generated by all entities within their jurisdiction. By law, businesses and individuals must file an income tax return every year to determine whether they owe any taxes or are eligible for a tax refund. Income tax is a key source of funds that the government uses to fund its activities and serve the public.
Income Tax Laws in Bangladesh:
Income-tax in the Indian subcontinent had its origin