ALIN Legislative News
From American International University-Bangladesh Department of Law
Bangladesh: Simplified Taxation Takes Center
Stage with Implementation of New Law
On 22 June 2023, the Parliament
of Bangladesh approved the Income Tax Act 2023. An official gazette has been
published, and the new law is in effect starting from 01 July 2023. This Act
replaces the previous Income Tax Ordinance of 1984. The new legislation
comprises 25 chapters, further divided into 345 sections. Additionally, it
includes eight schedules that provide specific guidelines and provisions
related to various aspects of income taxation.
The new tax law of Bangladesh is
not a complete overhaul of the current outgoing tax law. However, the notable
increase in the chapters and sections indicates the intention to address any
gaps and establish a more centralized and consistent legal framework. This
reflects a concerted effort to align with international best practices in
taxation. The objective is to enhance the effectiveness and efficiency of the
tax system while ensuring compliance with global standards. [1]