Bangladesh income-tax calculator
Turn a yearly income into a tax estimate using the individual slab structure: a tax-free threshold, then 5%, 10%, 15%, 20% and 25% bands. Add exempt income, pick the taxpayer category and city for the minimum tax, and see the slab-by-slab breakdown. It is a model, not a filed return.
Last updated: 2026-10-03
What this calculator does
An individual pays income tax on taxable income, in slabs. The first part, up to the tax-free threshold, carries no tax. The next parts are taxed at rising rates, and only the part that falls inside each slab is taxed at that slab’s rate.
This page models that structure. It does not read your payslip, your bank statements or your assets. For a salary-to-take-home view see the salary and income-tax calculator. For a government grade see government pay-scale salary.
From income to tax
- Total income
- − Exempt income
- = Taxable income
- Slabs
- − Investment rebate
- Not below minimum tax
- Total annual income
- What you earned in the income year, before exemptions. For a salaried person this is salary, bonus and other taxable cash.
- Exempt income
- The part the law does not tax, such as an allowed salary exemption. Take the figure from your tax computation or accountant, not from guesswork.
- Taxpayer category
- The tax-free threshold depends on whether you are a general taxpayer, a woman or senior citizen, a person with a disability or third gender, or a gazetted war-wounded freedom fighter.
- Location
- Minimum tax differs between Dhaka and Chattogram city corporations, other city corporations and elsewhere.
- Eligible investment
- Optional. Approved investments such as savings certificates or DPS can earn a tax rebate, up to a cap.
Slab table used in this model
Individual slab (general taxpayer)
| Part of taxable income | Rate | Maximum tax in that slab |
|---|---|---|
| First ৳3,50,000 | 0% | ৳0 |
| Next ৳1,00,000 | 5% | ৳5,000 |
| Next ৳4,00,000 | 10% | ৳40,000 |
| Next ৳5,00,000 | 15% | ৳75,000 |
| Next ৳5,00,000 | 20% | ৳1,00,000 |
| Everything above | 25% | No upper limit |
The tax-free first slab is larger for some categories: ৳4,00,000 for a woman or a taxpayer aged 65 or more, ৳4,75,000 for a person with a disability or third gender, and ৳5,00,000 for a gazetted war-wounded freedom fighter. The later slabs are the same.
Minimum tax by location (when taxable income is above the threshold)
| Location | Minimum tax |
|---|---|
| Dhaka or Chattogram city corporation | ৳5,000 |
| Other city corporations | ৳4,000 |
| Outside city corporations | ৳3,000 |
How the tax is worked out
Tax by slab
Tax = Σ (taxable amount inside each slab × that slab’s rate)
- Taxable income = total income − exempt income.
- If the result is below the minimum tax for your location, the minimum tax applies, as long as your taxable income is above the tax-free threshold.
- The investment rebate in this model is the lowest of 3% of taxable income, 15% of eligible investment, and ৳10,00,000, and it cannot take the tax below zero.
Taxable income of ৳8,00,000 (general taxpayer, Dhaka)
Total taxable income ৳8,00,000, no investment rebate.
- First ৳3,50,000 at 0% → ৳0
- Next ৳1,00,000 at 5% → ৳5,000
- Next ৳3,50,000 (of the ৳4,00,000 band) at 10% → ৳35,000
- Total = ৳5,000 + ৳35,000 = ৳40,000
Estimated tax ৳40,000 a year, about ৳3,333 a month, an effective rate of 5%.
Taxable income of ৳15,00,000 (general taxpayer, Dhaka)
Total taxable income ৳15,00,000, no investment rebate.
- ৳3,50,000 at 0% → ৳0
- ৳1,00,000 at 5% → ৳5,000
- ৳4,00,000 at 10% → ৳40,000
- ৳5,00,000 at 15% → ৳75,000
- Remaining ৳1,50,000 at 20% → ৳30,000
- Total = ৳1,50,000
Estimated tax ৳1,50,000 a year, an effective rate of 10%.
How to use it
- Enter your yearly income — Use the income-year total, not a monthly figure. Multiply monthly pay by 12 and add bonuses.
- Add the exempt part — Put in the exemption your accountant or the NBR guide allows. Leave it at 0 if you are unsure; the result will then be on the safe, higher side.
- Pick your category and location — They set the tax-free threshold and the minimum tax.
- Add investment only if it is eligible — Not every saving product qualifies. Check the list in the current rules.
- Compare with the return — Use the number to plan. The amount you pay is whatever the filed return and the current law say. See eTIN and e-return for the filing steps.
- Typing a monthly salary where the yearly total is expected.
- Treating the whole income as if it were taxed at the top rate. Only the part inside each slab is.
- Forgetting the minimum tax when the slab tax is small.
- Confusing income tax with VAT, which is a tax on a sale and appears on a bill.
Official links
- National Board of Revenue (NBR) — Income-tax paripatra and circulars
- e-Return (NBR) — Online tax return and TIN
Source: National Board of Revenue (NBR)
FAQ
What is the tax-free income limit in Bangladesh?
In the slab model used here it is ৳3,50,000 a year for a general taxpayer, ৳4,00,000 for a woman or a taxpayer aged 65 or more, ৳4,75,000 for a person with a disability or third gender, and ৳5,00,000 for a gazetted war-wounded freedom fighter. The figures come from the Finance Act and can change, so confirm with NBR.
How is income tax calculated in Bangladesh?
Taxable income is split into slabs. The first slab is tax-free and the rest are taxed at 5%, 10%, 15%, 20% and 25% in turn. Each rate applies only to the part of the income inside that slab. A minimum tax may apply.
Is this the official NBR calculation?
No. It is an independent model of the slab structure. NBR’s paripatra and your filed return are what count.
What is the minimum tax?
In the model it is ৳5,000 in Dhaka and Chattogram city corporations, ৳4,000 in other city corporations and ৳3,000 elsewhere, when taxable income is above the tax-free threshold.
When is the individual tax return due?
For individuals it has usually been due by 30 November for the income year that ended on 30 June, and NBR sometimes extends it. Check the latest NBR notice. Start with eTIN if you have no TIN.
Do I need a TIN if my income is below the threshold?
Some services and transactions ask for a TIN or a return even when no tax is due. Whether you must file depends on the rules for your case. See eTIN and the NBR guidance.
How is this different from the salary calculator?
The salary calculator starts from a monthly package and splits it into basic and allowances. This page starts from a yearly taxable income you already know and shows the slab maths.