Tax Returns Rise 77% as Tax Rebates Encourage Early Filing

Bangla Press Desk: Personal income tax return submissions reached 1.253 million in the July-September quarter of the 2026-27 tax year, up 77% from the same period last year, as government incentives for filing returns ahead of the deadline encouraged more taxpayers to submit their returns early.

Many taxpayers are filing their returns in advance to benefit from the tax rebate.

Announced by the National Board of Revenue (NBR) on August 2, the incentive-based framework marks a shift from the traditional fixed filing deadline. Under the new system, individual taxpayers who filed their returns by September 30 qualified for a 5% tax rebate. However, returns filed between October 1 and December 31 will not qualify for any rebate or incentive.

According to NBR sources, around 300,000 taxpayers have benefited from the incentive.

Under the scheme, taxpayers can receive a 5% rebate on their tax payable, capped at Tk 25,000. The rebate is deducted directly from their total tax liability when they pay their taxes.

An NBR senior official, speaking on condition of anonymity, said 709,000 income tax returns were filed during the July-September quarter last year. The figure surged to 1.253 million during the same period this year.

The official added that around 300,000 taxpayers benefited from the tax rebate by filing their returns within the government’s stipulated deadline.

Meanwhile, a graduated penalty system has been introduced for late tax return submissions.

Taxpayers filing returns between January 1 and March 31 will have to pay a penalty of 2% of their tax payable or Tk 3,000, whichever is higher. For returns submitted between April 1 and June 30, the penalty will rise to 5% of the tax payable or Tk 5,000, whichever is higher.

The rebate has served as a clear incentive for small taxpayers. Mohammad Ismail, a small business owner, filed his return on September 30 and received a rebate of around Tk 1,000 on a tax liability of Tk 20,000.

He said the government’s announcement of the rebate had encouraged him to file his return within the deadline.

“Although the amount was small, it made me happy,” he said.

BP/SP