How to Pay Tax Online in Bangladesh 2026: e-Return, A-Challan, Total Income, Law Updates and Foreigners

The 2026 system to pay tax online Bangladesh has built

Most people who pay tax online Bangladesh-wide now do it from a phone or laptop, inside the National Board of Revenue's e-return system, with a mobile wallet, a bank card or an automated challan. For assessment year 2026-27 the NBR has made online filing compulsory for individual taxpayers, with narrow exceptions, and the return, the payment and the acknowledgement slip now sit in a single workflow.[1] Getting the payment right still depends on getting the number right, and that number is driven by the Income Tax Act 2023, the Finance Act 2026 and, for expatriates, the residency rules.

This guide covers every official payment channel, including A-challan on the Finance Division's iBAS++ platform; how to compute total income under the seven heads of income, with a worked example at the new Tk 400,000 threshold; a dated record of the 2026 tax law updates, including the October 2026 VAT ordinance; and how foreigners are taxed, from the 183-day test to departure clearance. Rates, return filing and withholding are covered in companion TRW guides.

Summary: Individual taxpayers who pay tax online Bangladesh-wide file through the NBR's e-return system and pay any balance from the same screen, using A-challan or the Sonali Bank gateway with mobile financial services, internet banking or a debit or credit card. The amount payable is the tax on total income, computed by aggregating seven heads of income, less the investment rebate and tax already deducted at source. For assessment years 2026-27 and 2027-28 the general tax-free threshold is Tk 400,000, and non-resident foreigners pay a flat 30%.

Key point: Paying online is not the same as filing. A payment only counts against your liability once it is matched to your TIN and recorded in the Tax and Payment section of your return. From assessment year 2026-27, filing between July and September earns a rebate of 5% of net tax payable, capped at Tk 25,000, while returns filed after December attract additional tax.

At a glance

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Table of Contents

Every channel to pay tax online Bangladesh offers in 2026

There are three connected official routes: the e-return system, where an individual prepares the return and pays from the same screen; the A-challan system on the Finance Division's iBAS++ platform, which moves money straight into the treasury; and the NBR's e-payment gateway operated through Sonali Bank.[2] [3]

The NBR's own description of the 2026-27 service lists the methods plainly: taxpayers can pay from home by bank transfer, debit card, credit card, bKash, Rocket, Nagad or any other mobile financial service.[1] The NBR website groups the payment tools under a "Payment and Chalan" menu that links to the ePayment gateway and to a-Chalan, alongside separate portals for e-TIN, e-TDS and return verification.[3]

The e-return system and the Pay Now button

Inside the e-return system, the Tax and Payment section shows the computation of total income, the tax on it and the amount payable after credits. Where tax remains unpaid, the system shows it as payable and activates a "Pay Now" button. Clicking it lets the taxpayer settle the balance through A-challan or the Sonali Bank gateway, using bKash, Rocket, Nagad or other mobile banking services, internet banking, or a debit or credit card.[2] Once the return is submitted, the taxpayer can download the acknowledgement slip, the return, the tax certificate and the challan for the tax paid.[2]

Registration requires a TIN and a mobile number registered in the taxpayer's own name through biometric verification, so check the SIM registration first.[2] [7]

A-challan through iBAS++

A-challan, short for automated challan, replaced the paper treasury challan. The NBR and the Finance Division launched it on 8 October 2020 under the Finance Division's iBAS++ programme, with the first transactions being income tax deposits in Dhaka's Taxes Zone-4. The system was designed to accept some 196 types of government revenue and fee, to allow payment at bank branches, through online banking and through mobile financial services, and to stop fake challans.[4]

In July 2025 the platform was integrated with the customs ASYCUDA World system so that duties and taxes reach the treasury instantly, 24 hours a day. The rollout supports internet banking, debit and credit cards and mobile financial services including bKash, Rocket, Nagad, Upay, mCash and TrustPay, and over-the-counter payment by account debit or cheque at some 11,700 branches of 61 banks.[5] For income tax, the practical point is that an A-challan carries a system-generated number that can be entered in the return as proof of payment.

The Sonali Bank e-payment gateway and e-challans

The NBR's ePayment link points to a Sonali Bank e-Sheba gateway.[3] The receipt from either A-challan or the gateway is often called an "e-challan". What matters is that the payment is credited to the right TIN, assessment year and purpose of payment.

Bank cards and mobile financial services

Cards suit larger payments; mobile wallets suit modest balances. Whichever you use, keep the transaction number, date and amount, because the e-return ledger asks for those details when you record a payment that was not made through the Pay Now button.[2]

Step by step: how individuals pay tax online Bangladesh-wide

The NBR opened the e-return service for assessment year 2026-27 on 22 July 2026. In the previous year, about 4.7 million individual taxpayers filed through it.[1] The sequence below reflects how we prepare clients so that the return, the payment and the credits reconcile first time.

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Who must file online and who may still file on paper

By special order, the NBR has made online filing mandatory for all individual taxpayers. Five groups may still file a paper return: taxpayers aged 65 or over, physically incapable taxpayers or those with special needs who hold a certificate, Bangladeshi taxpayers living abroad, representatives of a deceased taxpayer, and foreign nationals working in Bangladesh. Other individuals who cannot register because of a system problem may file on paper with approval from the relevant Additional or Joint Commissioner of Taxes.[1] Section 328 of the Income Tax Act 2023 gives the NBR the power to make electronic filing compulsory and to issue special orders on electronic payment.[6]

Recording tax already paid

Most taxpayers owe less at filing than their gross liability because tax has been deducted at source. The e-return system lets you record tax deducted from salary, bank interest, savings certificates and other sources, and advance tax paid with a car's registration or fitness renewal, by selecting the head, the deducting authority, the challan or certificate number and the amount claimed. Government employees whose salaries are drawn through iBAS++ select a dedicated salary option, and bank deductions can be synced from the income section.[2] For the rules on who deducts what, see our guide to withholding tax in Bangladesh.

Timing: rebate, additional tax and advance tax

Individuals can now file at any time during the tax year.[7] From assessment year 2026-27, a return filed between July and September earns a rebate of 5% of net tax payable, up to Tk 25,000. No rebate applies after September, and returns filed after December carry additional tax.[1] The Finance Bill 2026 set that additional tax at 2% of the liability or Tk 3,000, whichever is higher, from January to March, and 5% or Tk 5,000 from April to June.[11]

Taxpayers whose last assessed income exceeded Tk 1 million must also pay advance tax in four quarterly instalments due by 15 September, 15 December, 15 March and 15 June.[7] The detailed filing rules are in our guide to income tax return filing in Bangladesh.

How companies, employers and VAT payers pay tax online

Companies, withholding agents and VAT-registered businesses use the same payment rails as individuals but different front ends. Employers and other withholding agents have a dedicated e-TDS portal linked from the NBR website, and pay deducted tax into the treasury through the same A-challan and e-payment rails.[3] Importers pay customs duties and import-stage taxes through A-challan integrated with ASYCUDA World, which since July 2025 has removed the delay of RTGS transfers made during banking hours.[5]

VAT payments and returns run through the separate eVAT system. That regime changed twice in 2026, as explained in the updates section below, so check the current filing period before every return. See our guides to VAT return filing and corporate income tax.

Total income calculation under the Income Tax Act 2023

Before you pay tax online Bangladesh law requires you to know what you owe, and that starts with total income. The Income Tax Act 2023, Act No. XII of 2023, repealed and replaced the Income-tax Ordinance 1984.[6] Section 29 provides that total income is computed by aggregating income from all heads, and section 30 classifies all income for that purpose under seven heads of income.[6]

The seven heads of income

• Income from employment: salary, wages, allowances, bonuses, commissions, perquisites, arrears, employee share scheme benefits and receipts in lieu of salary.[9]
• Income from rent: rent from house property, land, furniture, machinery and other tangible capital assets, after allowable expenses.[9]
• Income from agriculture: farm income, which carries its own conditions and exemptions.
• Income from business: trading, manufacturing and professional income, after deductible expenses and depreciation.[9]
• Capital gains: gains on transfer of capital assets, which now include personal gold, jewellery, gems, paintings, antiques and club memberships.[9]
• Income from financial assets: interest, profit on deposits and savings instruments, and dividends.
• Income from other sources: royalties, licence fees, government cash subsidies, winnings and income that fits no other head.[9]

Residents and non-residents: what goes into total income

Scope depends on residence. Under section 26, a resident's total income includes income from whatever source that accrues or arises in Bangladesh or abroad, and income received in or outside Bangladesh. A non-resident's total income covers only income that accrues or arises, or is received, in Bangladesh.[6] Section 27 deems employment income earned in Bangladesh to arise here wherever it is paid, which is why an expatriate's offshore salary for work done in Dhaka is taxable.[6]

Key deductions at each head

Under employment income, one-third of income from employment or Tk 500,000, whichever is lower, is exempt under paragraph 27 of Part A of the Sixth Schedule.[10] Under rent, a standard deduction covers repairs, collection costs, utilities and service charges at 30% for commercial property and 25% for non-commercial property, in addition to insurance, interest on qualifying property loans and non-capital local taxes.[9] Capital gains, dividends and lottery winnings are carved out of the general slabs by section 18(5) and taxed at the rates the Act specifies for them.[6]

From gross tax to net tax payable

Once total income is fixed, the slab rates produce gross tax. The investment rebate under section 78 then reduces it by the lowest of 3% of taxable income, 10% of eligible investment and Tk 750,000.[10] [11] Tax deducted or collected at source and advance tax are credited next, and the balance is what you pay online. Where total income exceeds the tax-free threshold, the minimum tax is Tk 5,000, or Tk 1,000 for a new taxpayer.[8] A surcharge applies to individuals whose net worth exceeds Tk 40 million.[8]

Worked example: total income at the Finance Act 2026 thresholds

The naming of tax years causes confusion. The income year runs from 1 July to 30 June, and income earned from 1 July 2025 to 30 June 2026 is assessed in assessment year 2026-27.[7] News reports describe the new threshold as applying to "FY2026-27 and FY2027-28"; the underlying schedule is expressed by assessment year.[11] [12] Because the same Tk 400,000 threshold applies to both assessment years 2026-27 and 2027-28, the example below works for the return being filed now and for the 2026-27 income year.

The rates applied

For a resident individual, or a non-resident Bangladeshi citizen, the first Tk 400,000 is tax-free, the next Tk 300,000 is taxed at 10%, the next Tk 400,000 at 15%, the next Tk 500,000 at 20%, the next Tk 2,000,000 at 25% and the balance at 30%.[8] [11] [12] The former 5% band no longer exists. Women and senior citizens aged 65 or over, third-gender taxpayers, persons with disabilities and gazetted war-wounded freedom fighters have higher thresholds, and parents or guardians of a person with a disability receive a further Tk 50,000.[8] Full rate tables are in our guide to income tax rates in Bangladesh.

The facts

Ms Rahman is a resident general taxpayer in Dhaka. In the income year she earns basic salary of Tk 900,000, house rent allowance of Tk 360,000, medical allowance of Tk 60,000, conveyance allowance of Tk 30,000 and festival bonuses of Tk 150,000. She lets a residential flat for Tk 25,000 a month and pays Tk 10,000 in municipal and holding tax on it. She earns Tk 60,000 interest on a fixed deposit. She invests Tk 300,000 in eligible instruments. Her employer deducted Tk 70,000 at source and her bank deducted Tk 6,000.

Step 1: compute each head

• Employment: gross Tk 1,500,000. The exemption is the lower of one-third (Tk 500,000) and Tk 500,000, so Tk 500,000 is exempt. Taxable employment income is Tk 1,000,000.
• Rent: annual rent Tk 300,000, less the 25% non-commercial standard deduction of Tk 75,000 and Tk 10,000 of local taxes. Income from rent is Tk 215,000.
• Financial assets: interest of Tk 60,000.

Aggregating the heads under section 29 gives total income of Tk 1,275,000.

Step 2: apply the slabs

• First Tk 400,000: nil.
• Next Tk 300,000 at 10%: Tk 30,000.
• Next Tk 400,000 at 15%: Tk 60,000.
• Remaining Tk 175,000 at 20%: Tk 35,000.

Gross tax is Tk 125,000.

Step 3: rebate, credits and the balance to pay

The rebate is the lowest of 3% of total income (Tk 38,250), 10% of the Tk 300,000 investment (Tk 30,000) and Tk 750,000, so Tk 30,000. Net tax is Tk 95,000, well above the Tk 5,000 minimum. After crediting Tk 76,000 deducted at source, Ms Rahman has Tk 19,000 to pay online when she files. If she files between July and September, the early-filing rebate of 5% of net tax payable reduces what she owes.[1] Her return must also include the statement of assets, liabilities and lifestyle, without which it is treated as incomplete.[7]

In real cases, the 3% limb excludes exempt income and income taxed at reduced or final rates, and section 31 may require a spouse's or minor child's income to be consolidated.[6] Our guides to tax exemptions and tax planning in Bangladesh explain the eligible investments and exempt receipts. Freelancers should read our freelancer tax guide, because export earnings follow their own rules.

Bangladesh tax law updates 2026: a dated record

The legal basis for paying tax shifted repeatedly between 2023 and 2026. The record below lists the changes that matter, in date order. For the 2025 VAT changes, see our analysis of the VAT and Supplementary Duty (Amendment) Ordinance 2025.

2023: the Income Tax Act replaces the 1984 Ordinance

The Income Tax Act 2023 repealed and re-enacted the Income-tax Ordinance 1984, which had been kept alive after the martial-law ordinances lost force, and expanded the scope of income tax, advance tax, tax at source, minimum tax and surcharge.[6] It reorganised income into seven heads and gave the NBR express powers over electronic tax management in section 328. In October 2025 the Government published an Authentic English Text of the Act by SRO No. 404-Law/2025.[6]

2025: budget by ordinance and the ratification of 2026

With no parliament in session, the interim government made the 2025-26 budget by the Finance Ordinance issued on 2 June 2025, amending the VAT and Supplementary Duty Act 2012, the Income Tax Act 2023 and the Customs Act 2023. Further finance ordinances followed on 26 June and 6 October 2025. On 25 March 2026 the elected government's cabinet approved bills converting those ordinances, and the VAT ordinance in force since 9 January 2025, into Acts of Parliament.[13]

June 2026: the Finance Bill

The Finance Bill 2026, presented with the 2026-27 budget, legislated individual and corporate rate cards for five assessment years, 2026-27 to 2030-31, rather than one. It proposed a flat 30% rate for non-resident foreigners, minimum tax of Tk 5,000 (Tk 1,000 for new taxpayers), a new 35% top band from assessment year 2028-29, year-round return filing with an early-filing rebate, a new turnover tax concept replacing corporate minimum tax, and wider mandatory withholding returns.[11]

29 June 2026: the Finance Act as passed

Parliament passed the Finance Bill on 29 June 2026, on a motion by Finance Minister Amir Khosru Mahmud Chowdhury, with changes requested by Prime Minister Tarique Rahman. The tax-free threshold rose above the budget proposal to Tk 400,000 for 2026-27 and 2027-28, Tk 450,000 for 2028-29 and 2029-30, and Tk 500,000 for 2030-31. The investment-disclosure provision and two TIN requirements, for opening most bank accounts and registering partition deeds and mutations, were withdrawn. The tax rate for private universities fell from 10% to 5%, and tax exemptions for indigenous communities were extended to salary income.[12]

July 2026: mandatory e-returns and the new filing calendar

The NBR's special order making online filing mandatory for individuals took effect on 28 June 2026, and the e-return service for assessment year 2026-27 opened on 22 July 2026 with the 5% early-filing rebate.[1] [7] In practice, this replaces a single Tax Day deadline with a calendar of incentives and additional tax.

14 October 2026: monthly VAT returns restored by ordinance

The 2026-27 budget had allowed VAT returns after every three tax periods. On 14 October 2026 the Value Added Tax and Supplementary Duty (Amendment) Ordinance 2026, signed by President Mirza Fakhrul Islam Alamgir, was published in the gazette, restoring monthly filing. Returns are again due within 15 days of the end of each tax period, with 20 days for government and autonomous bodies, banks, insurers and zero-return filers.

The NBR extended the deadline for July to September 2026 returns to 25 October.[14] The reversal followed a fall of about 21% year on year in VAT collection in the first two months of the fiscal year, and the NBR's VAT policy wing cited complications with timely deposit, rebates, adjustments and refunds under the quarterly system.[14]

What to watch next

Because the VAT change came by ordinance, watch for a bill converting it into an Act, as the elected government did with the 2025 ordinances.[13] Watch too for further special orders under section 328 extending mandatory electronic filing and payment.[6] Our overview of tax law in Bangladesh tracks the wider framework.

Bangladesh tax law for foreigners

Foreign nationals face the same Act but different questions: whether they are resident, which rate applies, who deducts the tax and what happens when they leave.

The residency test

Under section 2(45) of the Income Tax Act 2023, an individual is resident for an income year if present in Bangladesh for 183 days or more in that year, or for 90 days or more in that year having been in Bangladesh for 365 days or more during the four preceding years.[6] Residence is decided year by year, and a person who is not resident is non-resident.[6] [8] Keep a day count from passport stamps, because the second limb can make a returning executive resident well before the 183rd day.

Rates for residents and non-residents

A resident foreigner is taxed on worldwide income at the ordinary slab rates and is entitled to the general threshold. A non-resident individual who is not a Bangladeshi citizen pays a flat 30% on Bangladesh-source income, with no tax-free band.[8] [11]

Section 78 confines the investment rebate to residents and non-resident Bangladeshis.[6] Under section 119, anyone paying a non-resident an amount taxable in Bangladesh must deduct tax at a rate not exceeding 30%, unless the NBR certifies a nil or reduced rate on account of a tax treaty or other reason, and a transfer of shares that yields a capital gain to a non-resident cannot be registered until the tax on it is paid.[6] Treaty relief may reduce the burden; our international tax practice advises on double tax agreements.

Work-permit holders and employer obligations

Foreign employees need a work permit before starting work, and the salary it states becomes the benchmark for tax. Employers must deduct tax from salary under section 86 at the average rate applicable to the employee's estimated income.[6] The NBR is also focusing on mapping the salary stated in the work permit against the actual payout.[7] The sanction for skipping approval is severe: under section 19, a person who employs a non-citizen without prior government approval pays additional tax of 50% of the tax payable on its income or Tk 500,000, whichever is higher.[6] Our guides to work visa requirements and employment law for expatriates cover the permit itself.

How foreigners file and pay

Foreign nationals working in Bangladesh are among the groups that may file a paper return rather than an e-return.[1] Many still prefer to file and pay tax online Bangladesh-side, because the e-return system produces an instant acknowledgement, but registration needs a biometrically verified local mobile number, so a new arrival should register a SIM in their own name early.[2] A-challan and the e-payment gateway accept payments against the taxpayer's TIN whichever filing route is used.

Tax clearance before leaving Bangladesh

Section 243 provides that, subject to NBR exceptions, a person not domiciled in Bangladesh, or a domiciled person unlikely to return, may not leave without a tax clearance certificate from the authorised Deputy Commissioner of Taxes, or an exemption certificate if they intend to return. An exemption certificate may cover a single journey or all journeys within a stated period.[6] A ship or airline that carries such a person without the certificate becomes liable for their tax and a penalty of up to Tk 20,000.[6] The NBR now runs an online application portal for tax clearance certificates for foreigners.[3]

Section 193 lets the Deputy Commissioner assess a departing worker who does not intend to return for the period up to the probable date of departure, including the incomplete income year.[6] In practice, settle the final return and any balance before applying for clearance.

Mistakes to avoid when you pay tax online Bangladesh-wide

• Paying against the wrong TIN or year: a challan credited to a spouse's TIN or the wrong assessment year does not discharge your liability, and correcting it takes time.
• Treating payment as filing: the return must still be submitted and the acknowledgement slip downloaded; a paid but unfiled return is still unfiled.
• Ignoring credits: unrecorded tax deducted at source means paying twice. Record every certificate and challan in the Tax and Payment section.[2]
• Missing the early window: filing after September loses the 5% rebate, and after December triggers additional tax.[1]
• Omitting the asset statement: a return without the statement of assets, liabilities and lifestyle is treated as incomplete.[7]
• For foreigners, leaving without clearance: the certificate requirement in section 243 applies at departure, not after.[6]

Comparing the online payment routes

The table below compares the channels that let taxpayers pay tax online Bangladesh systems recognise. On a phone, scroll it sideways.

For most individuals the simplest way to pay tax online Bangladesh offers is the e-return Pay Now route, because the payment is linked to the return automatically. Businesses with recurring deposits, and anyone paying on behalf of others, should use A-challan and keep the system-generated numbers on file. If a payment has left your account but no challan appears, contact the NBR's e-return call centre on 09643717171 with the transaction details.[1]

TRW's tax compliance practice reviews computations, prepares returns and reconciles payments for individuals, expatriates and companies, and our tax disputes team acts where an assessment or a mis-credited payment has to be contested.

Frequently asked questions

How do I pay tax online in Bangladesh?

Log in to the e-return system at etaxnbr.gov.bd, complete the return, open the Tax and Payment section and use the Pay Now button. You can pay through A-challan or the Sonali Bank gateway by mobile financial service, internet banking, or debit or credit card.[2]

Can I pay income tax with bKash or Nagad?

Yes. The NBR lists bKash, Rocket, Nagad and other mobile financial services among the accepted methods for paying through the e-return system.[1]

What is A-challan?

A-challan is the automated challan system built on the Finance Division's iBAS++ platform. Launched in October 2020, it lets taxpayers deposit government revenue through banks, online banking and mobile financial services and receive a system-generated challan.[4] [5]

Is online filing compulsory in 2026?

For most individual taxpayers, yes. Taxpayers aged 65 or over, those with special needs, Bangladeshis living abroad, representatives of deceased taxpayers and foreign nationals working in Bangladesh may still file on paper.[1]

What is the tax-free income threshold for 2026-27?

The Finance Act 2026 set the general threshold at Tk 400,000 for 2026-27 and 2027-28, rising to Tk 450,000 and then Tk 500,000 in later years.[12]

What are the heads of income under the Income Tax Act 2023?

Section 30 lists seven: income from employment, income from rent, income from agriculture, income from business, capital gains, income from financial assets and income from other sources.[6]

How much of my salary is exempt?

One-third of income from employment or Tk 500,000, whichever is lower.[10]

When is a foreigner resident for tax in Bangladesh?

When present for 183 days or more in the income year, or for 90 days or more in the year after 365 days or more in the previous four years.[6]

What tax rate do non-resident foreigners pay?

A non-resident individual who is not a Bangladeshi citizen is taxed at a flat 30% on Bangladesh-source income.[8]

Do foreigners need tax clearance before leaving Bangladesh?

Yes, unless an NBR exception applies. Section 243 requires a tax clearance certificate, or an exemption certificate if the person intends to return, and the NBR accepts applications online.[3] [6]