Tax-free threshold of BDT 400,000 for FY 2026/27, rising to BDT 450,000 from FY 2027/28
FY 2026/27 (from 1 Jul 2026)
For FY 2026/27 the general individual tax-free threshold is BDT 400,000 (BDT 450,000 for women and seniors; BDT 525,000 for persons with disabilities), with income above it taxed in progressive bands starting at 10%. The general threshold rises to BDT 450,000 for FY 2027/28 and FY 2028/29, when a 35% top slab applies. Where total income exceeds the tax-free limit, minimum tax is BDT 5,000 (BDT 1,000 for new taxpayers).
For the employer
- Apply the BDT 400,000 general threshold and the applicable higher thresholds when computing salary tax withholding for FY 2026/27.
- Plan for the BDT 450,000 threshold and 35% top slab from FY 2027/28.
For the employee
- No tax on income up to the applicable threshold; the first taxable band is 10%.
Figures from PwC Worldwide Tax Summaries; the NBR website was not reachable for verification.
Source: PwC Worldwide Tax Summaries - Bangladesh: Taxes on personal income · Last verified 1 October 2026