Budget Snippets

1. Tk 2,000 minimum income tax 

Individuals who are required to submit income tax returns to avail various government services will have to pay a minimum tax of Tk 2,000 even if they don't have taxable income. Registered taxpayers have to file income, expenditure, and wealth statements and get proof of submission of returns to enjoy 38 types of services.

2. Air travel tax surges up to 67%

For the first time, domestic air travellers will have to pay Tk 200 travel tax, while international air travellers' tax will be raised by up to 67 percent. The tax for travelling to Saarc countries will go up by 67 percent to Tk 2,000, to Middle Eastern destinations by 33 percent to Tk 4,000, and to other countries by 50 percent to Tk 6,000 .

3. Carbon tax for owners of multiple vehicles

Owners of more than one car will face an environmental protection surcharge as the government looks to discourage the use of vehicles in a bid to reduce pollution. Owners of multiple saloons, SUVs, and microbuses will pay a surcharge ranging from as little as Tk 25,000 to as much as Tk 3.5 lakh, depending on the engine displacement.

4. Agents to help people file tax returns

The government has decided to formulate rules to employ tax return preparers (TRPs) with a view to expanding the tax net. TRPs will help new taxpayers file returns as the government looks to narrow the gap between registered taxpayers and regular return filers. Currently, there are around 8.8 million taxpayer identification number (TIN) holders. But only 3.2 million TIN holders filed their returns as of April this fiscal year.

5. VAT imposed on ballpoint pens

Ballpoint pens may become costlier as the government imposed 15 percent value-added tax on its manufacturing in the country. Prices of all types of educational materials, including pens, has spiralled recently and the move to slap the indirect tax on the pens will increase the pressure on parents.