The government of Bangladesh has introduced a new personal income tax category titled ‘July Warriors’, aimed at honoring and supporting individuals injured during the July 2024 uprising.
As part of the fiscal policy reforms, Economic Adviser Salehuddin Ahmed has proposed a tax-free income threshold of BDT 525,000 for this new category for the fiscal years 2026–27 and 2027–28.
According to the proposal, those officially listed (gazetted) as injured in the July 2024 uprising will be recognized as ‘July Warriors’ and entitled to this enhanced tax exemption.
In a similar move, the tax-free income limit for wounded freedom fighters (Muktijoddhas) has also been increased—from BDT 500,000 to BDT 525,000—beginning in the fiscal year 2026–27.
In comparison, the tax-free income threshold for ordinary individual taxpayers will remain lower, set at BDT 375,000 during the same two fiscal years.
This year’s budget has been presented under exceptional circumstances. Following the political transformation triggered by the July uprising, there is no sitting parliament.
Consequently, the budget was presented outside of the parliamentary setting, and no formal parliamentary debate will take place.
The proposed budget will be enacted as a Presidential Ordinance on June 30, following approval by the Advisory Council.
Despite these changes, Economic Adviser Salehuddin Ahmed affirmed that traditions of transparency and public engagement will be maintained.
He will hold a press conference the day after the budget announcement to address media queries and has pledged to gather stakeholder feedback throughout the month of June.
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