Taxpayers in Bangladesh who fail to file their income tax returns on time may now face disconnection of essential services, including gas and electricity supply, under new provisions in the Income Tax Guidelines for the 2025–26 fiscal year.
According to officials at the National Board of Revenue (NBR), if a taxpayer has taxable income but does not submit their return within the stipulated period—or if they are legally required to file but fail to do so—tax authorities will have the power to cut off the gas, electricity, and other utility connections to their homes or businesses.
The guidelines outline five potential consequences for failing to submit tax returns: penalties under Section 266 of the Income Tax Act, restrictions on tax exemption opportunities under Section 174, an additional tax at a rate of 2 percent per month, disconnection of utility services, and complications in receiving salaries and allowances.
Income tax return submission is mandatory for two categories of Taxpayer Identification Number (TIN) holders: those whose annual taxable income exceeds Tk 350,000, and those who are legally required to file regardless of income level.
At present, proof of return submission is needed to access 39 types of government and private services.
Individual taxpayers must file their annual returns between July 1 and November 30 each year, detailing their income and expenses for the fiscal period.
Starting this year, all taxpayers will be required to file returns online through www.etaxnbr.gov.bd, with only five specific categories of taxpayers exempt from online filing.
Bangladesh currently has 11.2 million TIN holders, but only around 4 million file returns annually. In the last fiscal year, some 1.7 million taxpayers filed returns online, 70 percent of whom did not owe any tax.
