Income Tax Return

RETURN AND STATEMENT

Return of income - Section 75

Subject to the provisions of sub-section (2), every person shall file or cause to be filed, with the Deputy Commissioner of Taxes, a return of income of the income year –

(a) if the total income of the person during the income year exceeds the maximum amount that is not chargeable to tax under this Ordinance; or

(b) if such person was assessed to tax for any one of the thre years immediately preceding that income year; or

(c) if the person is -

• a company; or
• a non-government organization registered with NGO Affairs Bureau; or
• a co-operative society; or
• a firm; or
• an association of persons; or 1
• a shareholder director or a shareholder employee <j a company; or
• a partner of a firm; or
• an employee of the government or an authority, corporation, body or units of the government or formed by any law, order or instrument being in force, if the employee, at any time in the income year, draws a basic salary of taka sixteen thousand or more; or

(d) if the person, not being an institution established solely for charitable purpose or a fund, has an income during the income year which is subject to tax exemption or lower tax rate under section 44;or

(e) if the person, at any time during the relevant income year fulfills any of the following conditions, namely:-

• owns a motor car; or
• owns a membership of a club registered under
• runs any business or profession having trade license from a city corporation, a paurashava or a union parishad; or
• has registered with a recognized professional body as a doctor, dentist, lawyer, chartered accountant, cost and management accountant, engineer, architect or surveyor or any other similar profession; or
• has registered with the Board as an income tax practitioner; or
• has a membership of a chamber of commerce and industries or a trade association or body; or
• runs for an office of any paurashava, city corporation, or a Member of Parliament;
• participates in a tender floated by the government, semi-government, autonomous body or a local authority; or
• serves in the board of directors of a company or a group of companies:

Provided that any non-resident Bangladeshi may file his return of income along with bank draft equivalent to the tax liability, if any, on the basis of such return, to his nearest Bangladesh mission and the mission will issue a receipt of such return with official seal and send the return to the Board.

(2) A return of income shall not be mandatory for-

• an educational institution receiving government benefits under Monthly Payment Order (MPO); or
• a public university; or
• a fund; or
• any class of persons which the Board, by order J official gazette, exempt from filing the return.

(3) Subject to the provision of sub-section (4), the return under sufci section (1) shall be-

1. furnished in the prescribed form setting forth therein sue particulars and information, and accompanied by such schedule! statements, accounts, annexures or documents as may be prescribed;
2. signed and verified-

1. in the case of an individual, by the individual himself where the individual is absent from Bangladesh, by th individual concerned or by some person duly authorized by him in this behalf; and wheu th individual is mentally incapacitated from attending to his affairs, by his guardian or by any other person competent to act on his behalf;
2. in the case of a Hindu undivided family, by the Karta and, where the Karta is absent from Bangladesh or is mentally incapacitated from attending to his affairs, by any other adult member of such family;
3. in the case of a company or a local authority, by tb principal officer thereof;
4. in the case of a firm, by any partner thereof, not beiif a minor;
5. in the case of any other association, by any member J the association or the principal officer thereof; ]
6. in the case of any other person, by that person or bj any person competent to act on his behalf;

(c) accompanied by-

1. in the case of individual, statements of assets, % liabilities and life style as required under section 80;
2. in the case of a company, an audited statement of accounts and a computation sheet explaining the difference between the profit or loss shown in the statement of accounts and the income shown in the return.

(4) The Board may, by notification in the official Gazette, -

1. specify that any return required to be filed under this section shall be filed electronically or in any other machine readable or computer readable media;
2. specify the form and tthe manner in which such electronic, machine readable or computer readable returns shall be filed.

(5) Every return under this section shall be filed, unless the date is extended under sub-section (6), on or before the Tax Day:

Provided that an individual being Government official engaged in higher education on deputation or employed under lien outside Bangladesh shall file return or returns for the period of such deputation or lien, at a time, within three months from the date of his return to Bangladesh.

(6) The last date for the submission of a return for a person may be extended by the Deputy Commissioner of Taxes upon the application by the person in the prescribed form:

Provided that the Deputy Commissioner of Taxes may extend the date up to two months from the date so specified and he may further extend the date up to two months with the approval of the Inspecting Joint Commissioner.

75A. Return of withholding tax.-

(1) Every person, being a company or a co-operative society or a non-government organization registered with NGO Affairs Bureau, shall file or cause to be filed, with the Deputy Commissioner of Taxes under whose jurisdiction he is an assessee, a return of tax deducted or collected under the provisions of Chapter VII of this Ordinance.

2. The return under-sub-section (1) shall be- 4

1. furnished in the prescribed form setting forth therein sud particulars and information, and accompanied by such schedules statements, accounts, annexures or documents as may b* prescribed; ?
2. signed and verified in the manner as specified in clause (c) a sub-section (3) of section .75;
3. filed half-yearly by the following dates-

1. First return: by Thirty-first January of the year in which the deduction or collection was made;
2. Second return: by Thirty-first July of the next year following the year in which the deduction or collection was made.

Provided that the last date for the submission of a return specified in this sub-section may be extended by the Deputy Commissioner of Taxes up to fifteen days from the date specified.

3. The Board may, by notification in the official Gazette

1. specify that any return required to be filed under this section shall be filed electronically or in any other machine readable or computer readable media;

2. specify, the form and the manner in which such electron machine readable or computer readable returns shall be filed.

75AA. Audit of the return of withholding tax.-

(1) The Deputy Commissioner of Taxes, with the approval of the Board, shall select a number of returns of withholding tax filed under section 75A for audit

(2) The Deputy Commissioner of Taxes shall conduct the audit of the selected return in respect of the following matters-

1. whether the tax has been deducted or collected at the rate, in the amount and in the manner as provided in Chapter VII of this Ordinance and the rules made thereunder;
2. whether the tax collected or deducted has been paid to the credit of the Government, or has been paid in accordance with the manner and within the time as prescribed;
3. whether the certificate of tax deduction or collection has been furnished in accordance with the provisions of this Ordinance.

(3) Where an audit under sub-section (2) results in findings that the provisions of this Ordinance in respect of the matters mentioned in clauses (a), (b) or (c) of sub-section (2) have not complied with the Deputy Commissioner of Taxes conducting the audit and may take necessary actions under this Ordinance including the actions under sections 57, 57A and 124.

(4) No return shall be selected for audit after the expiry of four years from the end of the year in which the return was filed."

Notice for filing return - Section 77

(1) The Deputy Commissioner of Taxes may, at any time after expiry of the date specified in section 75, by a notice in writing, require-

(a) any person, other than a company, to file a return of his total income as provided in that section if the opinion of the Deputy Commissioner of Taxes the total income of such person during the income year, of such amount as to render liable to tax;

(b) any company to file a return of its total income, if it is not filed.

(2) The return under sub-section (1) shall be filed within such period, not being less than twenty-one days as may be specified in the notice or within such extended period as the Deputy Commissioner of Taxes may allow.

Filing of revised return - Section 78

Any person who has not filed a return as required by section 75 or 77 or who, having filed return, discovers any omission or incorrect statement therein, may, without prejudice to any liability which he may have incurred on this account, file a return or a revised return, as the case may be, at any time before the assessment is made.

Production of accounts and documents - Section 79

The Deputy Commissioner of Taxes may, by notice in writing, require an assessee who has filed a return under section 75, or to whom a notice has been issued under section 77, to produce or cause to be produced such accounts, statements and documents on such date as may be specified in the notice, such accounts, statements and documents including those relating to any period, not being earlier than three years prior to the income year, as he may consider necessary for the purpose of making an assessment under this Ordinance.

Statements of assets, liabilities and life style - Section 80

Every person, being an individual assessee, shall furnish statements in the forms and manners as prescribed in respect of the total assets, liabilities and expenses of the person or the spouse, minor children and dependents of the person as on the last date of the income year if the person-

(a) has, in the last date of the income year, a gross wealth exceeding taka twenty lakh; or

(b) owns a motor car; or

(c) has made an investment in a house property or an apartment in the city corporation area:

Provided any person, being an individual assessee, who is not required to submit the statement mentioned in this sub-section may voluntarily submit such statement.

(2) Every person, being an individual assessee, shall furnish statements in the forms and manners as prescribed a statement of expenses relating to the life style of such expenses:

Provided that an individual not being a shareholder director of a company having income from salary or from business or profession may option not to submit such statement, if his total income does not exceed three lakh taka in the income year.

2. Where any statement as mentioned in sub-section (1) is non-submitted by a person being an individual, the Deputy Commissioner of Taxes may require, by notice in writing, to submit the same by person within the time as mentioned in the notice."