Income tax return mandatory to buy saving certificates above Tk 0.5m

From now on, if anyone wants to invest in savings certificates above Tk 500,000, he or she must show proof of last year's income tax return submission.

Besides opening an account in Post Office Savings Bank, returns have also been made mandatory.

The department of debt management of Bangladesh Bank (BB) issued a circular in this regard on Monday. This circular has been sent to the top executives of all commercial banks operating in the country.

According to the circular, the Directorate of National Savings Certificates, and the Government Gazette, the Central Bank has directed the banks to take necessary measures for proper compliance of section 48 of the Finance Act, 2022 in the case of investments exceeding Tk 500,000 at Savings Certificates and Post Office Savings Banks.

As per the instructions, from now on if a person wants to open a postal savings account or investment of more than Tk 500,000 in savings certificate, he will have to show proof of deposit of income tax return of the last year.

It means the government thinks your income is within the taxable income limit. Similarly, if a person has a bank account, in any case, if the credit balance exceeds Tk 1.0 million, the bank will have to provide the return deposit certificate, reports UNB.

The same will happen in the case of applying for a bank loan of more than Tk 500,000 or taking a credit card. That is, he cannot do any of this without filing an income tax return.