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The National Board of Revenue (NBR) is considering raising taxes on wealthy individuals in the budget of the next fiscal year.
The tax authority is also planning to review the wealth tax and introduce an inheritance tax to boost government revenue collection, NBR Chairman Abdur Rahman Khan said on Tuesday.
The NBR is planning to raise the tax rate for ultra-rich individuals to 35 per cent from the existing 30 per cent, a move that may come into effect from FY2027-28.
“We have a plan to implement this from the year after the next fiscal year. I will place the proposal before the finance minister,” Mr Khan said at a pre-budget discussion with leaders of the Economic Reporters Forum (ERF) at the NBR headquarters in Agargaon.
He said the revised rate could apply to a “super-rich group” — those earning more than Tk 1 crore annually, or possibly at higher thresholds such as Tk 1.5 crore or Tk 5 crore.
He also said the government could introduce an inheritance tax, which would apply to inherited assets.
The NBR chief further indicated that the upcoming budget for FY2026-27 may include measures to raise the prices of tobacco products.
He said that in the last round of tax hikes, only tobacco products were brought under the increased tax net, while bidi was left out. This year, however, bidi may also be considered.
Referring to revenue losses caused by illegal tobacco manufacturers, Mr Khan said the NBR would use modern technology to prevent tobacco tax evasion, including the use of counterfeit tax stamps.
He also said the NBR has decided to reduce the list of tax-exempt industries in a bid to improve revenue realisation.
Responding to a question, Mr Khan said the NBR’s reform agenda had made progress and that the authority was now awaiting a government decision on the separation issue, which is likely to be placed before the Cabinet.
ERF President Doulot Akter Mala placed a 37-point proposal for the next fiscal year.
Among other proposals, she suggested introducing tax refunds through mobile financial services (MFS) for individual taxpayers.
Also present at the discussion were ERF General Secretary Abul Kashem, NBR officials, and other senior ERF leaders.