Income Tax Act 2023
Section 138 - Collection of tax from Motor Vehicles Operated Commercially
(as updated till Finance Act 2024)
(1) The person or authority responsible for the registration and fitness renewal of motor vehicles shall not register or allow fitness renewal unless a challan of advance tax at the rate given in the following table is furnished with the application, namely:—
Table
| Serial No. | Type of vehicle | Advance tax (in taka) |
| (1) | (2) | (3) |
| 1. | Bus having seats exceeding 52 seats | 16 (Sixteen) thousand |
| 2. | Bus having seats not exceeding 52 seats | 11 (eleven) thousand 500 (five hundred) |
| 3. | Air-conditioned Bus | 37 (thirty seven) thousand 500 (five hundred) |
| 4. | Double decker Bus | 16 (sixteen) thousand |
| 5. | Air conditioned (AC) Minibus/Coaster | 16 (Sixteen) thousand |
| 6. | Non-AC Minibus/Coaster | 6 (six) thousand 500 (five hundred) |
| 7. | Prime mover | 24 (twenty four) thousand |
| 8. | Truck, Lorry or Tank Lorry having payload capacity exceeding 5 (five) tons | 16 (sixteen) thousand |
| 9. | Truck, Lorry or Tank Lorry having payload capacity exceeding 1.5 (one point five) tons but not exceeding 5 (five) tons | 9 (nine) thousand 500 (five hundred) |
| 10. | Truck, Lorry or Tank Lorry having payload capacity not exceeding 1.5 (one point five) tons | 4 (four) thousand |
| 11. | Pickup van, human hauler, maxi or auto rickshaw | 4 (four) thousand |
| 12. | Air-conditioned Taxicab | 11 (eleven) thousand 500 (five hundred) |
| 13. | Non-AC Taxicab | 4 (four) thousand |
(2) In case of registration or fitness renewal of a vehicle for more than one year, advance tax under sub-section (1) shall be collected on or before 30th June in every subsequent year or years following the year of registration or fitness renewal of the vehicle.
(3) Where any person fails to pay advance tax in accordance with subsection (2), the amount of advance tax payable shall be determined in accordance with A + B formula, where—
A = the amount of advance tax not paid in the previous year or years; and
B = the amount of advance tax payable under sub-section (1) for the year in which an assessee is making the payment.
(4) Advance tax under sub-section (1) shall not be collected if the motor vehicle is owned by the following persons or institutions, namely:—
(a) the Government and the local authority;
(b) a project, programme or activity under the Government and the Local Government;
(c) a foreign diplomat, a diplomatic mission in Bangladesh, offices of United Nations and its constituent organizations ;
(d) a development partner of Bangladesh and its affiliated office or offices;
(e) an educational institution under the Monthly Payment Order of the Government;
(f) public universities;
(g) gazetted war-wounded freedom fighters; or
(h) any institution obtaining a certificate from the Board to the effect that no advance tax shall be paid.
Disclaimer: This is the authentic English text of the Income Tax Act 2023, as published under SRO No. 404-Law/2025 dated 08 October 2025. In the event of any inconsistency or conflict between the content on this website and the official Government publications or gazette notifications relating to laws, rules, regulations or SROs, the official Government publications and notifications shall prevail.