(1) The Board may, by notification in the official Gazette, grant exemption from tax to any person or class of persons.

(2) Where an exemption from tax is granted to a person under the provisions of any other law than this Act or any other instrument having force of law, notwithstanding anything contained in the other Act or legal documents, such provision shall not be operative unless, by notification issued under subsection (1), tax exemption is granted to such person.

(3) The Board may cancel any tax exemption by issuing a notification under this section.

(4) Retrospective tax exemption shall not be granted under this Act.

(5) Notwithstanding anything contained in Part 6 and other provisions of this Act, no person shall be exempted from tax under this Act in any tax year if he fails to comply with the following conditions, namely:—

(a) filing the return within the tax day; or

(b) filing returns in compliance with the provisions of sections 166 and 171; or

(c) filing a return in respect of activities like deduction or collection at source, deposit thereof and ensuring compliance with the provisions of Part 7; or

¹[(d) receiving all receipts and incomes from any tax exempted source through bank transfer:

Provided that this provision shall not apply to the following cases, namely:–

i. where the receipt is classifiable under the head “income from agriculture” and the total amount of receipt in any income year does not exceed Taka 1(one) crore; or

ii. any asset acquired as gift under clause (34) of Part 1 of the Sixth Schedule; ]

(6) Any disallowance of expenditure under section 55, in calculating the income of a source or of a person that is exempted from tax or is subject to a reduced rate of tax, shall be treated as income for that source or of that person, as the case may be, and tax shall be payable on such income at the regular rate.

²[(7) Notwithstanding anything contained in this Act, any person enjoying tax exemption may pay tax at regular rate by surrendering his exemption fully or partially.

(8) Any person shall not be entitled to further tax exemption in any other manner or for any other period for a source of income against which such person was granted tax exemption for a definite period by any Act and such person shall not be entitled to tax exemption in case of reconstitution by amalgamation, demerger and acquisition:

     Provided that the provision of this sub-section shall not be applicable to tax exemption where the existing period of tax exemption is extended by any provision of this Act or by any notification. ]