¹[ (1) If, in a tax period, the sum of input tax and the receivable decreasing adjustments exceeds the sum of output tax, supplementary duty and increasing adjustments for such tax period, then the additional amount of money has to be carried forward and the above money can be debited in the next six tax periods, subsequently the remaining money has to be given refund according to this section.

(2) A registered person shall be allowed a decreasing adjustment for excess money carried forward from earlier tax periods in the following manner-

(a) in a subsequent tax period, the amount of tax payable for such period shall be determined by taking into account all output taxes and all adjustments other than the adjustments allowed under this section;

(b) if the money thus assessed is positive, such portion of the excess money carried forward from the earlier tax periods shall be allowed as decreasing adjustments as would reduce the payable amount of money to nil;

(c) that amount of money carried forward from earlier tax periods if cannot be adjusted under clause (b), shall be carried forward until–

(i) all of the excess amount carried forward is deducted for a tax period; or

(ii) a portion or all of the excess amount of money carried forward for a particular period is carried forward for six tax periods.

(3) If after carrying forward for 6 (six) tax periods, additional money remains unadjusted, then-

(a) if such additional amount does not exceed Taka 50,000 (fifty thousand), it shall continue to be carried forward until it is reduced to nil; or

(b) in other cases, such amount of money shall have to be refunded on prescribed terms and method within a period of 3 (three) months on receipt of an application. ]