Tax VAT Point

VAT & SD Act 2012

(Authentic English Text of the Original Bangla Text)

(as updated till Finance Ordinance 2025)

An Act to expand the areas of imposing value added tax, supplementary duty and turnover tax and to consolidate and the provisions relating to simplification of collection procedures of tax and to make other provisions ancillary thereto.

WHEREAS it is expedient and necessary to expand the areas of imposing value added tax, supplementary duty and turnover tax and to consolidate and the provisions relating to simplification of collection procedures of tax and to make other provisions ancillary thereto;

It is hereby enacted as follows:-

Table of Contents

ChapterPartSectionTitle of the section
ONE – PRELIMINARY1Short title and commencement
ONE – PRELIMINARY2Definitions
ONE – PRELIMINARY3Overriding effect of the Act
TWO – VAT REGISTRATION AND TURNOVER TAX ENLISHMENT4Persons eligible to be VAT registered
TWO – VAT REGISTRATION AND TURNOVER TAX ENLISHMENT5Registration
TWO – VAT REGISTRATION AND TURNOVER TAX ENLISHMENT6Procedure of VAT registration
TWO – VAT REGISTRATION AND TURNOVER TAX ENLISHMENT7Publication and preservation of list of registered persons
TWO – VAT REGISTRATION AND TURNOVER TAX ENLISHMENT8Voluntary VAT registration
TWO – VAT REGISTRATION AND TURNOVER TAX ENLISHMENT9Cancellation of VAT registration
TWO – VAT REGISTRATION AND TURNOVER TAX ENLISHMENT10Persons eligible for enlistment and enlisting
TWO – VAT REGISTRATION AND TURNOVER TAX ENLISHMENT11Cancellation of enlistment
TWO – VAT REGISTRATION AND TURNOVER TAX ENLISHMENT12Registration or enlistment [* * *] of persons eligible for registration for enlistment on his own initiative
TWO – VAT REGISTRATION AND TURNOVER TAX ENLISHMENT13Responsibility of a registered or enlisted person to display certificate
TWO – VAT REGISTRATION AND TURNOVER TAX ENLISHMENT14Responsibility of a registered or enlisted person to notify the changed information
THREE – IMPOSITION OF VAT15Imposition of VAT
THREE – IMPOSITION OF VAT16Persons liable to pay value added tax
THREE – IMPOSITION OF VAT17Supply made in Bangladesh
THREE – IMPOSITION OF VAT18Registered Supplier and recipient of supply
THREE – IMPOSITION OF VAT19VAT Agent of non-residents person
THREE – IMPOSITION OF VAT20Reverse charged tax collection from the recipient for imported services
THREE – IMPOSITION OF VAT21Zero-rated supply
THREE – IMPOSITION OF VAT22Land located outside Bangladesh
THREE – IMPOSITION OF VAT23Supply of goods for export
THREE – IMPOSITION OF VAT24Supply of zero-rated service
THREE – IMPOSITION OF VAT25Travel Agent and tour operator
THREE – IMPOSITION OF VAT26Exempted supply or exempted import
FOUR – MANNER OF VAT COLLECTIONPart A – On imports27Method of VAT collection on taxable import
FOUR – MANNER OF VAT COLLECTIONPart A – On imports28Determination of VAT imposable base value of taxable import
FOUR – MANNER OF VAT COLLECTIONPart A – On imports29Determination of value of re-imported goods
FOUR – MANNER OF VAT COLLECTIONPart A – On imports30Import for export
FOUR – MANNER OF VAT COLLECTIONPart A – On imports31Payment of advance tax during import and adjustment
FOUR – MANNER OF VAT COLLECTIONPart B – On General Supplies32Determination of value of taxable supply
FOUR – MANNER OF VAT COLLECTIONPart B – On General Supplies32AExplanation by the Board
FOUR – MANNER OF VAT COLLECTIONPart B – On General Supplies33Time of payment of VAT on taxable supply
FOUR – MANNER OF VAT COLLECTIONPart B – On General Supplies34Progressive or periodic supply
FOUR – MANNER OF VAT COLLECTIONPart B – On General Supplies35Supply of multiple types of goods and services in a single invoice
FOUR – MANNER OF VAT COLLECTIONPart C – On Special Supplies36Sale of an establishment as a going concern
FOUR – MANNER OF VAT COLLECTIONPart C – On Special Supplies37Rights, options and vouchers
FOUR – MANNER OF VAT COLLECTIONPart C – On Special Supplies38Supply of prepaid telecommunications products or services
FOUR – MANNER OF VAT COLLECTIONPart C – On Special Supplies39Lottery, lucky draw, housie, raffle draw and similar undertakings
FOUR – MANNER OF VAT COLLECTIONPart C – On Special Supplies40Value of in-kind benefits instead of cash money given to an employee or officer
FOUR – MANNER OF VAT COLLECTIONPart C – On Special Supplies41Lay-by sales
FOUR – MANNER OF VAT COLLECTIONPart C – On Special Supplies42Cancelled transactions
FOUR – MANNER OF VAT COLLECTIONPart C – On Special Supplies43Sale of property to pay off a debt
FOUR – MANNER OF VAT COLLECTIONPart C – On Special Supplies44Vending machine
FIVE – ASSESSMENT OF NET PAYABLE TAX BY THE TAXPAYER AND PAYMENT THEREOF45Method of assessing net tax payable on supply and payment thereof
FIVE – ASSESSMENT OF NET PAYABLE TAX BY THE TAXPAYER AND PAYMENT THEREOF46Input tax credit
FIVE – ASSESSMENT OF NET PAYABLE TAX BY THE TAXPAYER AND PAYMENT THEREOF47Partial input tax credit
FIVE – ASSESSMENT OF NET PAYABLE TAX BY THE TAXPAYER AND PAYMENT THEREOF48Adjustments
FIVE – ASSESSMENT OF NET PAYABLE TAX BY THE TAXPAYER AND PAYMENT THEREOF49Tax withheld at source and increasing adjustment by withholding entity
FIVE – ASSESSMENT OF NET PAYABLE TAX BY THE TAXPAYER AND PAYMENT THEREOF50Decreasing adjustment by the supplier after tax withheld at source
SIX – TAX INVOICES AND OTHER DOCUMENT51Tax invoice
SIX – TAX INVOICES AND OTHER DOCUMENT52Credit note and debit note
SIX – TAX INVOICES AND OTHER DOCUMENT53Tax withholding certificate
SIX – TAX INVOICES AND OTHER DOCUMENT54Other provisions relating to tax documents
SEVEN – IMPOSITION AND COLLECTION OF SUPPLEMENTARY DUTY55Imposition of supplementary duty
SEVEN – IMPOSITION AND COLLECTION OF SUPPLEMENTARY DUTY56Persons liable to pay supplementary duty
SEVEN – IMPOSITION AND COLLECTION OF SUPPLEMENTARY DUTY57Supplementary duty imposable value
SEVEN – IMPOSITION AND COLLECTION OF SUPPLEMENTARY DUTY58Special schemes for tobacco and alcoholic goods
SEVEN – IMPOSITION AND COLLECTION OF SUPPLEMENTARY DUTY59Collection of supplementary duty on import
SEVEN – IMPOSITION AND COLLECTION OF SUPPLEMENTARY DUTY60Collection of supplementary duty on supply
SEVEN – IMPOSITION AND COLLECTION OF SUPPLEMENTARY DUTY61Presumed supply of goods subject to supplementary duty
SEVEN – IMPOSITION AND COLLECTION OF SUPPLEMENTARY DUTY62Decreasing adjustment for supplementary duty
EIGHT – IMPOSITION AND COLLECTION OF TURNOVER TAX63Imposition and collection of turnover tax
EIGHT – FILING OF RETURN AND AMMENDMENTS THERETO64Submission of return
NINE – FILING OF RETURN AND AMMENDMENTS THERETO65Late submission of return
NINE – FILING OF RETURN AND AMMENDMENTS THERETO66Amendment to return
NINE – FILING OF RETURN AND AMMENDMENTS THERETO67Submission of complete, additional, or alternative returns
TEN – CARRY FORWARD OF NEGATIVE NET AMOUNT AND REFUNDS68Carry forward and refund of negative net amount
TEN – CARRY FORWARD OF NEGATIVE NET AMOUNT AND REFUNDS69Refund without carrying forward of negative net amount of money
TEN – CARRY FORWARD OF NEGATIVE NET AMOUNT AND REFUNDS70Application of the refunded money
TEN – CARRY FORWARD OF NEGATIVE NET AMOUNT AND REFUNDS71Refund of taxes paid by diplomatic and other international organizations
TEN – CARRY FORWARD OF NEGATIVE NET AMOUNT AND REFUNDS72Refund or adjustment of taxes paid in excess
ELEVEN – [***] TAX DETERMINATION73Tax determination
ELEVEN – [***] TAX DETERMINATION74False declaration by recipient of supply
ELEVEN – [***] TAX DETERMINATION75False statement by supplier
ELEVEN – [***] TAX DETERMINATION76Grant of tax benefit or negation
ELEVEN – [***] TAX DETERMINATION77Admissibility of tax determination notice
TWELEVE – VALUE ADDED TAX AUTHORITY78Value Added Tax Authority and officers thereof
TWELEVE – VALUE ADDED TAX AUTHORITY79Duties and responsibilities of the VAT Authority
TWELEVE – VALUE ADDED TAX AUTHORITY80Power of the Board to amend or alter an order or decision of VAT officer
TWELEVE – VALUE ADDED TAX AUTHORITY81Delegation of Power
TWELEVE – VALUE ADDED TAX AUTHORITY82Assistance to VAT officers
TWELEVE – VALUE ADDED TAX AUTHORITY83Power to enter and search by VAT officers
TWELEVE – VALUE ADDED TAX AUTHORITY84Seizure of goods and disposal thereof
TWELEVE – VALUE ADDED TAX AUTHORITY85Imposition of penalty [for non-compliance, irregularity or evasion of tax]
TWELEVE – VALUE ADDED TAX AUTHORITY86Monetary limits of VAT officers in initiating proceedings for adjudication
TWELEVE – VALUE ADDED TAX AUTHORITY87Power to summon
TWELEVE – VALUE ADDED TAX AUTHORITY88Powers and functions of Customs Officers
TWELEVE – VALUE ADDED TAX AUTHORITY89Confidentiality
TWELEVE – VALUE ADDED TAX AUTHORITY89AApplication of other laws in the matter of Value Added Tax Act
THIRTEEN – AUDIT AND INVESTIGATION90Audit and investigation of taxpayer’s economic activities
THIRTEEN – AUDIT AND INVESTIGATION90ASubmission of annual audited financial statements
THIRTEEN – AUDIT AND INVESTIGATION91Powers of the VAT officers
THIRTEEN – AUDIT AND INVESTIGATION92Supervised supply, observation and surveillance
THIRTEEN – AUDIT AND INVESTIGATION93Multiple departmental audits
THIRTEEN – AUDIT AND INVESTIGATION94Special audit
FOURTEEN – RECOVERY OF ARREAR TAX95Recovery of arrear tax
FOURTEEN – RECOVERY OF ARREAR TAX96Power of VAT officer under the Code of Civil Procedure
FOURTEEN – RECOVERY OF ARREAR TAX97Change in jurisdiction for recovery of arrear tax
FOURTEEN – RECOVERY OF ARREAR TAX98Disposal of money or security recovered
FOURTEEN – RECOVERY OF ARREAR TAX99Government lien on the immovable property of the defaulting taxpayer and attachment thereof
FOURTEEN – RECOVERY OF ARREAR TAX100Seizure of goods, sale of such goods and disposal of the sale proceeds thereof
FOURTEEN – RECOVERY OF ARREAR TAX101Liabilities and obligations of the representative
FOURTEEN – RECOVERY OF ARREAR TAX102Responsibilities of receivers
FOURTEEN – RECOVERY OF ARREAR TAX103Liabilities of company or association of persons or director of joint venture for property development or entrepreneur
FOURTEEN – RECOVERY OF ARREAR TAX104Continuity of partnerships or unincorporated associations
FOURTEEN – RECOVERY OF ARREAR TAX105Declaration of death or insolvency of a taxpayer
FOURTEEN – RECOVERY OF ARREAR TAX106Payment of arrear tax by installments
FIFTEEN – MAINTENANCE OF FORMS, NOTICES, AND RECORDS107Keeping records and accounts
FIFTEEN – MAINTENANCE OF FORMS, NOTICES, AND RECORDS108Authentication of forms, notices and documents
FIFTEEN – MAINTENANCE OF FORMS, NOTICES, AND RECORDS109Service of notices
FIFTEEN – MAINTENANCE OF FORMS, NOTICES, AND RECORDS110Authenticity of documents
SIXTEEN – OFFENCE, TRIAL AND PUNISHMENT111Offences relating to VAT registration certificate or turnover tax certificate and tax invoice, and punishment thereof
SIXTEEN – OFFENCE, TRIAL AND PUNISHMENT112Offence and punishment relating to false or misleading statement or description
SIXTEEN – OFFENCE, TRIAL AND PUNISHMENT113Offence and punishment for obstructions
SIXTEEN – OFFENCE, TRIAL AND PUNISHMENT114Investigation, trial and appeal of the offence
SIXTEEN – OFFENCE, TRIAL AND PUNISHMENT115Additional Power of the Judicial Magistrate or the Metropolitan Magistrate
SIXTEEN – OFFENCE, TRIAL AND PUNISHMENT116Offence committed by any company, association of persons or property development joint venture
SIXTEEN – OFFENCE, TRIAL AND PUNISHMENT117Abettor of offence
SIXTEEN – OFFENCE, TRIAL AND PUNISHMENT118Prior approval before filing a case
SIXTEEN – OFFENCE, TRIAL AND PUNISHMENT119Compounding of offence
SIXTEEN – OFFENCE, TRIAL AND PUNISHMENT120Fine additional to the tax payable
SEVENTEEN – APPEALS AND REVISIONS121Appeal to Commissioner (Appeal)
SEVENTEEN – APPEALS AND REVISIONS122Appeal to Appellate Tribunal
SEVENTEEN – APPEALS AND REVISIONS123Burden of proof in a proceeding
SEVENTEEN – APPEALS AND REVISIONS124Appeal to the High Court Division
SEVENTEEN – APPEALS AND REVISIONS125Alternative dispute resolution
EIGHTEEN – MISCELLANEOUS126Exemption
EIGHTEEN – MISCELLANEOUS126AGranting reward and efficiency incentive
EIGHTEEN – MISCELLANEOUS127Imposition of interest on payable tax
EIGHTEEN – MISCELLANEOUS127APower to write off government dues
EIGHTEEN – MISCELLANEOUS127BDetermination of time and method of tax payment in case of certain goods or services
EIGHTEEN – MISCELLANEOUS128Performance of functions online, filing of return and payment of tax, etc
EIGHTEEN – MISCELLANEOUS129Bar to the lodgement of suits in the Court
EIGHTEEN – MISCELLANEOUS129AProtection of activities done in good faith
EIGHTEEN – MISCELLANEOUS130Appointment of VAT Consultant
EIGHTEEN – MISCELLANEOUS131Correction of clerical mistakes, etc
EIGHTEEN – MISCELLANEOUS132Certified copy of documents
EIGHTEEN – MISCELLANEOUS133Issuance of VAT clearance certificate
EIGHTEEN – MISCELLANEOUS134Acts to be performed through a private organization
EIGHTEEN – MISCELLANEOUS135Power to make rules
EIGHTEEN – MISCELLANEOUS135ADetermination of uniform and allowance thereof of the VAT Officials and employees
EIGHTEEN – MISCELLANEOUS136Publication of translated English text
EIGHTEEN – MISCELLANEOUS137Repeal and savings
EIGHTEEN – MISCELLANEOUS138Tax accounting during transition
EIGHTEEN – MISCELLANEOUS139Agreements entered into after the commencement of this Act

VAT Act 2012 English – Reference/ Source:

Disclaimer: This is the authentic English text of The Value Added Tax and Supplementary Duty Act 2012, as published under SRO No. 440-Law/2025/326-Mushak dated 05 November 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.

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