Bangladesh Customs Import and Export Taxes

Summary:

This article primarily discusses Bangladesh's import and export tax policies, including the calculation methods for customs duties, value-added taxes (VAT), and other related levies that must be paid for imported goods.

Overview

Whether individuals or commercial entities engage in importing goods into Bangladesh, they are required to pay import duties and other taxes. All import duties are calculated based on the value of the goods, which is the Cost, Insurance, and Freight (CIF) value. Additionally, imported goods are subject to value-added tax (VAT), additional duty, import regulatory duty, advance income tax, and advance trade VAT.

Customs Duty

The import duty rate in Bangladesh generally ranges from 0% to 25%. The majority of imported goods are subject to a duty rate of 3%, 5%, 12%, or 25%.

Value-Added Tax (VAT)

VAT = Standard VAT rate (15%) x (CIF value + applicable duty + additional duty + import regulatory duty)

Standard Tax Threshold

There is no minimum threshold for any import taxes in Bangladesh. All imported goods, regardless of value, are subject to taxes.

Others

Additional Duty: A tax rate between 0% and 500% imposed on specific goods, calculated based on the CIF value and the total of relevant duties.
Import Regulatory Duty: A tax rate of 0-15% imposed on specific goods, calculated based on the CIF value, relevant duties, and additional duty.