The Office of the Comptroller General of Accounts issued a directive to deduct income tax at source from the salaries of the government officers and employees through the Integrated Budget and Accounting System.
The office issued the directive on Monday, following a semi-official letter regarding the matter, issued on October 7 of this year, from chairman of the National Board of Revenue.
According to the directive, under the Income Tax Act, 2023, government officers and employees whose income exceeds the tax-free limit for the current assessment year, must have income tax compulsorily deducted at source from their monthly salary bills.
The directive also stated that male officers and employees with a monthly basic salary of Tk 26,785 or above and female officers and employees with a monthly basic salary of Tk 30,357 or above are considered to have exceeded the tax-free threshold.
Moreover, income tax deduction at source is mandatory during salary bill preparation.
It further stated that, under Treasury Rules SR 115, the responsibility for the proper deduction of income tax and other applicable charges from the salary bill lied with drawing officer.
Accordingly, all concerned departments, treasuries and accounts offices have been instructed to ensure immediate implementation of income tax deduction through the iBAS++ system for the officials whose salaries exceed the mentioned limit during the current financial year 2025-26.
Mohammad Kabir Hossain, additional comptroller general of accounts (accounts and methods), signed the letter addressed to secretary of the Finance Division along with joint secretary, officials of the concerned departments and officials of the division, district and upazila levels.聽
According to the government officials, the TDS would be deducted as per the tax-free income ceiling.
The system would bring compliance at the tax regime, they added.
