Bangladesh car tax calculator (মোটরযানের অগ্রিম কর, 2026-27)
A private car owner in Bangladesh pays advance income tax with each registration or fitness renewal, a year at a time: ৳25,000 up to 1500cc rising to ৳5,00,000 above 4500cc (৳25,000 to ৳1,00,000 for an electric car by motor power); an individual pays 50% more, plus an environmental surcharge, on each car beyond the first.
Worked example · Due each year
With Engine capacity of 2,000, this model computes Due each year 125,000 BDT. See the full working.
✓ Verified against 13 self-test cases Updated for 2026-27 · sources checked 2026-11-01
How মোটরযানের অগ্রিম কর (motor vehicle advance tax) in Bangladesh is calculated
Section 153 of the **Income Tax Act 2023** makes every motor vehicle owner pay advance tax before the vehicle is registered or its fitness renewed — by 30 June of each later year when it covers several years. The **Finance Act 2026** (s.85) replaced the tables from 1 July 2026: **৳25,000** up to 1500cc, **৳50,000** to 2000cc, **৳75,000** to 2500cc, **৳2,00,000** to 3000cc, **৳2,50,000** to 3500cc, **৳4,00,000** to 4500cc and **৳5,00,000** above; a microbus or double-cabin pickup pays **৳40,000**. An electric car pays **৳25,000** up to 200 kW, ৳50,000 to 300 kW, ৳75,000 to 400 kW and **৳1,00,000** above.
An individual who owns more than one vehicle, alone or jointly, pays **50% more** for each one beyond the first. The Finance Act 2026 (Schedule 2 Part 3) also charges an **environmental surcharge** on each car **in your own name** except the one with the lowest rate — **৳25,000** up to 1500cc, ৳50,000 to 2000cc, ৳75,000 to 2500cc, ৳1,50,000 to 3000cc, ৳2,00,000 to 3500cc and **৳3,50,000** above. A second 2000cc car therefore costs ৳75,000 + ৳50,000 = **৳1,25,000** a year. The surcharge table is by engine cc, so the page does not compute it for an electric car, and buses, trucks, pickup vans and motorcycles are outside it.
The advance tax is not refundable and counts against your income tax (s.153(3ক), (7)). It is not collected on vehicles of the Government, diplomats and development partners, gazetted war-wounded freedom fighters or people exempt from filing a return, nor on commercial vehicles and motorcycles (s.153(5), (8)). BRTA registration, fitness and tax-token fees and the wealth surcharge are not modelled. Estimate, not tax advice.
Worked example
ShowHide the full working: 5 inputs, 4 computed steps
| Inputs | |
|---|---|
| Engine capacity (cc) | 2,000 |
| Electric motor power (kW) | 150 |
| Vehicle | Car or jeep (by engine cc) |
| You own more than one motor vehicle, alone or jointly | yes |
| You have another car in your own name with an equal or lower surcharge | yes |
| Computed by the engine | |
| Advance tax from the s.153 table ✓ pinned | 50,000 BDT |
| Advance income tax ✓ pinned | 75,000 BDT |
| Environmental surcharge ✓ pinned | 50,000 BDT |
| Due each year ✓ pinned | 125,000 BDT |
Every computed row comes from the engine, run on the inputs above. Rows marked ✓ pinned are also fixed by a published self-test, so a change to the model that moved them would fail its own tests.
Frequently asked questions
How much advance tax is paid on a car in Bangladesh in 2026-27?
৳25,000 a year up to 1500cc, ৳50,000 to 2000cc, ৳75,000 to 2500cc, ৳2 lakh to 3000cc, ৳2.5 lakh to 3500cc, ৳4 lakh to 4500cc and ৳5 lakh above (Income Tax Act 2023 s.153, Finance Act 2026). A microbus or double-cabin pickup pays ৳40,000.
What do I pay for a second car?
Advance tax 50% higher for each vehicle beyond one that you own alone or jointly, plus — for cars in your own name — the environmental surcharge of ৳25,000 to ৳3,50,000 by engine size on every car except the one with the lowest rate. A second 2000cc car in your name costs ৳1,25,000 a year.
How is an electric car taxed?
By motor power: ৳25,000 up to 200 kW, ৳50,000 to 300 kW, ৳75,000 to 400 kW and ৳1,00,000 above, with the same 50% increase for an additional vehicle.
Sources
- Income Tax Act 2023 s.153 (Tables 1–2 substituted by the Finance Act 2026, s.85) · checked 2026-11-01
- Finance Act 2026 (Act 96), Schedule 2 Part 3: environmental surcharge · checked 2026-11-01
- Finance Act 2026, Bangladesh Gazette 30 June 2026 (NBR copy) · checked 2026-11-01
Estimate. Not tax advice. The verification badge means the model reproduces the stated formula through 13 self-test cases; the sources support that the formula matches the rules.
Check the arithmetic yourself: how this calculator is verified — the formula behind every derived value, the 13 test cases the engine reproduces, and what the badge does and does not claim. Also available as machine-readable JSON.
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