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| Deductions not admissible in certain circumstances under Section 65 |
Deductions not admissible in certain circumstances under Section 65 | Bangladesh Income Tax Act -2023:
As per sdection-65(ITA-2023),
Non-Admissible Deductions in Certain
Cases
Notwithstanding anything contained in this Chapter, the following expenses
shall not be deductible when computing income from financial assets:
(a) any interest payable outside Bangladesh if tax has not been deducted or paid in accordance with the provisions of this Act;
(b) any interest or commission paid against income from financial assets that is exempt from tax; and
(c) Any expenditure of a capital or personal nature.
Frequently Asked Question(FAQ):
1. What are income deductions not admissible under Section 65 of the Bangladesh Income Tax Act 2023?
Section 65 specifies expenses and deductions that taxpayers cannot claim under certain conditions while calculating taxable income in Bangladesh.
2. Why are some business expenses disallowed under Section 65?
Certain expenses are disallowed to prevent tax evasion, undocumented transactions, and improper financial reporting under Bangladesh tax law.
3. Can undocumented expenses be claimed as tax deductions in Bangladesh?
No. Expenses without valid documentation, invoices, or legal compliance are generally not admissible as deductions under Section 65.
4. How does Section 65 affect taxable income calculation?
Section 65 increases taxable income by restricting specific deductions that fail to meet legal and compliance requirements.