National Board of Revenue (NBR) Chairman Abdul Rahman Khan on Friday said the proposed 2026–27 fiscal budget does not include any opportunity to legalize black money, adding that a limited provision has instead been introduced to encourage disclosure of actual transaction values in land and flat dealings.
He made the remarks at a post-budget press conference at the Osmani Memorial Auditorium in Dhaka.
Earlier in the day, the Centre for Policy Dialogue (CPD) criticized the proposed budget, saying it contained scope for “legalizing black money.” CPD Executive Director Fahmida Khatun said such provisions were not acceptable.
Responding to a journalist’s question on whether the budget could have been designed without any such scope, the NBR chairman said there was “misunderstanding” over the issue.
“There has long been a significant gap between actual transaction prices of land and flats and their registered values,” he said, adding that this discrepancy often creates tax complications even for individuals with legitimate income.
He said a mechanism introduced in the previous fiscal year for land sellers had already sought to address the issue. “In many cases, a property is sold for Tk5 crore, but registered at Tk1 crore, leaving a gap that raises questions over the remaining amount,” he said.
If sellers can provide banking records, contracts and other supporting documents, they may declare the income legally by paying regular tax and a 15 per cent capital gains tax, he added.
Khan said a similar provision was now being considered for buyers. In many cases, properties purchased at Tk20 crore are registered at significantly lower values, later resulting in tax assessments and penalties when authorities detect discrepancies.
“The aim is to give buyers relief from such complications. If they voluntarily declare the actual transaction value, they can regularize it by paying the applicable additional tax,” he said, adding that compliant taxpayers with transparent income sources would not face extra liability.
He also said the government could reconsider the provision if objections persisted.
Finance Minister Amir Khasru Mahmud Chowdhury, speaking later, said the issue stemmed largely from the use of mouza rates, which remain well below market prices in land registration.
He said the government had already begun work on reforming mouza rates and formed a committee to bring them closer to real market values.
“Mouza rates vary widely and often do not reflect actual market conditions. A comprehensive survey is needed nationwide,” the minister said.
He added that aligning mouza rates with market prices would reduce the need for provisions that allow disclosure of undeclared wealth.
Officials at the briefing clarified that the budget does not contain any general “black money whitening” opportunity in the conventional sense, but instead focuses on encouraging accurate reporting of real transaction values in the land and housing sector.
