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United Kingdom vs Bangladesh
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

๐Ÿ‡ฌ๐Ÿ‡ง United Kingdom
vs
๐Ÿ‡ง๐Ÿ‡ฉ Bangladesh
Tax Year:

๐Ÿ’ฐ Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country โ€” side by side.

Enter your annual income above to see your personal tax comparison โ†’
Individual Income Tax (Top Marginal Rate)
Top Income Tax Rate
0โ€“45%
Thresholds remain frozen; fiscal drag continuing
No change
0โ€“30%
LDC graduation adjustments; revenue mobilization priority
No change
VAT / GST / Sales Tax
VAT / GST / Sales Tax
0โ€“20%
Standard 20% maintained
No change
15%
15% standard; digital economy VAT enforcement
No change
Corporate Tax Rate
Corporate Tax Rate
19โ€“25%
25% main rate; possible future reform discussions
No change
20โ€“45%
Rates maintained; RMG sector retains export incentives
No change
Capital Gains Tax
Capital Gains Tax
18โ€“24%
Post-Oct 2024 rates in full effect
No change
15%
15% on securities
No change
Social Security & Payroll
Social Security / Payroll
~28.3%
15% employer NI; lower secondary threshold remains
No change
~3%
Social protection floor development post-LDC graduation
No change
State, Regional & Local Taxes

๐Ÿ‡ฌ๐Ÿ‡ง United Kingdom โ€” Devolved, Council & Business Rates

Scotland sets its own income tax bands (six bands; top rate 48%). Wales has limited income tax-varying powers. Northern Ireland follows UK rates. All residents pay Council Tax to local authorities (typically ยฃ1,200โ€“ยฃ4,000+/year). Business rates are set nationally but collected locally. SDLT applies to property purchases (LBTT in Scotland, LTT in Wales).

๐Ÿ‡ง๐Ÿ‡ฉ Bangladesh โ€” Local Government & Municipal Taxes

Bangladesh's 8 divisions, 64 districts, and 492 upazilas have limited tax powers. City corporations (like Dhaka, Chittagong) levy holding tax (property tax) on buildings at rates set by each corporation. Union Parishads collect land development taxes. The National Board of Revenue (NBR) administers income, VAT, and customs nationally. The garment sector (RMG) is a dominant export industry with special fiscal treatment. Bangladesh graduated from LDC status in 2026 with implications for trade preferences and tax policy.

โš ๏ธ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025โ€“2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

United Kingdom vs Bangladesh: Key Tax Differences (2026)

๐Ÿ’ฐ Income Tax: ๐Ÿ‡ฌ๐Ÿ‡ง United Kingdom has a higher top income tax rate (0โ€“45% vs 0โ€“30%). ๐Ÿ‡ง๐Ÿ‡ฉ Bangladesh is more favourable for high earners.

๐Ÿ›’ VAT/Sales Tax: United Kingdom has a higher consumption tax (0โ€“20% vs 15%).

๐Ÿข Corporate Tax: ๐Ÿ‡ฌ๐Ÿ‡ง United Kingdom offers a lower corporate rate (25% vs 45%), which can influence business location decisions.

๐Ÿ“ˆ Capital Gains: ๐Ÿ‡ง๐Ÿ‡ฉ Bangladesh taxes investment gains at a lower rate (15% vs 24%), benefiting investors.

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