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Bangladesh Compliance Guide

Status: Configuration reference for Avyro
Audience: Implementers, accountants configuring Miriyam Core
Related: avyro-SPEC.md §44–§53, §117–§118, §129, §148–§151

Disclaimer

Avyro provides system capability to store identifiers, calculate amounts from configured rules, prepare Mushak-oriented registers/worksheets, and keep remittance evidence.

It does not constitute legal, tax, or regulatory advice.

Before enabling production compliance calculations or exports:

  1. Review current official sources (NBR, Bangladesh Bank, local licensing authority).
  2. Confirm tax / VAT / withholding / remittance configuration with a qualified Bangladesh professional.
  3. Record the effective date and source of each configured rule.
  4. Add regression tests for configured rates and treatments.

Rates, thresholds, Mushak layouts, and filing calendars must live in effective-dated configuration, never hard-coded into posting logic.

Distinguish:

Concept Meaning
System capability What the software can model and export
Current legally applicable treatment What a professional configures for this organisation at this date

Identifier formats

Identifier Typical format Purpose
e-TIN 12 digits Income tax
BIN 13 digits VAT registration
Trade licence Authority-specific Local business licence

Validate format in the application; do not invent checksum rules without an official source.

Fiscal calendar

Default for Bangladesh organisations:

Fiscal / income year: 1 July – 30 June

Overridable per organisation (fiscal_year_start_month / fiscal_year_start_day).

VAT periods are typically monthly. Mushak-9.1 worksheet due date default (illustrative): within 15 days after month end — confirm before production.

Mushak map (V1 export / worksheet support)

Code Purpose V1 behaviour
Mushak 6.1 Purchase register Generate/export from purchase & expense data
Mushak 6.2 Sales register Generate/export from sales data
Mushak 6.2.1 Purchase-sales register Generate/export where configured
Mushak 6.3 VAT tax invoice PDF/fields when VAT mode enabled
Mushak 6.6 / 6.10 VDS certificates Store + link; export as configured
Mushak 6.7 Credit note Link to credit notes
Mushak 6.8 Debit note Link to debit notes
Mushak 9.1 Monthly VAT return Worksheet / export only — no auto-submit

V1 does not auto-submit to vat.gov.bd or other government portals.

TDS vs VDS

Engine Tax type Notes
TDS Income tax deducted at source Section-coded, effective-dated rates
VDS VAT deducted at source Certificate + deposit (challan) flow

Track deposits via tax_challans (a-challan / treasury references).

VAT treatments (configurable)

Semantic categories (rates from config):

  • Standard
  • Reduced (SRO)
  • Zero-rated export of services
  • Exempt (including time-bound IT/ITES windows when configured)
  • Outside scope / not registered
  • Turnover tax regime (organisation flag when eligible)

Reverse-charge (imported services)

Foreign SaaS, cloud, and similar imported services may require reverse-charge VAT handling. Configure per expense/bill; post through AccountingPostingService; attach remittance/challan evidence.

Input Tax Credit (ITC)

Track per line: claimable, blocked, apportioned, or not applicable. Purchase registers must reflect ITC status.

Service export / remittance evidence

For overseas software/service income (e.g. Inoryum Ltd), maintain an evidence chain:

  1. Contract
  2. Invoice
  3. Payment
  4. Gateway / OPGSP settlement (if any)
  5. Bank credit advice / remittance message
  6. Proceeds / bank realisation evidence
  7. Form-C / Form-C (ICT) when amount exceeds configured threshold
  8. AD bank purpose/code notes
  9. Optional ERQ (Exporter Retention Quota) FC retention account link
  10. Supporting documents

Form-C thresholds and ERQ retention percentages are configuration — verify against current Bangladesh Bank circulars before production use.

Retention soft policy: keep VAT/tax/challan/Mushak-linked documents ≥ 5 years from period end; archive, do not hard-delete.

Sole proprietorship vs company

Legal type V1 expectation
Sole proprietorship (Miriyam Core) Management accounts + NBR e-Return evidence pack; no RJSC/BFRS statutory filing
Company (future) May require BFRS + audit packaging — out of scope until needed

Income-tax evidence pack (sole prop)

  • Profit & Loss
  • Balance Sheet
  • Sales / purchase summaries
  • Bank reconciliations
  • Owner capital / drawings schedule
  • Related-party schedule
  • Export remittance schedule
  • Asset register
  • Challan register

Official source placeholders

Maintain links and last-reviewed dates here (update when verified):

Authority Topic Source URL Published / effective Last reviewed
National Board of Revenue Income Tax Acts/Rules https://nbr.gov.bd TBD Not yet reviewed for production
National Board of Revenue VAT / eBIN / Mushak / portal https://vat.gov.bd / https://nbr.gov.bd TBD Not yet reviewed for production
Bangladesh Bank Foreign exchange / service export remittance https://www.bb.org.bd TBD Not yet reviewed for production
Local authority Trade licence TBD by city corporation TBD Not yet reviewed for production

Do not use blogs as the authoritative configuration source when an official source exists.

Miriyam Core configuration checklist

Use before go-live (owner + accountant):

  • Organisation: Miriyam Core, Bangladesh, Sole Proprietorship, BDT, Asia/Dhaka
  • Fiscal year start confirmed (default 1 July)
  • Trade licence number + expiry entered (if held)
  • e-TIN entered (owner-supplied; not seeded)
  • BIN / VAT status decided (registered vs not / turnover tax)
  • NBR circle/office metadata entered if VAT-registered
  • Default invoice prefix MC
  • Chart of accounts reviewed (incl. VAT/TDS/VDS/FX/ERQ accounts)
  • Tax codes reviewed for domestic vs export service treatments
  • TDS sections relevant to suppliers configured (if applicable)
  • VDS rules configured (if applicable)
  • Reverse-charge treatment for imported SaaS/cloud configured
  • Form-C / remittance checklist thresholds configured from current BB rules
  • ERQ account created only if used
  • Inoryum Ltd marked related party, GBP, UK
  • Bank account(s) added (e.g. EBL Business BDT)
  • Accountant sign-off recorded with date and sources

Compliance update process

  1. Record official source
  2. Add effective date
  3. Add/update rule configuration
  4. Write tests
  5. Review impact on existing transactions (do not silently rewrite history)
  6. Deploy

Never retroactively recalculate posted historical transactions solely because a rule changed.