The interim government has proposed increasing the tax-free income threshold for salaried individuals from Tk4.5 lakh to Tk5 lakh.
The proposal was included in the Tk7.90 lakh crore national budget for FY26, presented by Finance 
 Adviser Salehuddin Ahmed through a pre-recorded speech aired on Monday.
Salaried taxpayers can now deduct up to Tk5 lakh in approved allowances—such as house rent, medical expenses, and conveyance—from their total income before income tax is calculated. These exemptions reduce taxable income, easing the overall tax burden on salaried individuals.