Tax return deadline: 31 December 2026File for 2026-27 by then with no extra tax.
Tax on your final settlement
Compensation, notice pay, leave encashment, unpaid salary and gratuity paid straight by the employer are taxed as salary. Gratuity from an NBR-approved fund is tax free up to 2.5 crore, and a recognised provident fund is tax free after 5 years' service or when the exit was beyond your control.
Last checked 13 November 2026 · Estimate, not legal or tax advice.
Gross exit payments
Gross exit payments: ৳ 0
What reaches my bank
Estimated amount after tax
Tax on exit payments for 2026-27. Answer three questions; we do the rest.
Tax caused by these payments: ৳ 0
Source: exit-payment tax rules come from practitioner guides (PwC, tax firms), not the gazette. Check with a tax practitioner.
Method: we work out your year’s tax with and without these payments. The difference is the tax they cause.
Creates a link with your figures in it. Only made when you tap.

Tips that change the number
- Mind the 3-year stepResign at 3 years and you get 7 days a year. A month later it is 15 days a year.
- Benefits run on basic payA low basic means a low settlement, however big the gross is.
- Ask if the gratuity fund is approvedFrom an NBR-approved fund it is tax free. Paid from company cash it is taxed.
- 30 working daysAll dues must be paid within 30 working days of your last day.
Read next
- Tax on your final settlementWhich exit payments are taxed: compensation, notice pay and leave encashment are salary; approved-fund gratuity and recognised PF can be tax free.
- Gratuity in Bangladesh: how it is calculatedGratuity under s.2(10) of the Labour Act: 30 days' wages per year, 45 days above 10 years, paid when higher than the exit benefit. Worked examples.
Why you can rely on Pawna
- Every figure shows its lawEach line names the section it comes from, so you can check it or show it to HR.
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- Updated for 2026Built on the April 2026 labour amendment and the Finance Act 2026, not old blog posts.
- Honest about limitsWhere the law is unclear we say so, and tell you what to ask HR or a lawyer.

