Tools

VAT calculator

A shelf price in Bangladesh already has the VAT inside it. This backs the net value out exactly, rather than adding tax on top of a figure that already carries it.

Amount

This amount is

A price on a shelf or a menu is almost always inclusive. A trade price from a distributor usually is not.

VAT rate (%) Supplementary duty (%) Leave at zero unless the goods actually carry SD. It sits under VAT, not beside it.

Net (assessable) value
Supplementary duty
VAT
Total

How this is worked out

Supplementary duty is charged on the assessable value, and VAT is charged on the value plus the SD — VAT sits on top of SD, not beside it.

net = gross ÷ ((1 + sd) × (1 + vat))

Backing the net out by division is exact. Taking 15% off a VAT-inclusive price is not the same arithmetic and is wrong by about two percent of the bill — which is roughly a shop’s whole margin on a fast-moving line.

A working aid, not tax advice. Rates and what they apply to are set by the NBR and change; check yours against the current SRO.

The counter does this on every line

Including spreading a bill-wide discount across the lines in proportion to their value, so the rate-wise Mushak 6.3 summary still reconciles.

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