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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.

🇬🇧 United Kingdom
vs
🇧🇩 Bangladesh
Tax Year:

💰 Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country — side by side.

Enter your annual income above to see your personal tax comparison →

Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
0–45%
Thresholds remain frozen; fiscal drag continuing
No change
0–30%
LDC graduation adjustments; revenue mobilization priority
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
0–20%
Standard 20% maintained
No change
15%
15% standard; digital economy VAT enforcement
No change

Corporate Tax Rate

Corporate Tax Rate
19–25%
25% main rate; possible future reform discussions
No change
20–45%
Rates maintained; RMG sector retains export incentives
No change

Capital Gains Tax

Capital Gains Tax
18–24%
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

🇬🇧 United KingdomDevolved, 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 £1,200–£4,000+/year). Business rates are set nationally but collected locally. SDLT applies to property purchases (LBTT in Scotland, LTT in Wales).

🇧🇩 BangladeshLocal 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.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 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)

💰 Income Tax: 🇬🇧 United Kingdom has a higher top income tax rate (0–45% vs 0–30%). 🇧🇩 Bangladesh is more favourable for high earners.

🛒 VAT/Sales Tax: United Kingdom has a higher consumption tax (0–20% vs 15%).

🏢 Corporate Tax: 🇬🇧 United Kingdom offers a lower corporate rate (25% vs 45%), which can influence business location decisions.

📈 Capital Gains: 🇧🇩 Bangladesh taxes investment gains at a lower rate (15% vs 24%), benefiting investors.

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All 🇬🇧 United Kingdom comparisons →All 🇧🇩 Bangladesh comparisons →