Dhaka, May 20 -- The tax authority is set to ease the burden of minimum tax on businesses in the upcoming budget by incorporating provisions for tax refunds.

Under the Finance Bill 2026, the government may allow businesses to claim refunds of the minimum tax if they fail to adjust excess payments against actual tax liabilities within three consecutive tax years.

If the minimum tax remains unadjusted after three years, companies would be eligible to seek refunds of the excess amount paid.

The minimum tax has long remained a contentious issue, as businesses claim it pushes the effective tax rate to as high as 45-50 per cent in some cases.

At present, companies paying minimum tax or tax deducted at source (TDS) are allowed to adjust the ...