Dhaka: The government is set to impose tax on gratuity fund, if exceeds Tk2.5crore, as a move to expand its tax net.

Salaried individuals will have to pay income tax ranging from 10% to 30% for the additional amount of Tk2.5crore, according to the finance bill 2015.

Currently, any income of an assessee representing payment received as gratuity enjoys tax exemption.

The government has taken up the move as it realised that many many salaried individuals from private sectors are misusing the benefit as they now receive a large amount of gratuity, but collects the money with unofficial deal with employed misusing the spirit of such exemption.

They also transfers large chunk of money in the name of gratuity fund, officials in NBR said.