Fight Back Against Bank Tax Cuts on Google Adsense and YouTube Revenue: A Guide for Bangladeshi Freelancers

As a freelancer or outsourcer who earns money from platforms like Google Adsense or YouTube Revenue Share, you work hard for your earnings. So, it can be frustrating and unfair when your bank cuts tax from your earnings, even though you are eligible for tax exemption under the government's rules.

Recently, I faced a similar issue where my bank cut 10% tax from my payment from Google Adsense, even though I provided them with the necessary documents that proved my eligibility for tax exemption. After fighting back, I was able to get my tax refund. So, I want to share my experience with other Bangladeshi freelancers and outsourcers who might face similar issues.

First, it's essential to understand the government's rules regarding tax exemption for freelancers and workers of IT-enabled services or nationwide telecommunication transmission network businesses. According to the NBR rule, income from these services is exempted until 30th June, 2024. It means if you earn money from platforms like Google Adsense or YouTube Revenue Share, you are eligible for tax exemption.

Secondly, it's crucial to ensure that your bank is aware of these rules. If your bank cuts tax from your earnings, even though you are eligible for tax exemption, you should fight back. Here are the steps that you can follow:

1. Collect all the necessary documents: The first step is to collect all the documents that prove your eligibility for tax exemption. You can find the circulars regarding tax exemption for IT-enabled services or nationwide telecommunication transmission network businesses on the NBR's official website. Also, you can download the PDFs from the links provided in this blog post.

2. Contact your bank: Once you have collected all the necessary documents, contact your bank and ask them why they cut tax from your earnings. Explain to them that you are eligible for tax exemption under the government's rules, and provide them with the necessary documents.

3. Follow up with the bank: If your bank is not aware of the government's rules, provide them with the circulars and PDFs that prove your eligibility for tax exemption. Follow up with them until they refund the tax they cut from your earnings.

4. Be persistent: Sometimes, banks might not cooperate easily, and you might have to be persistent. Don't give up and keep following up with them until you get your tax refund.

Here is the list of documents that I provided to the bank to get my refund:

1. NBR circular regarding tax exemption on ITES and NTTN businesses

2. Bangladesh Govt's ICT division's declaration of Google Adsense as a recognised marketplace

3. Google Adsense Invoice/Payment Receipt

4. Tax return copy

5. Application to the bank requesting a refund of the tax cut

1. NBR circular regarding tax exemption on ITES and NTTN businesses

Source: https://nbr.gov.bd/uploads/publications/107.pdf

Source: https://nbr.gov.bd/uploads/publications/Nirdeshika_2022-2023.pdf

2. Bangladesh Govt's ICT division's declaration of Google Adsense as a recognised marketplace

Source: https://ictd.gov.bd//sites/default/files/files/ictd.portal.gov.bd/page/9d29e28c_a970_47fd_960d_81cd0cea138b/Marketplace%20for%20BB-Updated.pdf

3. Google Adsense Invoice/Payment Receipt

4. Tax return copy

The bank may request a copy of your tax return, and it's also a good idea to include your TIN certificate as they may ask for it.

5. Sample application template you can use

Dated: 01.01.2023

To,
The Manager
ABC Bank ltd.
XYZ Branch

Sub: Request for Refund of Tax Deducted from Google AdSense Payment of USD 00.00

Dear Sir,

I am writing to bring to your attention a recent issue I have encountered with regards to the tax cut made on my payment received from Google AdSense. As a freelancer/worker of Google AdSense (Digital content development and management), I am eligible for no tax as per the circular issued by the National Board of Revenue (NBR).

According to the NBR rule, income from Information Technology Enabled Services (ITES) is exempted up to 30th June, 2024. It is important to note that Google AdSense is a recognized marketplace declared by Bangladesh Govt's ICT division.

Despite this, my payment of USD 00.00 from Google AdSense has been subjected to a 10% tax cut by your bank. As per the NBR rule, I am exempted from paying any taxes on my income from Google AdSense.

Therefore, I kindly request that you refund the amount of tax that was deducted from my payment. I have attached all the necessary documents, including the NBR rule and the recognition of Google AdSense by Bangladesh Govt's ICT division, to support my claim.

Thank you for your attention to this matter, and I look forward to a prompt resolution.

With regards,

Signature

[Your Name]

If your local branch is unresponsive or ignorant of these regulations, you can always contact the head office or complaint department to escalate the issue. Remember, it is your hard-earned money, and you have every right to fight for it.

In the rare event that your bank still refuses to give you your money back, you have the option to complain to Bangladesh Bank through this form: https://cms.bb.org.bd/ords/f?p=107:133

As a freelancer who earns money from platforms like Google Adsense or YouTube Revenue Share, you should be aware of the government's rules regarding tax exemption. If your bank cuts tax from your earnings, even though you are eligible for tax exemption, you should fight back. Follow the steps mentioned in this blog post and collect all the necessary documents to prove your eligibility for tax exemption. Be persistent and follow up with your bank until you get your tax refund. Remember, your hard-earned money deserves to be in your pocket, not in the bank's.