FDR Calculator

How FDR interest is calculated

An FDR (fixed deposit receipt, ফিক্সড ডিপোজিট) earns a fixed yearly rate for a fixed term. Interest is worked out month by month, with a month as 1/12 of a year.

Simple interest (paid out, or paid at maturity)

Interest = deposit × yearly rate ÷ 100 × months ÷ 12

Interest reinvested (compounded)

If the bank adds the interest to your deposit every p months (1, 3 or 12), each credit earns interest too:

Maturity value = deposit × (1 + rate ÷ 100 × p ÷ 12)^(number of credits)

If the term is not a whole number of periods (for example 18 months with yearly compounding), the last part period earns simple interest.

After tax and excise

You receive = maturity value − tax at source − excise duty, where tax at source = interest × tax rate.

Example 1: ৳1,00,000 for 1 year at 9%

Simple interest: 1,00,000 × 9 ÷ 100 × 12 ÷ 12 = ৳9,000. Tax at 10% is ৳900. The balance stays under ৳4 lakh, so there is no excise duty. You receive ৳1,08,100. Without proof of return where one is required (15%), the tax is ৳1,350 and you receive ৳1,07,650.

Example 2: ৳5,00,000 for 3 years at 10%, reinvested quarterly

5,00,000 × (1 + 0.10 × 3 ÷ 12)^12 = 5,00,000 × 1.025^12 ≈ ৳6,72,444, so the interest is about ৳1,72,444. Tax at 10% is about ৳17,244. The balance is about ৳5,51,906, ৳6,09,201 and ৳6,72,444 at the end of each year, all in the ৳5–10 lakh band, so the estimated excise duty is ৳500 a year, ৳1,500 in total. You receive about ৳6,53,700. Compounding quarterly makes 10% a year worth about 10.38% a year before tax.

Tax at source and excise duty on an FDR

Tax deducted at source

Banks deduct tax from FDR and savings interest under section 102 of the Income Tax Act 2023. For an individual the rate is 10% of the interest. If you are required to file a tax return but do not give the bank proof of return submission (PSR), the bank deducts 50% more under section 142: 15%. Companies, trusts and associations of persons pay 20%; choose “Other rate” for that.

You may have heard “10% with TIN, 15% without”. That was the rule under the old Income Tax Ordinance 1984. We could not confirm from the sources below which balance makes a PSR necessary for deposits, so the calculator lets you choose.

Excise duty

Excise duty is a fixed charge per account per calendar year, taken once if the balance reaches a band at any time from January to December. Banks usually deduct it in December. It applies to FDRs, DPS and savings accounts. The bands below apply for FY2026-27 (from 1 July 2026), as reported:

The ৳4 lakh threshold (up from ৳3 lakh) was in the Finance Bill 2026, which Parliament passed on 29 June 2026. We could not check the enacted schedule text itself, and the other bands are reported as unchanged from FY2025-26. The calculator estimates one charge for each year of the term, on the balance at the end of that year; how many Decembers your FDR actually spans decides the real count. You can enter your own total or leave excise out.

Your bank’s figures may differ

This calculator uses the standard monthly method, so treat its result as a close estimate. Your bank’s statement may differ slightly because:

• it counts interest by days (on a 365- or 360-day year) rather than months;
• it rounds at each interest credit;
• it deducts tax each time interest is credited, so the tax no longer earns interest when interest is reinvested;
• it charges fees, or applies excise duty in a different calendar year;
• your FDR is renewed at a new rate, or encashed early at a lower rate.

Interest rates differ between banks and change often, so there are no rate presets here: use the rate your bank quotes for your amount and term.

FDR, DPS or Sanchayapatra?

An FDR suits a lump sum you can leave untouched for a fixed term. If you would rather save a fixed amount every month, a deposit pension scheme works differently: see what it grows to with the DPS calculator. Government savings certificates have their own rates, investment limits and tax rules; compare them with the Sanchayapatra calculator. Planning a loan against your FDR instead of breaking it? The EMI calculator shows the monthly instalment.

How to use the calculator

1. Enter the deposit amount in Taka.
2. Enter the interest rate per year that your bank quotes.
3. Choose the term (3 months to 3 years), or Other to type any number of months.
4. Choose how interest is paid: simple, or reinvested monthly, every 3 months or every year.
5. Choose the tax at source (10%, 15% or another rate) and how to include excise duty.
6. Select Calculate FDR. Open “See year-by-year breakdown” for the interest, balance and excise for each year.

The term, interest type, tax and excise choices are remembered in this browser. Amounts you type stay on your device and are never sent anywhere.

Sources

• The Daily Star: Time to review tax deduction at source provisions on bank and NBFI deposits (7 June 2026)
• Dhaka Tribune: Banks warned on source tax deduction from deposit (10 August 2026)
• The Daily Star: Excise duty exemption threshold on bank deposits rises to Tk 4 lakh (11 June 2026)
• KPMG Bangladesh (Rahman Rahman Huq): Salient features of Finance Bill 2026 (14 June 2026)
• The Financial Express: Parliament approves Finance Bill 2026 with 64 amendments (29 June 2026)
• Prothom Alo: Excise duty will now be applicable if account balance exceeds Tk 300,000 (23 October 2025)

All checked on 28 October 2026. The tax rates follow the Income Tax Act 2023 as amended by the Finance Ordinance 2025; the excise bands follow the Finance Act 2026. Figures can change with each budget, and your bank’s deduction is final.