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Published : 26 Apr 2026, 05:42 PM
Parliament has passed a Bill scrapping the long-standing privilege allowing lawmakers to import luxury vehicles without paying customs duties.
Law Minister Md Asaduzzaman moved the Members of Parliament Remuneration and Allowances (Amendment) Bill, 2026 in the House on Sunday, and it was passed by a voice vote.
No amendments were proposed, and the bill was passed without any discussion.
The cabinet had earlier approved the amendment in principle and in final form at its meeting on Thursday.
A Cabinet Division statement said the move was taken in view of the current economic realities.
With the bill's passage, Article 3C of the Members of Parliament Remuneration and Allowances Order, 1973 stands repealed.
The provision had allowed an MP to import one car, jeep or microbus during their full term without paying customs duty, although value-added tax, development surcharge and import permit fees remained applicable, subject to government-set conditions.
It had also allowed an MP to import another new vehicle after five years from the date of the most recent import.
The new law will be known as the Members of Parliament Remuneration and Allowances (Amendment) Act, 2026 and will take immediate effect.
In the statement of objects and reasons, the government said importing duty-free cars in MPs' own names after being elected on pledges to serve the people was inconsistent with those commitments.
It also created visible inequality between lawmakers and ordinary taxpayers.
The statement added that, in light of the parliamentary leader's far-sighted vision, the existing facility required reconsideration under the current economic circumstances.
It said the repeal was aimed at cutting state expenditure, enhancing transparency and accountability, and ensuring greater equality between elected representatives and citizens.
A copy of the bill described it as a money bill.
The president's recommendation was obtained under Article 82 of the Constitution before it was placed in parliament.
Both the ruling party and the opposition had earlier said their MPs would not avail themselves of the duty-free facility.
After the national election in February, BNP lawmakers announced they would neither accept duty-free cars nor take government plots.
The duty-free facility was not in place immediately after Independence.
It was introduced in 1988 following the fourth parliamentary election during the rule of Hussain Muhammad Ershad.
A proposal to scrap the facility had also been included in the 2024 budget.
At the time, several MPs had called for retaining the tax exemption.
Separately, parliament formed a 10-member special committee comprising members from both the treasury and opposition benches to recommend measures to tackle the fuel situation.
