Arthabichar Nepal - Guide to Entrepreneurs, Startups, and Business Enthusiast

Last Fiscal Year Nepal Government declared that every expense must have either a PAN/VAT invoice or paid to those registered in PAN/VAT. This was a surprise and was throwing most of the malpractices out of the bus. The fraudulent activities such as ghost employees, procurement through unregistered mom & pop stores, and most importantly, all the informal/casual/daily workers who were paid out in cash and had no legal records to demonstrate those exist.  It was indeed a good initiative but at the same time government didn't take into account the ground reality. It was and still is hard to find someone registered in tax in rural areas of the country including those working in daily wages or as casual workers. I, personally, think that all the business entities need to get registered and the government shouldn't give them an option. But, even, if we wanted to have all those individuals having the income to file a self-assessment, it might not be feasible for daily workers. Unle...

Given the lockdown due to Covid-19, the Nepal government through the Honorable minister-level decision has extended the period of submission of tax returns and applicable to Jestha 25, 2077 (i.e. 7th June 2020 ) .  Here's the applicable list for the same: 1) Monthly, Bi-monthly, and quarterly VAT returns for the month of Falgun and Chaitra along with the payment of VAT. 2)  Application of refund of VAT for Sec 25D provided the due date for application falls under the lockdown period. 3) Monthly Excise returns for the month of Falgun and Chaitra along with the payment of excise tax. 4) Withholding Taxes (TDS) for Falgun and Chaitra 5) Amended Estimated Tax Return for FY 2076/77 including 2nd installment Advance Tax originally required to be submitted by Chaitra end. This can be submitted by Jestha end , unlike others which have Jestha 25, 2077 as the deadline. 6) Education Service Fee, Telephone Ownership Fee, and Telecommunication Service Fee. In addition, Nep...