Skip to main content

Updated Process to obtain Tax clearance certificate FY 2079/80: Online is no longer possible in Nepal.

Introduction:

Ensuring you have a valid tax clearance certificate is crucial for both individuals and entities. Previously, obtaining it online was convenient, but now a visit to the tax office is required. In this article, we'll guide you through the process, focusing on individuals with salary income.

Step-by-Step Guide:

  1. Obtain a Certified Salary Certificate: Your employer should provide a certificate detailing your annual salary, along with deductions like CIT, PF, Social Security Fund, and Insurance. Ensure the income and ETDS match the certification letter.
  2. Visit the Correct Tax Office: If your employer's location differs from your PAN registration, visit the tax office where your employer is registered.
  3. Complete the Application Form: Pick up the Tax Clearance certificate application form from the tax office's reception. It must be signed by the concerned person. If they're unavailable, provide an authorization letter matching the authorized person's identification document.
  4. Submit the Application: Hand in the completed form to the tax officer. It will be registered, and you'll be guided to the next officer for verification and certificate printing.

 Possible Outcomes:

  1. Income Discrepancy: If there's a mismatch, return to your employer to confirm and resubmit the application.
  2. Tax Deposit Verification: If the deposit isn't visible on the IRD web portal, request your employer to submit the ETDS verification details promptly.
  3. Insufficient Tax Deposit: If the deposit falls short, you'll need to make the necessary deposit and provide the deposit slip before receiving the clearance certificate.

For Individuals with Multiple Employers:

If you've had multiple employers in the fiscal year, obtain certificates from all and combine the incomes when submitting the application. Visit the tax office of your latest employer for application submission.

For Individuals with Income above 40 Lakhs:

The process remains the same, but individuals in this income bracket must also complete the D-04 return. Instead of visiting the employer's tax office, they must first visit the tax office where their PAN is registered, get D-04 verified, and then complete the application process at the employer's tax office.

In Conclusion:

Navigating the tax clearance certificate process may seem intricate, but with these detailed steps, you'll be well-prepared to obtain your certificate efficiently.  If you have any queries, please feel free to reach out to us at our Facebook, Instagram and TikTok Page @Learnwithnirmalaryal

Thanks




Labels:

Comments

Post a Comment

Most Viewed

Tax Collection Agency codes for IRD Offices all over Nepal

Inland Revenue Department Nepal has published the agency codes that shall be used for the collection of direct and indirect taxes for the general public's information. Each code consists of 9 numbers. There are in total 59 agency codes currently in use. From these codes, we can classify that there are four types of IRD offices currently in operation. 1) Inland Revenue Office 2) Tax Payer Service Office 3) Large Tax Payer Service Office, and 4) Medium Tax Payer Service Office When shall you use these codes? It shall be used while choosing the agency where the tax should be deposited while completing the form for depositing the taxes. Agency Code list below: S.N. Agency Code Name Address 1 305011620 Inland Revenue Office Lahan 2 305030201 Tax Payer Service office Phidim 3 305030301 Tax Payer Service office Illam 4 305030401 Tax Payer Service office Khandbari 5 305030601 ...
1 comment
Read more

Process of Obtaining Tax Clearance Certificate in Nepal?

A tax clearance certificate confirms that an individual or entity: is in compliance with the Nepalese Income Tax Act, 2058 and its regulations, has submitted the tax return, audit report and necessary schedules, and all the taxes have been duly paid to the Government of Nepal Who issues Tax Clearance Certificate? The Inland Revenue Department (IRD) is authorized to obtain tax clearance certificate on behalf of the Ministry of Finance, Government of Nepal. How do I apply? An application must be filed at the concerned Tax Payer's office with NRs 10 stamp with the following documents enclosed: 1) Entity: Copy of the payment of taxes per Self Assessment submitted to IRD. Copy of the Audit Report duly audited by the member of the Institute of Chartered Accountants of Nepal (ICAN). Copy of the Previous Year Income Tax Return and Copy of Tax Clearance Certificate Obtained if any. Copy of the Permanent Account Number (PAN) Certificate. 2) Individual: In the c...
9 comments
Read more

Fees, Fines and Penalties under Nepalese Companies Act, 2063, Amended 2074

We normally get a lot of question in different forums on what is the registration fee of Company in Nepal and what are the various penalties imposed for non-compliance. Here's what we have compiled for you. Please get back to us on comments if you have any additional query. 1.          Fees during company registration a.        Private Limited Company S.N Authorized Capital Fee (In NRs.) 1 Up to Rs. 100,000 1,000 2 From 100,001 to 500,000 4,500 3 From 500,001 to 25,00,000 9,500 4 From 25,00,001 to 1,00,00,000 16,000 5 From 1,00,00,001 to 2,00,00,000 19,000 6 From 2,00,00,001 to 3,00,00,000 22,000 7 From 3,00,00,001 to 4,00,00,000 25,000 8 From 4,00,00,001 to 5,00,00,000 28,000 9 From 5,00,00,001 to 6,00,00,000 31,000 10 From 6,00,00,001 to 7,00,00,000 34,000 11 From 7,00,00,001 to 8,00,00,000 37,000 12 From 8,00,00,001 to 9,00,0...
Post a Comment
Read more