Section

Existing Provisions

New Provision

Schedule 1
Section
1(1)
Tax shall be imposed by the following rate on the taxable income of any resident individual in any income year, subject to sub-sections (2) and (4) of this Schedule:
Up to 500,000 1%
Next 200,000 10%
Next 300,000 20%
Next 1,000,000 30%
Next 3,000,000 36%
Above 5,000,000 39%
Provided that the tax 1% referred here shall not be imposed on taxpayers registered as sole proprietorship firm, income of natural person by way of pension, income of natural person Contributions to the Pension Fund and Contribution Based Social Security Fund.
Tax shall be imposed by the following rate on the taxable income of any resident individual or couple in any income year, subject to sub-sections (2) and (4) of this Schedule:                  
Up to 1,000,000 1%
Next 500,000 10%
Next 1,000,000 20%
Next 1,500,000 27%
Above 4,000,000 29%
Provided that the tax 1% referred here shall not be imposed on taxpayer registered as sole proprietorship firm, income of natural person by way of pension, income of natural person contributions to the Pension Fund and Contribution Based Social Security Fund.
Schedule 1
Section
1(2)
Tax shall be levied by the following rate on the taxable income of any couple making a choice pursuant to Section 50 in any income year, subject to sub-section (4) of this Schedule:
Up to 600,000 1%
Next 200,000 10%
Next 300,000 20%
Next 900,000 30%
Next 3,000,000 36%
Above 5,000,000 39%
Provided that the tax 1% referred here shall not be imposed on taxpayers registered as sole proprietorship firm, income of natural person by way of pension, income of natural person Contributions to the Pension Fund and Contribution-Based Social Security Fund.
Deleted
Schedule 1 Section 1(3)(Ka) In the case of a resident individual, where the income is more than five lakh rupees in any income year or in the case of a resident couple who has made a choice refered to in Section 50, where the income is more than six lakh rupees in any income year, and In the case of a resident natural person or couple, having income exceeding ten lakh rupees in an income year.
Schedule 1 Section 1(4)(Ka) Tax shall be levied at the rate referred to in sub-section (1) or (2) of this Schedule on the amount whichever is higher of the following amounts, as if only it were the taxable income of that individual or couple:
(1) The amount remaining balance after subtracting the amounts of profits from the total taxable income of that individual or couple,
(2) Five lakh rupees, in the case of that individual, or six lakh rupees, in the case of that couple 		Tax shall be levied at the rate referred to in sub-section (1) of this Schedule on the amount whichever is higher of the following amounts, as if only it were the taxable income of that individual or couple:
(1) The amount remaining balance after subtracting the amounts of profits from the total taxable income of that individual or couple,
(2) Ten lakh rupees for a natural person or couple.
Schedule 1 Section 1(4)(Kha) (1) Tax shall be levied at the rate of 5% if the ownership of disposed non-business taxable assets (land and building) is of five years or more than five years.
(2) Tax shall be levied at the rate of 7.5% if the ownership of disposed non-business taxable assets (land and house) is of less than five years.
(3) Tax shall be levied on the profit profit earned from the disposal of interest having ownership over for more than three hundred sixty-five days at the rate of 5% and 7.5% for having ownership over for less than three hundred sixty-five days for a resident individual in entity enlisted in the Securities Board of Nepal 		(1) Tax shall be levied at the rate of 7.5% if the ownership of disposed non-business taxable assets (land and building) is of five years or more than five years.
(2) Tax shall be levied at the rate of 10% if the ownership of disposed non-business taxable assets (land and house) is of less than five years.
(3) Tax shall be levied on the profit earned from the disposal of interest having ownership over for more than three hundred sixty-five days at the rate of 7.5% and 10% for having ownership over for less than three hundred sixty-five days for a resident individual in entity enlisted in the Securities Board of Nepal.
Schedule 1 Section 1(9)(Ka) Notwithstanding anything contained elsewhere in this Section, where any resident individual is a person with disability, tax shall be computed pursuant to this Section only on the amount remaining balance after subtracting from the taxable income an additional fifty percent of the amount mentioned in clause (Ka) of sub-section (1) for the individual or in clause (Ka) of sub-section (2) for the couple.Provided that the ceiling of such deducted amount shall not exceed the prescribed amount. Notwithstanding anything contained elsewhere in this Section, where any resident individual is a person with disability, tax shall be computed pursuant to this Section only on the amount remaining balance after subtracting from the taxable income an additional fifty percent of the amount mentioned in clause (Ka) of sub-section (1) for the individual or couple.Provided that the ceiling of such deducted amount shall not exceed the prescribed amount.
Schedule 1
Section
1(10) 		Notwithstanding anything contained elsewhere in this Section, where any resident individual is a person with disability, tax shall be computed pursuant to this Section only on the amount remaining balance after subtracting from the taxable income an additional fifty percent of the amount mentioned in clause (Ka) of sub-section (1) for the individual or in clause (Ka) of sub-section (2) for the couple. Notwithstanding anything contained elsewhere in this Section, where any resident individual is a person with disability, tax shall be computed pursuant to this Section only on the amount remaining balance after subtracting from the taxable income an additional fifty percent of the amount mentioned in clause (Ka) of sub-section (1) for the individual or couple.
Schedule 1
Section
1(13) 		Notwithstanding anything contained elsewhere in this Section, the following annual tax shall be recovered from the owner of a rented motor vehicle at the time of registration and renewal of the vehicle through the Department of Transport Management:
Type of Motor Vehicle Annual Tax Payable per Vehicle (NPR)
(1) Car, jeep, van, micro bus
(a) up to 1300 cc 5,500
(b) from 1301 cc to 2000 cc 6,000
(c) from 2001 cc to 2900 cc 6,500
(d) from 2901cc to 4000 cc 8,000
(e) Over 4000 cc 9,000
(2) Mini truck, minibus, water tanker 8,000
(3) Mini tipper 9,000
(4) Truck, bus 10,500
(5) Machinery equipment such as dodger, excavator, loader, roller, crane 15,500
(6) Oil tanker, gas bullet, tipper 15,500
(7) Tractor 2,500
(8) Power tiller 2,000
(9) Auto rickshaw, three-wheeler, tempo 2,500
(10) Electric Vehicle
(a) Up to 50 KW 3,000
(b) from 51 KW to 125 KW 4,000
(c) from 126 KW to 200 KW 6,000
(d) Over 200 KW 7,500
Notwithstanding anything contained elsewhere in this Section, the following annual tax shall be recovered from the owner of a rented motor vehicle at the time of registration and renewal of the vehicle through the Department of Transport Management:
Type of Motor Vehicle Annual Tax Payable per Vehicle (NPR)
(1) Car, jeep, van, micro bus
(a) up to 1300 cc 6,500
(b) from 1301 cc to 2000 cc 7,000
(c) from 2001 cc to 2900 cc 7,500
(d) from 2901cc to 4000 cc 9,500
(e) Over 4000 cc 11,000
(2) Mini truck, minibus, water tanker 9,500
(3) Mini tipper 11,000
(4) Truck, bus 12,500
(5) Machinery equipment such as dodger, excavator, loader, roller, crane 17,500
(6) Oil tanker, gas bullet, tipper 17,500
(7) Tractor 3,500
(8) Power tiller 3,000
(9)Auto rickshaw, three-wheeler, tempo 3,500
(10) Electric Vehicle
(a) Up to 50 KW 4,000
(b) from 51 KW to 125 KW 5,000
(c) from 126 KW to 200 KW 7,500
(d) Over 200 KW 9,500
Electric e-rickshaw 3,500
Two-wheeler Vehicle 3,000
Schedule 1 Section 1(16Ka) Notwithstanding anything contained elsewhere in this Section if any resident individual have insurance of his or her private building having his or her ownership with resident insurance company, tax shall be calculated in an amount remained after deduction of paid annual premium or five thousand rupees, whichever is less, from the taxable income. Notwithstanding anything contained elsewhere in this Section if any resident individual have insurance of his or her private building having his or her ownership with resident insurance company, tax shall be calculated in an amount remained after deduction of paid annual premium or ten thousand rupees, whichever is less, from the taxable income.
Schedule 1 Section 1(16Kha) No provision Notwithstanding anything elsewhere in this section, a resident natural person who pays tuition fees to a resident person for their child's education may deduct 25% of the annual amount paid or twenty-five thousand rupees whichever is lower, from their taxable income before calculating tax under this section.