Understanding corporate income tax and other business taxes in Nepal is crucial for companies operating within the country. Alongside corporate income tax, businesses should be aware of other taxes, including VAT, excise duty, customs duty, and withholding tax. It is advisable to consult with a tax professional or refer to the official website of the Nepal Inland Revenue Department (IRD) for the most accurate and up-to-date information. By fulfilling their tax obligations, businesses can operate in compliance with Nepalese tax laws and contribute to the growth and development of the country's economy while navigating the unique opportunities and challenges Nepal presents.
Nepal imposes corporate income tax on the profits earned by companies operating within its jurisdiction. The corporate income tax rate in Nepal is progressive, based on the level of taxable income. As of the knowledge cutoff date in September 2021, the tax rates for resident and non-resident companies are as follows:
For comprehensive and up-to-date information on business taxes in Nepal, it is recommended to visit the official website of the Nepal Inland Revenue Department (IRD).
Nepal Inland Revenue Department (IRD) Website: Official Nepal Inland Revenue Department Website