Nepal corporate tax rate

What this value means

BS YEAR: applies to income year 2083/84 BS (17 July 2026 to 16 July 2027) and every prior year back to the Act's commencement. The 25% figure in Schedule 1 section 2(1) is ORIGINAL to the Act (sealed and published 2058/12/19 = 1 April 2002) and carries no amendment footnote — only its cross-references were touched, by the Finance Act, 2076. It was NOT changed by आर्थिक विधेयक/ऐन, २०८३: section 57 of that Act amends the Income Tax Act in 26 numbered items and only item (26) reaches Schedule 1, and only its section 1 (natural persons) — Schedule 1 section 2 is untouched. 25% IS THE MINORITY RATE BY REVENUE. Quoting it alone will be wrong for most of Nepal's largest taxpayers. HIGHER — 30% under Schedule 1 section 2(2) for: banks, financial institutions, general insurance business, entities carrying on financial transactions, telecommunication and internet service providers, money transfer (remittance), capital market business, securities business, merchant banking, commodity futures markets, securities and commodity brokers, businesses dealing in cigarettes, bidi, cigars, chewing tobacco, khaini, gutkha, pan masala, liquor or beer, and entities conducting petroleum operations under the Nepal Petroleum Act, 2040. That list was built up by the Finance Acts of 2063, 2072, 2075 and 2080 — an old summary will understate it. LOWER — the '20% special industry rate' that summaries quote is NOT a separate rate in Schedule 1: it is delivered as a REBATE by section 11(2)(ख) of the Act, which grants a 20 percent reduction in the tax payable by an entity on income from a special industry (manufacturing), a hotel, a resort or an information technology industry — 25% x 0.8 = 20% effective. Section 11(2)(क) gives a resident natural person taxed at 30% a one-third reduction on the same income. OTHER STATUTORY RATES around the 25%: cooperatives registered under the Cooperatives Act, 2074 pay 5% / 7% / 10% on non-exempt transactions depending on whether they operate in a municipality, sub-metropolitan or metropolitan area, and savings-and-credit cooperatives pay 10% / 15% / 20% on the same geography (section 2(3)); schools and colleges run under a public guthi pay 20% (section 2(3ख)); a non-resident's Nepal-situated foreign permanent establishment pays 5% on income repatriated abroad (section 2(6)); a non-resident's section 70 income (international transport, telecom) is taxed at 5%, or 2% where the shipping, air or telecom service does not proceed from Nepal to a foreign country (section 2(7)). CONCESSION STACK: section 11 also carries a large set of holidays and rebates — full or partial exemptions for hydro, solar, wind and biomass electricity licensees that begin commercial operation by Chaitra 2084 (ten years full, five years at 50%; fifteen and six years for storage and semi-storage projects above 40 MW reaching financial closure by Chaitra 2085), 10/20/30 percent rebates for special industries in very-undeveloped, undeveloped and less-developed areas, a fifteen-year exemption for special industries in the hill districts of Karnali and Sudurpashchim employing more than 100 Nepalis, employment-linked rebates of 10-30 percent, export rebates of 20 percent for entities, 50 percent for IT-service exports earning foreign currency up to FY 2084/85, 15 percent for listed manufacturing, tourism and hydro entities, and 25 / 50 percent on royalty and on gains from transferring intellectual property. Any effective-rate calculation for a real Nepali company has to walk section 11. SOURCING: the operative annual instrument is आर्थिक विधेयक, २०८३ dated 15 Jestha 2083 (29 May 2026), published by the Ministry of Finance at https://mof.gov.np/content/1742/economic-bill--2083/ and listed by IRD under Acts; the authenticated आर्थिक ऐन, २०८३ text was not on lawcommission.gov.np at confirmation (its newest is आर्थिक ऐन, २०८२ of 30 Shrawan 2082).

Get it programmatically

curl https://asiaref.dev/v1/np/corporate-tax
# $0.001 per call — x402 on Base (USDC). No key, no signup.
# History:    curl https://asiaref.dev/v1/np/corporate-tax/history?from=2020-01-01
# Provenance: curl https://asiaref.dev/provenance/np/corporate-tax

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