Nepal Budget for Fiscal Year 2023/24 Delivered Including New Top Individual Income Tax Rate

Nepal's Finance Minister, Dr. Prakash Sharan Mahat, delivered the Budget for the fiscal year 2023/24 (2080/81 Nepal year) on 29 May 2022. The main tax measures include:

• The introduction of a new top individual income tax rate of 39% on income exceeding NPR 5 million;
• The extension of the VAT tax period for small VAT payers from 1 month to 4 months;
• The introduction of a 2% luxury tax on:
  • services provided by 5-star and higher luxury hotels and resorts;
  • imported liquor; and
  • precious ornament…