Government Decides Tax Exemption for 13 Projects

Kathmandu. The government has decided to provide tax exemption for 13 projects. The Ministry of Finance has published a notice in the Nepal Gazette stating that tax exemption has been provided on goods imported for various development projects and construction work.

For most projects, only 1 percent customs duty is levied on imported goods, with the remaining duties, fees, and taxes exempted, while some have received full tax exemption. According to the notice published in the Gazette, the total value of these goods amounts to approximately 8.25 billion.

Who Got How Much?

1. Jayanagar-Kurtha Railway Maintenance: Complete exemption on all customs duties, fees, and taxes for goods worth Indian Rupees 12 crore 6 lakh 49 thousand 865 to be imported for the maintenance of the railway track and signaling system.

2. Mulpani 132 KV Substation Construction: 1 percent customs duty on goods worth US Dollars 3 lakh 82 thousand 504.69 to be added for the construction work, with all other taxes exempted.

3. Nepal Electricity Authority Contract Projects: 1 percent customs duty on goods worth US Dollars 50 thousand 845 to be added for consumption in contract projects, with all other taxes exempted.

4. Lalitpur-Bhaktapur Distribution System Strengthening Project: 1 percent customs duty on goods worth US Dollars 39 lakh 65 thousand 270.56 to be added for the project, with all other taxes exempted.

5. 132 KV Transmission Conductor Upgradation: 1 percent customs duty on materials worth US Dollars 9 lakh 98 thousand 389.05 to be added for the upgradation of various transmission lines, with all other taxes exempted.

6. Keroun 132-33 KV Substation Construction: 1 percent customs duty on materials worth US Dollars 1 lakh 87 thousand 211.30 to be added for the construction work, with all other taxes exempted.

7. Madhesh Province Rural Electrification (Rautahat, Bara, Parsa): 1 percent customs duty on materials worth US Dollars 6 lakh 78 thousand 698.59 to be added for the construction work of distribution system strengthening (Lot-5), with all other taxes exempted.

8. Marsyangdi Corridor 220 KV Transmission Line: 1 percent customs duty on goods worth US Dollars 5 lakh 48 thousand 569.53 to be added and maintained for construction, with all other taxes exempted.

9. Kathmandu Valley Transmission Capacity Strengthening: 1 percent customs duty on materials worth US Dollars 3 lakh 65 thousand 889.61 to be added for the project, with all other taxes exempted.

10. Dandakhet-Rahughat 132 KV Transmission Line and Substation: 1 percent customs duty on materials worth US Dollars 36 lakh 50 thousand 890.13 to be added for the construction work, with all other taxes exempted.

11. Bhaktapur to Thimi 132 KV Underground Transmission Line: 1 percent customs duty on materials worth US Dollars 18 thousand 451.82 to be added for the construction work, with all other taxes exempted.

12. Ratmate 400 KV Substation Construction (MCA-Nepal): Complete exemption on all duties, fees, levies, or taxes for goods worth US Dollars 4 crore 28 lakh 81 thousand 123.27 to be consumed in the project.

13. Madhesh Province Electrical System Improvement: 1 percent customs duty on materials worth US Dollars 66 thousand 853.74 to be added for electrical system improvement in Siraha, Saptari, and Dhanusha distribution centers under the Madhesh Province electrical system improvement, with all other taxes exempted.