Government Announces Tax, Interest, and Fee Waivers for Non-Profit Organizations

Kathmandu. The government has made special arrangements for the waiver of taxes, interest, and fees targeting non-profit organizations. According to the new economic bill introduced by the government, organizations that meet certain conditions will receive such facilities.

Non-profit organizations registered under the Organizations Registration Act, 2034 or other prevailing laws, and whose bylaws stipulate that any remaining assets upon dissolution of the organization shall belong to the Government of Nepal, will be able to utilize this facility.

Such organizations, whether registered as tax-exempt under the Income Tax Act, 2058 or not, will receive a full waiver on taxes, interest, and fees applicable to taxable income generated from donations, contributions, and gifts for the fiscal year 2082-83 and prior.

To receive this facility, the concerned organization must submit the income statement for the fiscal year 2082-83 by the end of Poush, Sambat 2083.

Similarly, the government has provided further ease for small organizations or those solely dependent on donations and contributions. If an organization's sole source of income is donations, contributions, and gifts, such organizations will not be required to submit an income statement.