Kathmandu Metropolis increases taxes on hotel and other tourism businesses

16th Aug, 2018 | Tourism Mail Crew

KATHMANDU, Aug 16: Kathmandu Metropolis is increasing taxes on hotel businesses by a large amount as it plans to remove a subsidy that has been in place for nearly 40 years. According to the Metropolitan Revenue Department, five-star hotels, which had been paying Rs. 75,000, will now be charged Rs. 100,000.

Similarly, the tax for four-star hotels has been increased from 6,000 to 80,000, for three-star hotels has been increased from 4,500 to 60,000. The taxes for two-star hotels have been set at 40,000, one-star hotels has been set at 20,000 while for non-starred hotels and guest houses have been set at 15,000 rupees.

Large cafes, fast food establishments and restaurants (from 400 - 1000 sq.ft) have been set a tax amount of Rs. 5,000 while small ones have been set at Rs. 3,000. Similarly, travel agencies have been set a tax amount from 10 to 15,000 rupees and game establishments like golf course, skiing, paragliding, futsal, etc. have been set a tax amount of Rs. 5,000. Moreover, the metropolitan office has set tax for foreign airlines at Rs. 50,000 and for domestic airlines at Rs. 25,000.