Jul 16, 2024

Nepalese citizens foreign travel levies 5 percent tax

Nepalese citizens foreign travel levies 5 percent tax

KATHMANDU, June 01:Nepalese citizens who travel overseas must pay a 5% tax. A 5% tax would be applied on the amount paid by Nepali tourists traveling overseas under the financial act 2080.

The government will levy a foreign tour package seller at the time of selling the package to collect the foreign tourism fee.

Similarly, the government would impose tax during the accounting of the expenses made by the firm or company when bringing natural persons linked with them on business promotion trips abroad.

The amount collected for the tourism fee by the firm or company shall be remitted to the revenue office by the 25th of the following month.

According to the financial act, if a person does not deposit the amount for the foreign tourism fee, interest at the rate of 15% per annum would be levied.

Similarly, if the return statement is not submitted, the person will be assessed a 2.5% annual fee from the day the statement is due to the date such distribution is not filed.

Foreign tourist taxes, according to Finance Minister Dr Prakash Saran Mahat, will assist domestic tourism.

He attended a news conference at the ministry following the budget and said that the levy was implemented to enhance Nepal's tourism.