8.1.2. Other Taxes
The following table provides an overview of other taxes that may be imposed on a company doing business in the country.
| Tax Type | Rate(s) | Notes |
|---|---|---|
| Capital duty | No | No |
| Payroll tax | No | There is no payroll tax separately due by companies on their total payroll expenditure. Employers are required to withhold income tax and social security premiums on behalf of their employees. |
| Social Security Employer Contribution | 10% | Employers are required to contribute 10% of gross salary of employees to the provident fund. |
| Social Security Employee Contribution | 10% | Employees are also required to make a 10% contribution to the provident fund, which is withheld by the employer. |
| Stamp Duty | Varies depending on the documents, transactions | Stamp duty is applicable on property transactions, stampable transactions and certain types of documents and rate varies depending on the transaction/ document. |
| Transfer Tax | Varies depending on value and location of property | Transfer tax or 'Land Registration Tax' is levied on sale or transfer of real estate property or the ownership rights in the property. |
| Property Tax (Real property) | 0.05% - 1.5% of market value of property | Property tax or 'Urban House and Land Tax' is levied annually on the owner of the real estate property. The property tax ranges from 0.05% to 1.5% of the market value of the property. |
| Custom Duty | 0% to 80% | Custom duties are levied on products imported into Nepal. |
| Excise Tax | 0% to 100% | Excise duties are levied on limited number of goods produced or imported in Nepal. The rates vary depending on the type, volume and quantity of the product. Additionally, a new Health Hazard Tax applies from 2018 with respect to tobacco products. |
| Telecommunication Service Charge | 13% (up from 11% from 2018) | Charged by telecommunication providers to users and remitted to Treasury. |