Kathmandu Metropolitan City ( KMC ) presented the Finance Bill, 2080 to implement the financial proposal setting the tax rates for the next fiscal year within the metropolitan city.
The KMC has determined annual commercial tax based on the nature of various businesses and the investment situation. According to the finance bill of the Kathmandu Metropolitan City (KMC), a tax of Rs 15,000 has been set for film production companies and Rs 5,000 for distribution companies. Similarly, Rs 5000 has been fixed as tax for mineral water industry, Rs 10000 for ice cream industry (above 3 kW) and Rs 2000 for such domestic industries (up to 3 KW) .
Likewise, Rs 50,000 tax has to be paid by the soft drinks industry (Coca-Cola, Pepsi-Cola, Frooti, etc) under the manufacturing business and industry category. An annual fee of Rs 2,000 has been set for the renewal of soft drinks such as soda produced by the domestic industry, Rs 50,000 for the distillery industry, Rs 5,000 for various exportable goods and businesses and Rs 10,000 for importable goods and businesses.
A tax of Rs 10,000 has been set for branded biscuits, breadcrumbs, cake industries and Rs 2,000 for such domestic industries. Dairy industry will have to pay Rs 10,000 tax, grinding mills will have to pay Rs 5,000 tax, branded shoes, footwear industry will have to pay Rs 12,000 tax, and bag, belt, purse etc manufacturing industry will have to pay Rs 5,000 tax.
Similarly, Rs 10,000 tax has been set for food industries (above five kilowatts) and Rs 5,000 for such small industries. Carpet, garment, pashmina and plastic industries will have to pay Rs 10,000 tax. Tax range of Rs 2000 to Rs 12000 has been fixed for the copy, book and printing industry, Rs 50000 for the underground water processing industry, Rs 7000 for the bottled and jar water industry, according to their capacity.
Similarly, mattress, cushion-making industry will be taxed Rs 5000 and herbal industry will be taxed Rs 2000. A tax of Rs 25,000 will be levied on industrial businesses that construct and operate roads, bridges, ropeways, railways, tunnels, flyovers and industrial, commercial and housing complexes etc. Similarly, tax of Rs 2000 has been fixed for grocery stores, Rs 5000 for wholesale grocery stores, Rs 10000 for wholesale food sellers, Rs 3000 for retail food sellers, Rs 2000 for beekeeping business and Rs 3000 for selling chicks.
A tax of Rs 1,000 has been set for retail shops selling fruits, juices and vegetables, Rs 2,000 for wholesale fruit and vegetable shops, and Rs 2,000 for nurseries. Retailers of fish/meat, eggs will have to pay Rs 2,500 tax and wholesalers will have to pay Rs 6,000 tax. A tax of Rs 5,000 has been imposed on the business of selling processed meat products. A tax of Rs 2,000 has been set for businesses engaged in vegetable cultivation, animal husbandry and other agricultural activities, Rs 7,000 for wholesale shops selling pet food (feed/food for domesticated animals) and Rs 3,000 for retail shops.
Similarly, Rs 5000 tax has been set for dog breeding centers, Rs 2000 for modern animal slaughterhouses, and Rs 2000 for shops selling vegetable seeds.
In the hotel, tourism and entertainment sector, the KMC has fixed a tax of Rs 100,000 for five-star hotels, Rs 80,000 for four-star hotels, Rs 60,000 for three-star hotels, Rs 40,000 for two-star hotels and Rs 20,000 for one-star hotels. Similarly, tax of Rs 10,000 has been fixed for movie halls, ordinary hotels, lodges, guesthouses, home stays with a capacity of more than 50 people, restaurants and bars (except for dance bars), travel and trekking agencies.
A tax of Rs 10,000 has also been fixed for massage parlours, spa, jacuzzi, sauna, swimming pool among others.
A tax of Rs 3,000 will be levied for contact offices of tourist sports (golf courses, rafting, safari, horse riding, skiing, gliding, water rafting, pony trekking, paragliding, polo, bungee jump, cable car, resort, hotel etc.).
Similarly, a tax of Rs 15,000 has been fixed for film production companies and Rs 5,000 on distribution companies.
Similarly, a tax of Rs 300,000 has been set for casinos and Rs 25,000 for mini casinos.
A tax of Rs 5,000 has been set for trekking goods shops, businesses providing entertainment services, Thanka shops, dance training centers, businesses providing music related services, and tattoo houses. A fun park with an area of up to five ropanis will have to pay Rs 10,000, a fun park with an area of up to ten ropanies will have to pay Rs 20,000 and a fun park with an area of more than ten ropanis will have to pay Rs 30,000.
Communication
In the communication sector, a tax of Rs 5,000 has been set for television broadcasting companies, Rs 1,000 for FM stations, Rs 2,000 for online businesses, Rs 500 for online news portals, Rs 2,000 for national newspapers, Rs 1,000 for local newspapers and Rs 2,000 for cyber cafes.
A tax of Rs 50,000 has been fixed for foreign airline service providers and Rs 25,000 for domestic airline services.
Similarly, a tax of Rs 25,000 will be levied on aircraft rental companies, discos, night clubs, foreign employment liaison businesses, etc.
