The global pandemic, COVID 19 is spreading rapidly all around the world. Nepal is also at high risk and with new confirmed cases of infection; the Government of Nepal has already extended the lockdown. Government has introduced the following relief:
- Government has deferred the deadline for tax filings. Organizations and businesses affected by COVID-19 can pay Value added Tax (VAT) of their respective tax period (monthly, bimonthly or once in four months) until 7th May 2020 (Baisakh 25, 2077 B.S.).
Delayed filings would have caused the taxpayers to pay fines amounting from one thousand to more under VAT Act, 1995 (“VAT Act”) along with interests where applicable. With the inconvenience the pandemic has caused in conducting business and running industries, this is a much awaited relief for taxpaying entities.