Here is the list of highlights of budget 2077/78.
Per capita Income will be 1,388 US Dollar.
Other Sector Highlights
- Establishment of Health desk & quarantine checks at international borders.
- 40% of Population of every VDC will be provided by Health Insurance.Rs. 5Lakh of free health insurance for health workers.
- Industries will be provided 50% rebate in electricity during lockdown.
- 50% of premium to be subsidized by government on Group CORONA insurance.
- 5 lakh insurance for all Health workers.
- Increase in Import by12.9 % at current fiscal year.
- Tax revenue collection will be upto 8 kharba 27 arba.
- Allocation of budget to Social security fund upto 67 arba 50 crore.
- Allocation upto 9 arba 57 crore to special subsidy.
- Allocation of 6 arba for CORONA examination and treatment.
- Special Priority to Ayurvedic development.
- Priority to Organic Agriculture.
- Subsidy of 95 crore to sugarcane production
- Krishan Credit card to be introduced.
- Increase of Employment of 40,000 through Sana Kishan Loan.
- Introduction of Bhumi bank.
- Allocation of 50 crore for investment in share of bhumi bank.
- Assessment of possibility of establishment of Tourism School or college.
- After CORONA, encouragement to government & private sector employee for domestic tourism.
- Development of Exhibition center at Brhikuti Mandup and other areas.
- Allocation of 2 arba for Sunkoshi project.
- Allocation of 10 arba to Mahakali Sichai Project.
- Allocation of 1 arba 31 crore to Irrigation.
- Closure of Melamchi project within upcoming fiscal year.
- Establishment of Rastriya Rog Nidan Kendra.
- Allocation of 2 arba and 36 crore to youth & Sports.
- Encouragement to Banks for merger.
- Introduction of Ghumti Bima.
- Allocation of 7 arba 50 crore for health insurance of all citizens within 3 years
- Secondary market to be made electronic.
- Free education upto secondary school.
- Allocation of 1 kharba 71 arba 71 crore to education sector.
- Virtual class, Online school to be established for minimizing effect of CORONA.
- Allocation of 2 arba for scholarship.
- Allocation of 1 arba 82 crore for sanitary pads to 13.40 lakh female student.
- Establishment of Sahid Park at various locations.
- Encouragement of Online services of Malpot at every District.
- Allocation of 4 arba to gramin bidhyutikaran.
- Allocation of 12 arba to Purba Paschim highway.
- Allocation of 6 arba 42 crore for construction of Subway and underpass.
- Allocation of around 8 arba and 66 kharba for railway sector(research project & initiation of railway construction).
- Allocation of 5 arba for construction of Kalopatra sadak.
- Allocation of 5 arba 2 crore for construction of Jhulunge pull.
- Establishment of Rastriya Gyan Park at Khumaltar, Lalitpur.
- Allocation of budget for Madan Bhandari Bigyan Prabidhi Prathistan.
- Updation of 1 crore Nepali citizen details at digitial system within 3 years.
- Free Corona Insurance upto 1 lakh to government employee.
- Expansion of Broadband Internet service to all over Nepal within 2 years.
Tax Hghlights
- Exemption of excise duty for raw material of Ethanol used in Sanitizer & PPE.
- Rebate of 75 % for doing 0- 20 lakh trasactions, 50% for doing 20 -50 lakh transaction & 25% for doing 50 lakh to 1 crore transaction for laghu,gharelu thatha syana udhyogi ra bebasayi.
- VAT not applicable for Micro Insurance.
- Reduction of tax at the rate of 20% for COVID-19 effected business such as Air services, Transportation service, Hotel sector, Travel & Trekking on income calculated for Fiscal year 2076-77.
- VAT filing and its payment of tourism, Transport & Film house businesses shall be done quad monthly (4 months).
- Exemption on VAT on the raw materials imported by pharmaceutical industry from the F.Y. 2077-78 and Refund of VAT paid on such raw material if purchased from domestic industry.
- Reduction of custom duties on raw material of ayurvedic medicine.
- Exemption of telecom service fees on 50% of repair & maintenance fees to Internet service providers on providing fixed broad band service.
- Reduction to 1% from existing 2% service fees on transaction amount for Radio and television broadcasting entities which produce and broadcast self made and owned programs.
- No change in VAT rates.
- Increase of health risk tax in cigarettes, Cigar, Gutka & Pan Masala.
- Increase in custom duties on petroleum products except Air fuel & LP gas & gold and gold ornaments.
- Application of Excise duty on import of all kinds of furniture.
- Non applicability of income tax on upavokta samuha working on its objective on Drinking water and sanitation.
- 100% exemption on Income tax for cooperatives operating in rural municipality.
- Applicable income tax rate on cooperatives operating at Municipality, sub metropolitan & Metropolitan are 5%, 7% and 10% respectively.
- Exemption of tax on retirement payment on transfer of fund at approved retirement funds to Social security fund upto Chaitra end, 2077.
For more updates, visit https://mof.gov.np/
For budget highlights of F/ Y 2076/77, click here:- https://camunchnepal.com/articles/finance/budget-amendments/