This presentation provides an overview of the VAT registration process in Nepal. It explains that VAT is a tax on value added at each stage of production or distribution that is ultimately paid by the end consumer. Businesses or individuals meeting certain threshold criteria set by the IRD are required to register for VAT. The application process involves submitting a completed form along with required documents like citizenship certificates and PAN cards to the nearest IRD office, along with a registration fee. If approved, the IRD will issue a VAT registration certificate containing the registration number for tax compliance purposes. Registered entities must then comply with ongoing VAT obligations.

1. VAT REGISTRATION
IN NEPAL
Sampurna Bista

2. This presentation aims to provide an overview
of the VAT registration process in Nepal. We
will cover the requirements and procedures of
registering for VAT. By the end of this presentation, I
hope you will have a better understanding of how VAT
works in Nepal.
Introduction

3. Value Added Tax (VAT) is a tax on the value
added to goods and services at each stage of
production or distribution. It is collected by
businesses on behalf of the government and
is ultimately paid by the end consumer.
What is VAT?

4. All business or individuals engaging in taxable activities
and meeting the threshold criteria set by the IRD are
required to register for VAT in Nepal. The specific
threshold amounts may vary based on the type of
business activity.
Who needs to register for
VAT? ( Eligibility)

5. To apply for VAT registration, you need to submit a VAT
registration application form to the nearest IRD office.
The application form can be obtained from the IRD office
or downloaded from their official website. The form
should be completed accurately and signed by the
applicant or authorized representative.
Application Process

6. The following documents are typically required for VAT
registration:
1. Copy of Citizenship Certificate or Passport (for
individuals) or Registration Certificate (for companies
and organizations).
2. Copy of PAN card (Permanent Account Number) issued
by IRD.
3. Copy of tax payment voucher or tax exemption
certificate (if applicable).
4. Proof of business ownership or partnership deed (if
applicable).
5. Other supporting documents as specified by the IRD.
Required Documents

7. The completed VAT registration
application form along with the
required documents should be
submitted to the IRD office. A
registration fee is payable at the time of
submission, and the payment receipt
should be attached to the application.
Submission and Payment

8. The IRD will review the application
and supporting documents. If
everything is in order, they will issue a
VAT registration certificate. The
certificate contains the VAT
registration number, which is used for
tax compliance and reporting
purposes.
Verification and Issuance

9. After obtaining VAT registration, businesses are
required to comply with various VAT obligations,
including maintaining proper books of accounts, issuing
VAT invoices, filing regular VAT returns, and remitting
VAT payments to the IRD within the prescribed
timeframes.
VAT Compliance

10. THANK YOU !