Nepal Tax Compare

The budget for FY 2083/84 has completely replaced the separate Single vs. Married tax tables with a single, unified progressive schedule for all resident individuals, significantly increasing the tax-free limit.

• Up to NPR 1,000,000: 1% Social Security Tax (SST)
• NPR 1,000,001 - 1,500,000: 10% Income Tax
• NPR 1,500,001 - 2,500,000: 20% Income Tax
• NPR 2,500,001 - 4,000,000: 27% Income Tax
• Above NPR 4,000,000: 29% Income Tax (Reduced from 39%)

Employees contributing to approved retirement funds can deduct their contributions from their taxable income to lower tax liability.

• Maximum Deduction: Lower of actual contributions, 1/3 of assessable income, or **NPR 500,000** annually.
• SSF Contributions: Employee 11% + Employer 20% (total 31% basic salary). In this app, employer contributions are added to assessable income and included in the deduction cap calculations.
• EPF Contributions: Employee 10% + Employer 10% basic salary.
• CIT Contribution: Employees can voluntarily add Citizen Investment Trust contributions.

Salaried individuals contributing to the Social Security Fund (SSF) are eligible for a complete waiver of the 1% Social Security Tax on the first income slab.

• SSF Contributors: Pay **0%** on the first NPR 1,000,000 of taxable income in FY 2083/84 (or first 500k/600k in FY 2082/83).
• Non-SSF Contributors (EPF/CIT/None): Pay **1%** on the first slab.

Decide how your annual bonus, gratuity, or other occasional incomes affect your monthly budget. Toggle between two modes:

• Distribute Bonus Monthly (ON): Spreads the net bonus and its marginal tax liability evenly across 12 months for a balanced, regular monthly take-home display.
• Keep Bonus Separate (OFF): Excludes the bonus cash and its associated marginal tax from regular monthly cash-in-hand. Net monthly values reflect base pay, and the bonus is shown as a separate payout: (+Rs. XXX bonus when taken).

Full support for other deductions and rebates permitted under the Nepal Income Tax Act:

• Life Insurance Premium: Deduct up to NPR 40,000 annually.
• Health Insurance Premium: Deduct up to NPR 20,000 annually.
• Remote Area Allowances: Flat deductions based on region category (Category A: 50k, B: 40k, C: 30k, D: 20k, E: 10k).
• Medical Credit: Tax credit of 15% of approved medical expenses, capped at NPR 1,500.
• Female Rebate: 10% discount on final calculated tax liability if income is solely from employment.

Built with premium design aesthetics and user convenience in mind:

• Progressive Web App (PWA): Fully installable on iOS, Android, and Desktop. Offline-ready and caches assets for instant load.
• Responsive Layouts: Optimizes for mobile viewports, side-by-side comparison, or single-year separate views.
• Dynamic SVG Charts: Circular donut visualizations showing a exact breakdown of where every rupee goes.
• Cost to Company (CTC): Shows employer match and total package size.

Model custom adjustments to your salary package using the dedicated tab sandbox:

• Basic & Allowances: Model adjustments independently for basic salary and allowances.
• Percent or Fixed: Apply adjustments as a percentage (e.g., +10%) or a fixed monthly amount (e.g., +Rs. 15,000).
• Side-by-Side Impact: View the exact impact of negotiation on take-home salary, tax, retirement, and CTC side-by-side against the base offer.

Account for freelance and other side incomes along with their respective tax deductions:

• Freelance Income (15% TDS): Computes monthly freelance or consultancy earnings and accounts for standard 15% TDS.
• Other Income (10% TDS): Accounts for rent, interest, or other annual taxable sources subject to 10% TDS.
• TDS Tax Credit Offset: Automatically deducts source-paid TDS from final calculated tax liability, indicating the net tax payable or refund due.

Get proactive guidance on minimizing tax and understanding how your income flows through slabs:

• Tax Optimization Tips: Dynamic advice showing exactly how much tax you can save by maximizing CIT, Life/Health insurance, or Medical Credit.
• Interactive Slab Visualizer: Stacked progress bars showing how much of your taxable income falls into each rate bracket with details on hover.