Company, firm, VAT, PAN, or excise closure in Nepal — done in the right sequence, so old obligations don't stay open and quietly accrue penalties after you've stopped operating.
Last updated: September 2, 2026
Registration, PAN, and VAT don't expire on their own. A company that stops trading without formal deregistration is still expected to file annual returns and compliance documents — and late fees, penalties, and interest accumulate whether or not the business is actually running.
Any unfiled returns or outstanding dues need to be resolved first — tax clearance is a prerequisite for the rest of the closure process, not a final step.
Confirmation from the IRD that your filings are current and nothing is outstanding, at the individual, business, or company level as applicable.
Each of these needs its own separate deregistration application — closing your company at OCR does not automatically close them.
A closing set of accounts confirming the company's final financial position at the point of dissolution.
With a board resolution (or the proprietor's formal decision), completing the deregistration of the company itself.
Closure moves at the pace of the final filing and deregistration paperwork itself — the more straightforward end of the range.
The timeline extends to however long it takes to resolve unfiled returns and outstanding dues first — tax clearance can't be skipped.
Government fees plus any outstanding dues vary by entity type and filing history — we confirm your specific number before you commit, not after.
No — tax clearance is a prerequisite for closure. Any unfiled returns or outstanding dues need to be resolved first, which is why closure sometimes takes longer than expected if filings have lapsed.
Yes. Closing your company registration at OCR does not automatically close VAT or PAN registration — each requires its own deregistration application.
The company remains legally active and is still expected to file annual returns and compliance documents. Late fees, penalties, and interest accumulate whether or not the business is actually running.
It depends heavily on your filing history. If tax filings are current, closure is more straightforward. If returns are outstanding, resolving those comes first, which extends the timeline.
The overall principle is the same — settle tax obligations, close relevant registrations, deregister — but the specific process and authority differ, since a Sole Proprietorship is registered locally rather than through OCR.
Tell us your entity type and filing history — we'll tell you exactly what closure will take.
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