Nepal Business & Tax Glossary

The government body under the Ministry of Industry, Commerce and Supplies that registers and regulates companies in Nepal under the Companies Act.

The Companies Administration Management Information System — OCR's online portal through which company registration and most filings are now submitted.

The founding document that defines a company's objectives, scope of business, and relationship with the outside world.

The founding document that governs a company's internal rules — how directors are appointed, how decisions are made, and how shares are handled.

The maximum amount of share capital a company is permitted to issue, as stated in its MOA. Registration fees scale with this figure.

The portion of authorized capital that a company has actually offered to its shareholders.

The portion of issued capital that shareholders have actually paid to the company in cash or kind.

The government body that registers and regulates industrial enterprises and foreign-investment companies in Nepal.

A Nepali citizen or person of Nepali origin living abroad, who follows a distinct pathway for business registration and investment under the NRN Act.

Local registration of a business with its municipal ward office — a separate requirement from OCR company registration that founders commonly miss.

The tax identification number issued by the IRD. It's mandatory for every registered business and individual taxpayer in Nepal.

A 13% consumption tax on the sale of most goods and services in Nepal, collected by VAT-registered businesses and remitted to the IRD.

Also called withholding tax — tax an employer or client is required to deduct at the time of payment (salary, rent, service fees) and deposit with the IRD.

Nepal's tax administration authority, responsible for PAN, VAT, income tax, and TDS collection and enforcement.

An official IRD document confirming a taxpayer has no outstanding tax dues — commonly required for tenders, bank loans, visas, or company closure.

One of the income tax return forms used by Nepali businesses, applicable based on turnover tier and accounting basis.

The alternate income tax return form to D01, applying to a different turnover tier — see the linked guide for which one applies to you.

Nepal's government and tax year, which runs on the Bikram Sambat calendar from Shrawan 1 to Ashadh-end — roughly mid-July to mid-July on the Gregorian calendar.

The yearly meeting a company's shareholders are required to hold to review accounts and handle other statutory business.

The government fund that manages mandatory social security contributions from employers and employees, replacing older provident/gratuity arrangements.

Shorthand for "Export-Import" — the license and code businesses need from the relevant authority to trade goods across Nepal's borders.

The routine process of matching your accounting books against your bank statement to catch errors, omissions, or fraud early.