Nepal Salary Tax Calculator

Per the Budget Speech of Jestha 15, 2083 (29 May 2026) and Finance Bill 2083 — passed by the National Assembly on 9 July 2026 — FY 2083/84 removes the married/unmarried split and applies one unified schedule to all resident individuals: 1% (social security tax) on the first Rs. 10,00,000, 10% on the next Rs. 5,00,000, 20% on the next Rs. 10,00,000, 27% on the next Rs. 15,00,000, and 29% on income above Rs. 40,00,000. This is effective from Shrawan 1, 2083 (mid-July 2026); confirm against the gazetted Finance Act 2083 once published.

FY 2081/82 and FY 2082/83 use identical slabs. Unmarried individuals pay 1% on the first Rs. 5,00,000 (social security tax), 10% on the next Rs. 2,00,000, 20% on the next Rs. 3,00,000, 30% on the next Rs. 10,00,000, 36% on the next Rs. 30,00,000, and 39% on income above Rs. 50,00,000. Married individuals get a higher first slab of Rs. 6,00,000, with the 30% band covering the next Rs. 9,00,000 — both schedules reach the 36% band at the same Rs. 20,00,000 mark.

Yes. Use the Monthly / Yearly toggle above the income fields. Monthly mode multiplies your monthly salary by the number of months and adds any bonus; Yearly mode lets you enter your total annual salary directly. The result always shows both annual and monthly tax liability.

Salary tax is computed by first determining total annual income (monthly or yearly salary + bonus). Eligible deductions like SSF, EPF, CIT (combined, capped at the lower of Rs. 5,00,000 or ⅓ of total income), life insurance (max Rs. 40,000), and medical insurance (max Rs. 20,000) are subtracted to arrive at the net assessable income. Progressive tax slabs are then applied to this amount.

You can claim deductions for Social Security Fund (SSF), Employees' Provident Fund (EPF), and Citizen Investment Trust (CIT) contributions — combined, these are capped at the lower of Rs. 5,00,000 or one-third of your total income. Additionally, life insurance premiums (up to Rs. 40,000) and medical insurance premiums (up to Rs. 20,000) are deductible.

If you're contributing to the Social Security Fund (SSF), the 1% social security tax on the first slab is waived. This means your first Rs. 5,00,000 (unmarried) or Rs. 6,00,000 (married) is effectively tax-free. SSF contributions also reduce your taxable income as a deduction.

Yes. Female employees receive a 10% rebate on their computed income tax. For example, if the calculated tax is Rs. 1,00,000, the actual liability becomes Rs. 90,000. For FY 2081/82 and 2082/83 this applies to unmarried female employees; from FY 2083/84, since the married/unmarried split no longer applies to the slabs, it applies to female employees generally.

Life insurance premiums are deductible up to a maximum of Rs. 40,000 per year. Medical insurance premiums are deductible up to Rs. 20,000 per year. Any amount paid beyond these limits cannot be claimed as a deduction for income tax purposes.