Things You Need to Know about Saving Tax in Nepal

Sure, I can help you with some tips for saving tax in Nepal. According to the web results, some of the ways you can save tax legally are:

• Join government schemes such as the pension fund, the social security fund, the Employees Provident Fund and the Citizen Investment Trust. These schemes can help you reduce your taxable income and also provide you with long-term benefits¹².
• Buy insurance packages such as life insurance, health insurance and house insurance. The government offers exemptions for these expenses up to a certain limit. For example, you can get an exemption of up to Rs 40,000 for life insurance, Rs 20,000 for health insurance and Rs 5,000 for house insurance².
• Claim exemptions for medicinal expenses. The government allows you to claim 15 per cent or up to Rs 750 of the amount spent on medical expenses. You need to submit your medical bills at your workplace to avail this benefit².
• Work in remote areas. The government has different tax brackets for rural and urban areas. If you work in a rural area, you can get a remote area allowance of up to Rs 50,000 which is untaxable².
• Rebate for diplomatic missions. If you are a Nepali official working in a diplomatic mission abroad, you can get a 75 per cent rebate of the extra allowance you receive while working there².
• If you are a single woman with only one source of income, the government will waive 10 per cent of the tax you have to pay. For example, if your tax liability is Rs 10,000 per year, you will only have to pay Rs 9,000².

I hope this helps you save some money on your taxes. 😊