If you are associated with any type of earning activities either you are employed or own a business the process of taxation must be quite complicated for you and if you’ve ever wondered on how to file for tax return in Nepal then you are not the only one complicating this process. Many starters are not even familiar with this process.
At GFCS Nepal, we believe the tax process must be easy and hassle free. So, in this guide we’ll walk you through the process of tax return filing in Nepal so that you can understand the process clearly and submit the documents correctly and on time.
What is a Tax return?
A tax return is the document that you provide the IRD(Inland Revenue Department) that shows your income and taxes paid for a specific financial year. It is almost like a report card of your financial activities which is used to verify and monitor whether or not you’ve paid the exact amount of taxes as it is to be paid for the income you’re generating.
Every Tax payer whether that be a business owner, employee or a freelancer must comply by the law and file for a tax return if their salary is taxable.
Why is tax filing important in Nepal?
Many people see the process of paying taxes and filing for it a burden or legal obligation, but it is also beneficial for you in many ways here’s a list:
- It shows you are a sincere citizen and a loyal taxpayer.
- It improves your financial credibility.
- It does not welcome any legal complications.
- It helps you claim refunds in case you’ve paid extra taxes
- You need it if you’re applying for taxes.
Who Should file a tax return in Nepal?
Here’s a list on who should file for tax return:
- You own a business.
- You work as a freelancer.
- You are an employer or self employed employee
- You earn equal to or more than the taxable amount
- You have registered under PAN.
Even in the case of tax already being deducted from your salary, the tax return must be submitted at the end of the year.
When to file tax returns in Nepal?
The fiscal year in Nepal ends in about mid July(Asadh). So the tax return must be filed within three months i.e by the end of Ashwin.
Delay in filing for tax return will lead to penalties
Documents required while filing for TAX return.
- PAN number
- Citizenship or Passport
- Income details
- Details of deductions.
- Secondary income details(bank interests or any of such kind)
How to file a Tax return in Nepal.
Step 1: Visit ird.gov.np which is the official site of inland revenue department login using your PAN and password. If not registered yet, create an account.
Step 2: Fill the tax return form with the details of your income and expenses.
Step 3: After filling up the form check the accuracy and submit the form.
Step 4: After submitting, download it and sign it .
Step 5: Submit the signed copy and your documents to the IRD if required.
How GFCS can help:
If this process seems a bit complicated at times this is where we come in.
At GFCS Nepal we provide a smooth filing process of Tax return with the help of experienced individuals. We aim to make the process of filing for tax returns smooth, easy and simple, so that you can be hassle free and focus on your job.
Here’s how we assist:
- Review your expenses and income.
- Prepare the file for the tax return.
- Enduring all the deductions and expenses are correctly filed.
- Submitting on time to avoid penalties and regular follow up.
Conclusion
Filing for a tax return is a very important process if you’re associated with earning an income in any way . You can take the service of GFCS Nepal for the process of filing for tax return. We provide easy and professional services .
At GFCS Nepal we specialize in any tax related activities including filing for tax return. If you need any kind of help regarding taxation or any other financial assistance and services , feel free to reach out to us and we will be glad to help you.
Contact Us:
We are here to make your time very efficient. We will provide suggestions and offer experienced professionals that will help you understand finances and make your process of filing for tax return as simple and easy as possible. If you have queries or need any kind of help or consultation we are always at your service and our team is always eager to work and coordinate with you to make your work easier. For someone who needs our assistance you can contact us through
Phone: 9802360825
Email: [email protected]
Website:https://gfcsnepal.com/
Location: https://g.co/kgs/J6pufPG
You can also reach us through social media, we have our services available on facebook, Instagram and twitter. You can leave in a msg or a call and our team of experts will reach you as soon as possible. We look forward to working with you and helping you with the process of filing for tax audit.