Archive · 22 Jul 2026
Nepal Withdraws 3% Equity Tax on Private Education, Health Sectors
The Nepal government recently decided to remove a 3% tax on private schools and hospitals after many people complained.
The prime minister, Balendra Shah, said they listened to the public and decided not to implement the tax.
The opposition party, Nepali Congress, welcomed this decision but also asked the government to remove another tax on electricity.
They said electricity is important for daily life and should not have extra taxes.
Nepal government withdrew the 3% equity tax on private education and health sectors.
The tax was introduced in the recent budget but faced public backlash.
Prime Minister Balendra Shah announced the withdrawal after consultations with Finance Minister Swarnim Wagle.
The opposition Nepali Congress welcomed the decision but demanded the rollback of the 5% VAT on household electricity consumption.
The government aims to address public concerns and build an equitable society.
- Who
- Nepal government, Prime Minister Balendra Shah, Finance Minister Swarnim Wagle, Nepali Congress
- What
- Withdrawal of 3% equity tax on private education and health sectors
- When
- July 2024
- Where
- Nepal
- Why
- Due to widespread public criticism and to address public concerns
Government's Decision to Withdraw Tax
Opposition's Demand for Further Tax Rollback
Tax Withdrawal
Government's Decision to Withdraw Tax
The government withdrew the 3% equity tax on private education and health sectors due to public backlash.
Opposition's Demand for Further Tax Rollback
The opposition welcomes the tax withdrawal but demands the rollback of the 5% VAT on household electricity consumption.
- Tax Imposed
- 3% equity tax on private education and health sectors
- Tax Withdrawn
- July 2024
- Prime Minister
- Balendra Shah
- Finance Minister
- Swarnim Wagle
- Opposition Party
- Nepali Congress
- Opposition Leader
- Bhishma Angdambe
- Additional Tax Proposed
- 5% VAT on household electricity consumption exceeding 50 units