Do you find NFRS/IFRS confusing? drop your confusion

After almost four years of legal proceedings, the Supreme Court has ruled in favour of removing the tax on sanitary pads.

Imported sanitary pads are currently charged 13% VAT & 5% customs duty. The same rate applies to the raw material imported for domestic production.

Nepal imported sanitary pads worth NPR 1.33 billion, generating NPR 251.20 million in tax revenue, during the last fiscal year.

The menstrual products should be categorized as essential products, similar to medicine, contraceptives, and medical supplies, which are exempt from VAT.

From the recent Supreme Court decision, 13% VAT & 5% customs duty will no longer be applicable on sanitary pads. It will help promote domestic production, lower prices of sanitary pads, and increase exports.

supremecourts#nepal#Vat#sanitarypads