Finance Minister urges transfer of electric vehicle tax benefits to consumers

KATHMANDU: During the 47th Annual General Meeting of the NADA Automobiles Association of Nepal in Kathmandu, Finance Minister Dr. Prakash Sharan Mahat emphasized the need to pass on the tax discounts given on electric vehicles (EVs) directly to consumers. Minister Mahat acknowledged that the government’s intention in providing tax concessions for the promotion of EVs should benefit the end-users as well.

While addressing the gathering, Minister Mahat expressed concerns about potential disparities in passing on these benefits to customers. He highlighted the revenue loss incurred due to customs concessions on electric vehicle imports but acknowledged the positive impact on reducing petroleum product imports and promoting environmental sustainability.

In addition to encouraging the expansion of charging infrastructure for EVs, Minister Mahat urged the NADA to invest in charging facilities. He commended the growth in the automobile sector, with the opening of assembly factories and local production of parts. Minister Mahat noted that the country’s economy is gradually returning to its track, emphasizing the importance of positive discourse to strengthen public confidence in the economy.

Leaders from various business chambers and associations, including Chandra Dhakal (President of Federation of Nepalese Chambers of Commerce and Industry), Rajesh Kumar Agrawal (President of Confederation of Nepalese Industries), and Rajendra Malla (President of Nepal Chambers of Commerce), shared their perspectives on resolving disputes, creating a business-friendly environment, and expanding the tax net for increased revenue.

Outgoing President of NADA Automobiles Association of Nepal, Dhruba Thapa, expressed concerns about potential changes in tax rates on electric vehicles in the upcoming budget, urging the government to maintain stability in personal taxes. Thapa emphasized the significance of the automobile sector, calling for a stable policy and facilitation to support its expansion.

Karan Chaudhary was elected unopposed as the new president of NADA Automobiles Association of Nepal during the Annual General Meeting, leading the newly elected executive committee.

Fiscal Nepal |
Sunday January 7, 2024, 06:15:09 AM |

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