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NEA Seeks Higher VAT Threshold to Ease Domestic Electricity Bills

  • NEA is urging the government to raise the VAT threshold on domestic electricity bills to protect lower-usage households.
  • It says taxing only usage above 50 units could generate about Rs 10.22 billion a year from over 2.6 million customers.
  • Raising the exemption to 100 or 150 units would reduce revenue only modestly, while benefiting most consumers.
  • The Finance Ministry is already discussing the change with Finance Minister Swarnim Wagle’s team.
  • NEA has also formed a committee to review tariffs, including seasonal and time-of-day pricing, for submission to the Electricity Regulatory Commission.

Source: english.nepalnews.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.



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