Very short Questions and Answers 1. Mention any two decisions that are subject to review by IRD. The administrative review may be conducted on the following decisions: a personal ruling issued by the Inland Revenue Department, a decision of the department in respect of undeposited or under deposited tax and interest thereon. 2. Show your […]
Chapter 19: Collection, Remission and Refund of tax
Very Short Questions and Answers 1. Briefly state the measures for recovery of the due amount from the taxpayer. The Act has stated the following measures for the recovery of the due amount: Recovery of tax from person owing money to the tax debtor Departure prohibition order Recovery of tax from an agent of the […]
Chapter 18: Returns of Incomes and Assessments of Tax
Very Short Questions and Answers 1. What do you mean by ‘tax assessment’? List out the types of tax assessment. The term ‘assessment’ means the process of determining the tax liability of the assessee or taxpayers. Income Tax Act, 2058 has defined the term “assessment” as an assessment of tax to be paid under this […]
Chapter 17: Official Documentation, Record keeping & Information collection
Very Short Questions and Answers 1. Write short notes on the defective documents. A document issued as follows under this Act is not treated as defective: if it is in substance and effect in conformity with the Income Tax Act. if the person to whom the document is addressed is designated in it according to […]
Chapter 16: Revenue Aministration
Very Short Questions and Answers 1. State any four functions carried out by Inland Revenue Department (IRD). IRD carries out the functions related to: Tax administration (Income Tax and VAT) Tax policy Taxpayer services Tax audit 2. Mention any two rights of the Government of Nepal as regards to Implementation of tax laws. The rights […]
Chapter 15: Special Provision For Individuals, Entities, and Retirement savings
Very Short Questions and Answers 1. Briefly mention the provision for deduction of retirement contribution to the approved fund by an individual. A resident individual may claim a deduction for retirement contributions made to an approved fund in an income year not exceeding Rs. 3,00,000 or one-third of the assessable income. 2. How is retirement […]
Chapter 14: Set-off And Carry Forward Of Losses
Very Short Questions and Answers 1. What is set off a loss? Mention the methods of setting off losses? An adjustment of losses subject to the certain rules against incomes is known as set off of losses. The three methods are: Carry forward Carry backward A combination of a method 2. Briefly state the provision […]
Chapter 13: Residential Status
Very Short Questions and Answers 1. Briefly describe the situation for an individual to be a resident individual. The situation for an individual to be a resident individual is listed below: Whose normal place of abode is in Nepal. Who has resided in Nepal for 183 days or more during a continuous period of 365 […]
Chapter 12: Income From Investment
Very Short Questions and Answers 1. How an investment has been defined in the Act? Generally, investment refers to the purchase of an asset with the hope that it will generate income or appreciate in value in the future. Income Tax Act, 2058 has defined investment as an act of holding or investing one or […]
Chapter 11: Capital Gain Tax
Very Short Questions and Answers 1. Define capital gain. Capital gains (or losses) are any profits or gains (losses) arising from the disposal or transfer of capital assets. Technically, it is the excess of selling price over the cost (purchase) price of capital assets. 2. List out any three assets included under non-business chargeable assets. […]