Chandragiri Municipality told not to levy tax on livestock

Kathmandu, October 4

The Ministry of Federal Affairs and General Administration has directed Chandragiri Municipality not to levy tax on goats being brought to Kathmandu from various districts.

Resource Mobilisation Coordination Section of the MoFAGA wrote a letter to the municipality today after Nepal Livestock Traders Association submitted an application to the ministry seeking  immediate end to the ‘illegal act’. The municipality had been charging animal tax on  goats brought from different places for Dashain by setting up a check-post  on the national highway.

The ministry reminded the municipality about Section 61 of the Local Government Operation Act which states that no local level shall levy any tax on animals other than those sold or purchased in haat bazaar (weekly market). Similarly, local levels shall be allowed to collect only the business tax (not other taxes on the national highways) from livestock traders.

“Levying tax on livestock on the national highways is against the existing law. Even the livestock imported from foreign countries are not taxable,” the letter read.