1. DTAA Advisory:

Nepal has Double Taxation Avoidance Agreements (DTAAs) with India, China, Germany, Norway, Mauritius, South Korea, Sri Lanka, Thailand, Austria, and others. Our DTAA advisory helps you claim treaty benefits, avoid double taxation, and structure cross-border transactions optimally.

What We Deliver:

• Applicable DTAA identification for your transactions
• Withholding tax rate under DTAA vs. domestic rate
• Treaty benefit claim documentation
• Residency certificate and form requirements

2.Transfer Pricing:

Related-party transactions (purchases from, sales to, loans with, services from related entities) must be priced at arm's length. Transfer pricing documentation reduces the risk of IRD adjustment.

What We Deliver: 

• Related-party transaction identification 
• Arm's length price determination (comparable uncontrolled price, cost-plus, resale price methods) 
• Transfer pricing documentation
• Advance pricing arrangement support

3. Permanent Establishment (PE) Advisory:

If your Indian or foreign business has significant operations in Nepal, it may create a taxable presence (PE). Conversely, Nepal businesses with extensive India activity may have PE exposure in India.

What We Deliver:

• PE risk assessment (agent PE, fixed place PE, service PE)
• PE profit attribution and tax computation 
• PE avoidance structuring
• Tax filing obligations arising from PE

4. Cross-Border Taxation:

Comprehensive management of tax obligations across the Nepal-India border — the most active bilateral trade and investment corridor in Nepal.

What We Deliver:

• Nepal and India income tax return coordination
• Withholding tax on cross-border payments
• Tax credit claims in both jurisdictions
• Currency and remittance tax implications