Salary Tax Calculator for Nepal: FY 2083/84

Most tax calculators ask for your "taxable income", which is not a number anyone actually knows off the top of their head. This one asks for what's on your payslip instead, then works the taxable figure out for you and shows every step.

Why your salary is not your taxable income

Two adjustments sit between your salary and the number the tax bands are applied to, and they pull in opposite directions.

First, your income goes up. Your employer's contribution to your retirement fund counts as part of your employment income, even though it never reaches your bank account. If you're on SSF with a Rs 60,000 basic salary, that's an extra Rs 1,44,000 a year added to your income on paper.

Then it comes down. The total going into your retirement fund, yours and your employer's together, is deductible, though capped at the lowest of your actual contribution, one third of your assessable income, or Rs 5,00,000. Insurance premiums, a remote area posting and approved donations come off on top of that.

The result is often quite far from your gross salary in either direction, which is exactly why guessing at "taxable income" tends to produce a badly wrong answer.

What changed in FY 2083/84

The Finance Act 2083, authenticated on July 14, 2026 and applicable from July 17, 2026, rewrote the personal income tax schedule. Three changes account for nearly all of the difference:

• The separate slab tables for individuals and married couples are gone. Everyone now uses one table.
• The band taxed at just 1% doubled, from Rs 5,00,000 up to Rs 10,00,000.
• The top marginal rate fell from 39% to 29%, and the number of bands dropped from six to five.

For anyone contributing to the SSF, the practical effect is striking: the 1% on that first band is waived for SSF contributors, so a taxable income at or under Rs 10,00,000 now produces a tax bill of zero.

The slabs, side by side

The 1% in the first band is a social security tax rather than income tax proper. It does not apply to taxpayers registered as a private firm, to pension income, or to a natural person contributing to a contribution-based social security fund.

Deductions and credits this uses

What this calculator does not cover

This is built for salaried employees. It does not handle business or professional income, presumptive or turnover-based taxation for small taxpayers, capital gains, rental income, foreign tax credits, pension income adjustments, or the additional deduction available to an incapacitated natural person. It also assumes you were employed for the full year at the figures you entered.

Treat the result as a well-informed estimate for planning, not a filing figure. Confirm your actual liability with the Inland Revenue Department or a tax professional.