PABSON, APHIN happy over removal of education, health tax

2018-05-30

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Kathmandu, May 30 (RSS): Private sector has welcomed the government decision to remove the tax imposed on education and health sectors. 

Private and Boarding Schools Organisation Nepal (PABSON) and Association of Private Health Institution Nepal (APHIN), have praised the government's announcement to discontinue health and education tax in the new budget unveiled Tuesday. 

Prior to this, the government was charging a five-percent tax in the health sector and one percent in the education sector. 

PABSON General Secretary Rajendra Baniya said through the new budget, the government had addressed their long demand. "We are encouraged to contribute more to the filed by the decision," he added. 
Similarly, Guardians' Association of Nepal's chair Keshav Puri said guardians and parents have both felt a respite with the decision to repeal the education tax. Schools were charging the tax from students. 
In view of APHIN general secretary Hemraj Dahal, the government move to remove the tax in health sector had given a positive message to the society. He said that the budget had finally addressed their long demand. 
The then Finance Minister Dr Baburam Bhattarai in the year 2065 BS had decided to raise five-percent health and education tax. Though the tax in the education sector was reduced to one percent in 2067 BS during the term of the then Finance Minister Bharat Mohan Adhikari, the tax rate in health sector remained as it is. 

Though such tax policies were meant for the proprietors, it was being adjusted in student tuition fees and raised from patients themselves. There are around 8,000 private schools across the country while a total of 365 hospitals, 150 paramedicals and 11 teaching hospitals are associated with APHIN.