Company Registration Process in Nepal

Businesses can be registered in different authorities and operated in Nepal. Local businesses can be registered at local government ward and municipality offices and limited liability companies are mostly registered in the office of the company register and operated in Nepal.

A company is a separate legal entity formed by a group of individuals to operate a business, commercial or industrial enterprise created by a legal process, having a legal right, incurring liabilities with perpetual succession. The company Registration process in Nepal is governed by the Companies Act, 2063 (hereinafter the Act). In Nepal, the Office of the Company Registrar (OCR) is the authority to regulate the process of registration of a company.

Companies Act, 2006 (2063) is the law governing the process of registration of Company in Nepal.

The office of the Company Registrar (“OCR”) is the governing authority for the registration of companies in Nepal.

The Act addresses the registration process of the following types of companies registration in Nepal.

Below is the step-by-step company registration process in Nepal: 

Step 1: Reservation company’s name
Step 2: Approval of Name from OCR
Step 3: online/physical submission of Documents at OCR
Step 4: Examination and Verification of documents by OCR
Step 5: Issuance of certificate by OCR
Step 6: Registration of Business in Local Authority (Ward Office)
Step 7: Tax registration (PAN/VAT) at the Revenue Office

Below are the documents required for the private company registration process in Nepal:

Documents required for registration of business in local authority(Ward office)

• Citizenship of the shareholders
• Rental Agreement
• Company Registration Certificate

Documents required for Tax Registration (VAT/PAN) in Inland Revenue Office: 

• Citizenship of the shareholders
• Company Registration Certificate
• Registration of Business Certificate

The government Fee for the private company registration process in Nepal is mentioned below:

It will require 7 to 10 days for the incorporation of a company in Nepal.

As per the current Budget of Nepal fee/tax has been waived for registration of a company in Nepal.

The following fees/taxes have to be paid during the registration of the company in Nepal, as mentioned:

The following are the post-registration compliances that a company should do after registration of the company in Nepal:

Receiving the specific license from the concerned department (if necessary). Kindly go through para 11 of this article.

Submission of 3 months compliance document before OCR,

Recording of investment at NRB (in case of FDI Company)

Submit Annual Compliance Document at OCR,

Compliance with Companies Act, Labor Act, Tax Law and other applicable law of Nepal during the operation of the local subsidiary company.

There are some types of business that need additional approval from the concerned department prescribed by the law, even after the incorporation of the company, before their operation.

Note: Annual filing of company details must be updated to the Office of the Company Register (OCR) each year. 

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