KATHMANDU, Nov 25: Listed companies at the Nepal Stock Exchange (NEPSE) will have to pay the dividend tax by themselves, with the Securities Board of Nepal (SEBON) revising the rules through an amendment in its directives.
As of now, the listed companies have been making the beneficiaries clear the tax by themselves while issuing bonus shares. The sector’s regulator has enforced the new rule after a number of companies have been found delaying to transfer bonus shares in the name of beneficiaries on pretext of not clearing the tax dues.
SEBON asks investment companies to get listed at the board
Through the 10th amendment of the Securities Issue and Allotment Directives 2017, the SEBON has enforced the provision. Now onward, it will be the sole responsibility of the companies concerned on how they will adjust the tax on bonus shares listed for the shareholders.
According to the SEBON, it has revised the directives in the line of the suggestions recommended by the High-level Commission on Economic Reform formed by the government in October 2024.
