Deductions to a natural Person from Taxable Income:







Life Insurance Premium
Up to Rs. 40,000
Employee Working for Diplomatic Agencies of Nepal situated at foreign Countries
75% of Foreign Allowance
Incapacitated Natural Person
100% of Basic Exemption Limit (5 lakh and 6 lakh for individual and couple respectively)
Remote Area Benefit for person residing in remote Area
Category A
50000
Category B
40000
Category C
30000
Category D
20000
Category E
10000
Health Insurance Premium
Lower of following:
a) Annual Medical Insurance Premium
b) 20000
Pension Income Deduction
Lower of following:
a) Amount of Pension Income
b) 25% of Basic Exemption Limit
Personal Building Insurance
Lower of following:
a) Annual Insurance Premium or
b) 5000