KATHMANDU, Aug 6: The government has endorsed the implementation letter on mechanisms to implement the tax exemption of Millennium Challenge Corporation (MCC) funding. It is in line with Clause 3 (5) of the memorandum of understanding that the government had signed with MCC on September 14, 2017.
It was one of the decisions taken by the Cabinet on August 3, according to Minister for Communications and Information Prithvi Subba Gurung. He shared the Cabinet meeting decisions at a press conference on Tuesday.
The spokesperson of the government further said the government would fix the terms of reference and incentives to the chairpersons and members of the two transitional justice commissions.
Newly promoted secretaries, Nirmala Adhikari Bhattarai and Indira Dahal Bhattarai, have been installed at the Commission for Truth and Reconciliation and the Nepal Law Commission, respectively.
The Chief Executive Officer of the Investment Board will be authorized to sign the project review panel (PRP) agreement related to the Arun-III Hydropower Mobilization Development. The PRP will be formed with experts Dr. Pavan Kumar Shrestha, Dr. Pavan Kumar Bhattarai, and Dr. Ganesh Prasad Neupane.
PAC to launch investigations into tax exemption issues
The construction and service-providing companies registered in Nepal or having a branch in Nepal would be exempt from income tax on their MCC funding (including the contribution of Nepal) in line with section 18 (910) of the Financial Act, 2082, for the fiscal year 2082/83. The information on the exemption would be made public through the gazette.
The government also decided to endorse a letter of exchange on the establishment and operation of the UN Office for Project Services in Nepal. The Foreign Secretary will be authorized to sign the letter of exchange for it.
Additional Inspector General of Nepal Police, Rajan Adhikari, and the Additional Inspector General of the Armed Police Force, Banshi Raj Dahal, have been permitted by the government to attend an event to be held in Copenhagen, Denmark, from September 22 to October 3.
Moreover, the government decided to issue an order banning the materials as per Section 3 (1) of the Essential Service Operation Act, 2014, and publish a notice in the Nepal Gazette.
Likewise, the government appointed Anil Raj Poudel as a vice-chairperson of the Youth and Small Entrepreneur Self-Employment Fund.
Furthermore, United Mewa Khola Hydropower Limited has been granted permission to use 3.37 hectares of national forest land for the construction of the 132 KV transmission line of the Mewa Khola Hydro Power Project in Taplejung district.
Also, Jalshakti Hydro Power Company Limited has received approval to use 3.632 hectares of national forest land at Ruby Valley Rural Municipality-4 in Dhading district for the construction of Ilep (Tatopani) Khola Hydro Power Project.
As per the Cabinet decision, State Minister for Forest and Environment Rupa BK has been permitted to participate in the IWA International Workshop on Climate-Induced Landslides and Sustainable Recovery to be held from Aug 11-12 in the Republic of Korea.
Likewise, the Secretary of the Ministry of Communication and Information Technology has been allowed to take part in the 28th Universal Postal Congress to be held from September 8 to 14 in the UAE.
Other key decisions of the Cabinet meeting include the approval of the Council for Technical Education and Vocational Training (Fifth Amendment) Regulations-2082 BS, the National Strategy and Implementation Action Plan-2082 BS, and the National Labour Migration Policy-2082 BS.
Additionally, the government has decided to open the Chuli Peak in Sudurpaschim Province for climbing and approved the publication of a notice in the gazette.
