Ride sharing services must register with the provincial government. The Bagmati province has introduced this new provision in its latest Economic Act for the upcoming fiscal year 079/80 BS. Under this policy, ride-sharing service providers such as Tootle Pathao, and inDriver must register at the province of their operation.
Prior to this, service providers were not required to register themselves with the Provincial government.
But from the next Fiscal Year, all the companies that are providing or want to provide ride-sharing services through electronic information systems must register their companies. This includes companies that offer ride-sharing services via taxis, motorcycles, or both via apps.
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The registration charge for ride-sharing services
Announcing the policy, Bagmati province has released its charging policy for vehicle registrations and renewal based on types of vehicles. As per the policy, ride-sharing services provided on two-wheelers (motorcycles, scooters) will need to pay twenty-five thousand for registration. As for the yearly renewal, the government has fixed twelve thousand and five hundred Nepali rupees for concerned companies.
| Ride-sharing vehicle types | Registration charge (NPR) | Renewal charge (NPR) |
| Two-wheeler | 25,000 | 12,500 |
| Four-wheeler | 50,000 | 25,000 |
| All types | 70,000 | 35,000 |
Similarly, companies offering a similar service on four-wheelers must pay fifty thousand for registration. As for renewal, they need to pay half which is twenty-five thousand only.
Also check out: Top 5 Ride-sharing Apps in Nepal
And for companies that provide ride-hailing on both two-wheeler and four-wheeler vehicles, they need to pay seventy-thousand in registration fees. Such companies will pay thirty-five thousand for permit renewal.
What is your opinion on the mandatory registration requirement for ride-sharing services by Bagmati Province? Was it necessary or do you think the government is stretching its hands to seize more tax opportunities instead of encouraging them first to grow? Do offer your input in the comments below.
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