Contribution of tax revenue to national revenue of Nepal

This study is conducted to examine the trend of income tax in Nepal and the contribution of income tax in the total revenue of Nepal. Nepal's economic growth rate is major and Nepalese economy is highly dependent on external loans and internal loans, which is considered undesirable for the economy. Among internal sources, taxation is a prime factor. It is the pillar of the fiscal policy. Regarding the fact, the present study entitled "Contribution of Income Tax to National Revenue of Nepal" had been done. In this study, income tax contribution to direct tax, GDP ratio, etc. was studied. The practical part deals with the presentation and analysis of data through quantitative research methodology. Also, the practical part deals with the collected data shown in the forms of chart and graph with detailed description. The theoretical chapter deals with the review of the concepts relating to the study topic in a more detailed and descriptive manner. For this purpose, various books, and journals were reviewed. This study examined the available international literature as well as national literature. Different books, reports, journals, and research studies published by various institutions have been studied. This thesis is conducted to examine the trend of income tax in Nepal and the contribution of income tax in the total revenue of Nepal. The result also shows that the tax revenue has the highest percentage of contribution towards government income of Nepal which was 89.97% in the year 2073/74. In Nepalese government income structure, tax revenue has always been greater than seven times of non-tax revenue