Tax on education and health sectors to benefit marginalised communities: Finance Minister

Kathmandu: Finance Minister Dr Swarnim Wagle has said taxes collected from the education and health sectors will be used to benefit citizens from marginalised communities.

Responding to lawmakers during deliberations on the Finance Bill, 2026 in the House of Representatives, the Finance Minister said the three percent equity tax on private schools is intended to help ensure the right to education for children from marginalised communities and strengthen public education.

He said the budget exempts annual income of up to Rs one million from income tax to boost capital expenditure, increase spending capacity and support economic transformation. He added that the government is committed to expanding the tax base and implementing the budget effectively.

Defending the three percent levy on foreign currency exchange for students going abroad for higher studies, Dr Wagle said the government would continue efforts to create a more investment- and business-friendly environment in the country.

During the discussion, lawmakers urged the government not to increase the tax burden on the education and health sectors and called for higher capital expenditure.