Company registration now required for property deals above Rs. 3 crore in major cities

Nikhil Poudel
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Nikhil Poudel
Nikhil Poudel brings a unique lens to stock market analysis by decoding the intersection of politics and economics.
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The government has made it mandatory to register a company before buying or selling land or houses worth more than Rs. 3 crore. The rule is meant to bring transparency in large property transactions and control the use of unaccounted money.

This new requirement applies only within metropolitan and sub-metropolitan city areas.
There is no limit on land size, only the transaction amount matters.

Metropolitan cities

  • Kathmandu
  • Lalitpur
  • Pokhara
  • Biratnagar
  • Birgunj
  • Bharatpur

Sub-metropolitan cities

  • Dharan
  • Itahari
  • Janakpurdham
  • Hetauda
  • Butwal
  • Nepalgunj
  • Tulsipur
  • Ghorahi
  • Dhangadhi
  • Jitpur Simara

People can still trade properties below Rs. 3 crore without forming a company. But for deals above that limit, a company registration will be mandatory before proceeding with the transaction.

The Department of Land Management and Archives will be the main authority to implement and monitor this rule.
The decision was published in the Nepal Gazette and officially issued by the Ministry of Land Management, Cooperatives, and Poverty Alleviation.

Officials believe this policy will help make real estate transactions more transparent and reduce money laundering risks.

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