Real estate transactions gradually declining, revenue collection also falls

KATHMANDU: Real estate transactions have been steadily declining across the country, leading to a notable drop in revenue collection.

According to the Department of Land Management, which tracks nationwide land transactions, revenue generation has fallen consistently over the first four months of the current fiscal year.

Despite the government introducing new measures to facilitate land transactions—including a recent amendment to the Land Use (Third Amendment) Regulations—revenue collection has not increased as expected.

In the month of Kartik (mid-October to mid-November), Land Revenue Offices across the country collected around Rs 2.74 billion. In Asoj (mid-September-mid-October), revenue collection stood at approximately Rs 2.75 billion, while in Bhadra (mid-August to mid-September), it reached nearly Rs 3.14 billion. The highest collection in this period came in Shrawan (mid-July to mid-August), with revenue totaling about Rs 3.28 billion.

The Department reported that, in Kartik alone, revenue was collected through three major headings: service tax, registration fees, and capital gains tax. Service tax contributed Rs 213.44 million, registration fees generated Rs 1.50 billion, and capital gains tax accounted for Rs 997.84 million.