chhatramani/Nepal-Legal-Text-Corpus-44laws huggingface dataset:
Industrial Enterprises Act 2076

Chapter-2 Provisions Relating to Registration and Regulation of Industries

Section 10: Monitoring and inspection to be made
1) The Ministry or industry registration body may, from time to time, monitor and inspect any industry whether it complies with this Act the rules framed hereunder and the terms mentioned in the industry registration certificate.
2) The employee or official deputed to monitor and inspect an industry under subsection (1) may, in the course of monitoring and inspection, enter the premises of the industry, collect audio-visual and other information and data as required, examine necessary documents and demand any other information or details.
Provided that where a matter of protection of an intellectual property right under the prevailing law is involved, requiring secrecy to be maintained, the prevailing law on intellectual property rights governs the matter.
3) It shall be the duty of the concerned industry to provide such information or details demanded under subsection (2).
4) If the information or details received under subsection (3) reveal any kind of problem with the operation of such an industry, the industry registration body may consult and facilitate the concerned industry as required.

Industrial Enterprises Act 2076

Chapter-2 Provisions Relating to Registration and Regulation of Industries

Section 11: Approval to be obtained for change of location of industry
1) If an industry registered for operation in a place needs to be shifted to another place for any reason, the industry shall make an application, setting out the reasons, to the industry registration body in such a form as prescribed.
Provided that approval from the Department is required to shift it from one province to another,
2) If an application is received under subsection (1), the industry registration body may give approval for the shifting of the industry on the recommendation of the concerned Local Level where it is to be shifted. Information of such approval for the shifting of the industry shall also be given to the Ministry of the concerned Province responsible for industries and the Local Level.
3) Other provisions relating to the shifting of location of industries shall be as prescribed.
Industrial Enterprises Act 2076

Chapter-2 Provisions Relating to Registration and Regulation of Industries

Section12: Approval required to increase capital, capacity and add or change objectives of industry
1) If any industry intends to increase its existing capital or capacity or add, change or alter its objectives, it shall make an application in such form as prescribed to the industry registration body for approval thereof.
2) If the contents appear to be reasonable upon examining an application received under subsection (1), the industry registration body shall fulfil the procedures as prescribed and give approval to increase the capital, capacity of, add, change or alter the objectives of such industry within ninety days. If the classification of the industry changes by reason of such increase in capital or capacity or addition, change or alteration of objectives, the concerned industry shall update records thereof and have its entry made in the industry registration certificate.
3) Notwithstanding anything contained in subsections (1) and (2), approval of the industry registration body is not required for a micro-enterprise or a cottage and small industry with a fixed capital not exceeding ten million rupees, which does not require permission, to increase its capital or capacity.
Provided that if such increase in capital or capacity or addition or change or alteration of objectives requires environmental impact assessment or initial environmental examination, a report thereof shall be approved under the prevailing law.
4) If an industry enhances managerial capacity and makes production exceed the projection without altering the previously installed machinery and equipment, it is not considered to be an increase in capacity.

Industrial Enterprises Act 2076

Chapter-2 Provisions Relating to Registration and Regulation of Industries

Section 13: Details to be submitted
1) Every industry shall, after the commencement of its commercial production or transaction, submit such details as prescribed to the industry registration body within six months after the end of each fiscal year.
2) The details to be submitted under sub-section (1) may also be submitted through electronic means as prescribed.
3) Notwithstanding anything contained in sub-section (1), an industry shall provide null details for the period even if it remains closed for more than one fiscal year or does not make production or transaction for any reason.
Provided that after such an industry gives information of its closure to the industry registration body and it is recorded, it need not provide details for the period of closure.

Industrial Enterprises Act 2076

Chapter-2 Provisions Relating to Registration and Regulation of Industries

Section 14: Information of closure of industry to be given
If the concerned entrepreneur closes an industry registered under this Act for any reason or suspends commercial production or transaction of the industry, such entrepreneur shall give information thereof, as prescribed, to the industry registration body within thirty days after the date of closure or suspension.
Industrial Enterprises Act 2076

Chapter-2 Provisions Relating to Registration and Regulation of Industries

Section 15: Application for cancellation of registration of industry
1) If an industry cannot be operated for any reason, an application may be made to the industry registration body for the cancellation of that industry in such a form and accompanied by such details or documents as prescribed.
Provided that in the case of being insolvent under the prevailing law, that law prevails.
2) If an application is received under subsection (1) and it appears that the concerned industry has settled governmental liability including tax and other liability to be paid by it, the industry
registration body shall cancel the registration of that industry by fulfilling the procedures as prescribed. Information on such cancellation of registration shall be provided to the concerned
applicant and all concerned government organisations.
3) Notwithstanding anything contained in subsection (1) or (2), in the case of an industry that has undergone the insolvency process under the prevailing law, that law prevails, and if the industry is so liquidated, the liquidator shall give information thereof to the concerned industry registration body.
Industrial Enterprises Act 2076

Chapter-2 Provisions Relating to Registration and Regulation of Industries

Section 16: Records to be managed
1) The industry registration body is responsible for the safe maintenance of records related to the administration of industries including registration, renewal, transmission, change in
name, shifting location, increase of capacity, increase of capital, addition or change of objectives or cancellation of industries.
2) If an industry or person having ownership in such industry requires any documents or records under sub-section (1) related to it, such industry or person may make an application to the
industry registration body in such form as prescribed.
3) If an application under sub-section (2) is received, the industry registration body shall certify and provide the documents or records held in the Department by collecting the prescribed fees.
4) If any record held in the industry registration body is destroyed or cannot be found for any reason, the industry registration body may establish the record on the basis of the documents or
records held in other concerned government bodies and other documents submitted by the concerned industry and provide duplicates under sub-section (3).
5) If, subsequent to the issuance of duplicates by the industry registration body under sub-section (4), the details relating to records of that industry are proved to the contrary, the industry
Registration body may cancel such duplicates by making the decision to do so.
6) No documents or records related to any industry held in the industry registration body shall be provided to anyone other than that industry or person having ownership in that industry.
Provided that if so demanded by any court, government office or body in the course of investigation or government business, nothing is deemed to bar the provision of records to such court, government office or body.
7) The industry registration body shall safely store the records, documents or other details related to industries held in that body, also in electronic form. Such  electronic records may be
exchanged with other government bodies through electronic means by making procedures to that end.
Industrial Enterprises Act 2076

Chapter-3 Classification of Industries and Fixed Capital

Section 18: Fixed capital of industry
(1) While valuating the fixed capital of an industry for the purposes of this Act, valuation is made taking into account the following assets:
(a) a physical structure constructed or reformed on land, underground, in space, water or below water,
(b) physical structure constructed above land (e.g. sewage, internal road, drinking water-related infrastructure, water supply system),
(c) office, factory, building or warehouse of the industry,
(d) residence building constructed for employees or workers,
(e) electric supply and related equipment and system,
(f) machinery, equipment, tools and reserve spare parts thereof,
(g) means of transportation,
(h) office goods and equipment of a capital nature,
(i) fixture and furniture,
(j) communication materials and related equipment and systems.
(2) In addition to the assets set forth in subsection (1), the following expenses incurred prior to the establishment of an industry or at various stages of construction are also valuated as the fixed capital of the industry:
(a) technical and inspection expenses to be capitalised,
(b) pre-investment and preoperational expenses,
(c) interest expenses to be capitalised,
(d) environmental study and research expenses prior to the operation of the industry.

Industrial Enterprises Act 2076

Chapter-3 Classification of Industries and Fixed Capital

Section 19: Industry of national priority
The industries mentioned in Schedule 9 are considered to be industries of national priority.
Industrial Enterprises Act 2076

Chapter-4 Provisions Relating to Industry and Investment Promotion Board

Section 20: Constitution of Board
1) An Industry and Investment Promotion Board as follows is hereby constituted:
(a)
Minister or Minister of State for Industry, Commerce and Supplies
Chairperson
(b)
Member, National Planning Commission (responsible for the industry sector)
Member
(c)
Governor, Nepal Rastra Bank
Member
(d)
Secretary, Ministry (responsible for matters of industries)
Member
(e)
Secretary, Ministry of Finance
Member
(f)
Secretary, Ministry of Labour, Employment and Social Security
Member
(g)
Secretary, Ministry of Land Management, Cooperatives and Poverty Alleviation
Member
(h)
Secretary, Ministry of Forest and Environment
Member
(i)
Chief Executive Officer, Investment Board of Nepal
Member
(j)
Joint Secretary, Industry and Investment Promotion Division, Ministry
Member
(k)
Chairperson, Federation of Nepal Chamber of Commerce and Industry
Member
(l)
Chairperson, Confederation of Nepalese Industries
Member
(m)
Chairperson, Federation of Nepal Cottage and Small Industries
Member
(n)
Chairperson, Women Entrepreneurs Federation
Member
(o)
Two persons, including at least one woman entrepreneur nominated by the Ministry from experts in the industry sector
Member
(p)
Director General, Department of Industry
Member Secretary
2) Notwithstanding anything contained in clause (a) of sub-section (1), if both Minister and Minister of State for Industry, Commerce and Supplies are appointed, the Minister of State acts as a member of the Board.
3) If the Board so thinks necessary, it may invite an expert in the concerned field, any official or officer of the Government of Nepal or Provincial Government to attend the meeting of the Board.
4) The Board meets at least once in every two months and may meet any time as per necessity.
5) The member-secretary of the Board shall , in consultation with the chairperson of the Board, set the agenda to be deliberated at a meeting of the Board, and give notice thereof to every member in advance of at least twenty-four hours of the time for holding the meeting.
6) If any member of the Board has personal concern or interest in any item of the agenda to be presented for decision at the meeting of the Board, that member shall not participate in the decision-making process with respect to that item.
7) If it appears that a decision is made contrary to sub-section (6), the decision becomes
ipso facto
void.
8) The member-secretary of the Board shall authenticate the decisions taken by the Board.
9) The secretariat of the Board is seated in the Department.
10) Other procedures relating to the meeting of the Board are as determined by the Board itself.
Industrial Enterprises Act 2076

Chapter-4 Provisions Relating to Industry and Investment Promotion Board

Section 21: Functions, duties and powers of the Board
1)In addition to its functions, duties and powers specified elsewhere in this Act, the functions, duties and powers of the Board are as follows:
(a) to make recommendations to the Government of Nepal for the formulation of policies relating to industrial promotion, protection and promotion of investment and industrialisation and adoption of relevant policy decisions,
(b) to regularly appraise the policy, institutional, legal, institutional and procedural framework and modus operandi relating to the overall industrialisation of the country and make recommendations to the Government for necessary reforms,
(c) to make recommendations to the Government of Nepal for the adoption of necessary policy decisions on foreign investment and technology transfer, subject to the prevailing law;
(d) to make recommendations to the Government of Nepal for the formulation of policies relating to industrial pollution control and adoption of relevant policy decisions;
(e) to make a comprehensive evaluation and appraisal of the situation of industrial development of the country and make suggestions and recommendations to the Government of Nepal for taking necessary steps;
(f) to hear grievances of entrepreneurs and resolve, or cause to be resolved, the problems and make guidance to the concerned bodies in this respect;
(g) to make recommendations to the Government of Nepal if it is required to make an alteration or change in the level, classification and nature of industries;
(h) to carry out, or cause to be carried out, studies, research works, and surveys as required in the context of enhancing domestic and foreign investment in the industrial sector;
(i) to do, or cause to be done, necessary work for building a competitive industrial environment in effective coordination and harmonious collaboration with the public, private and cooperative sectors;
(j) to give policy guidelines on matters requiring coordination between the Province and Local Levels for the development and expansion of industrial enterprises and make necessary provisions for coordination;
(k) to facilitate the removal of the difficulty or confusion, if any, arising in the implementation of any law relating to industry;
(l) to coordinate or facilitate with respect to the operation of the one-stop service centre;
(m) to perform, or cause to be performed, other functions as prescribed.
2) The Board may delegate any of its functions, duties and powers to a body or officer of the Government of Nepal.
3) The Board shall submit an annual report on the functions performed by it to the Ministry within thirty days after the date of the end of a fiscal year. The Ministry shall publish such a report on its website.
Industrial Enterprises Act 2076

Chapter-4 Provisions Relating to Industry and Investment Promotion Board

Section 22: Secrecy to be maintained
1) Providing any information that comes to one’s knowledge in the course of functioning of the Board to another person in an unauthorised manner or using it for one’s benefit, interest or gain, or causing it to be so provided or used, is prohibited.
2) If the chairperson, member, member-secretary, a person or employee invited to a meeting does any act contrary to sub-section (1), he or she is considered to violate the official conduct, and the
record of such a member breaching secrecy shall be maintained.

Industrial Enterprises Act 2076

Chapter-4 Provisions Relating to Industry and Investment Promotion Board

Section 23: Provisions relating to Provincial industry and investment promotion  board
1) A Provincial industry and investment promotion board may be constituted under the provincial law to promote investments in industries registered and operated in the Province.
2) The functions, duties and powers of the Provincial Industry and Investment Promotion Boar constituted under sub-section (1) shall be as follows:
(a) to regularly appraise the overall industrial promotion in the Province and make recommendations to the Provincial Government for necessary reforms,
(b) to perform necessary functions to implement policies on industrial pollution control,
(c) to make an overall evaluation and appraisal of the state of industrial development in the Province and make suggestions and recommendations to the Provincial Government to take necessary steps,
(d) to hear grievances of entrepreneurs of industries registered in the Province and resolve, or cause to be resolved, the problems and make guidance to the concerned bodies in this respect,
(e) to carry out, or cause to be carried out, studies, research works, and surveys, as required, in the context of enhancing domestic investment in the industrial sector within the Province,
(f) to do, or cause to be done, any necessary work for building a competitive industrial environment in effective coordination and harmonious collaboration with the public, private and cooperative sectors within the Province,
(g) to make guidance on matters requiring coordination between the Province and Local Level for the development and expansion of industrial enterprises and make necessary provisions for coordination,
(h) to direct the concerned Provincial Ministry to request the Ministry for the removal of any uncertainty, if any, arising in the implementation of any federal law relating to industry,
(i) to coordinate with the Board through the Ministry with respect to services facilities that may be provided by the one-stop service centre,
(j) to perform, or cause to be performed, such other functions as may be necessary with respect to the promotion of industries registered in the Province.
3) The Provincial industry and investment promotion board may make suggestions and recommendations to the Ministry through the concerned Provincial Ministry on such matters as it thinks necessary for industrial and investment promotion in the Province.
Industrial Enterprises Act 2076

Chapter-5 Provisions Relating to Incentives, Exemptions, Facilities or Concessions  for Industries

Section 25: Exemptions, facilities or concessions relating to customs duty
An industry registered under this Act is entitled to the following customs duty exemptions:
(a) for exports by those industries without the facility of a bonded Warehouse or passbook, the Ministry of Finance shall determine the rate of duty drawback and publish a notice in the Nepal Gazette. The Ministry must refund the amount of duty drawback according to the rate so determined through the One Stop Service Centre,
(b) if an industry which has not obtained a license of the bonded warehouse is to export its products through a letter of credit or prevailing banking system or sells them within Nepal in foreign currency, it may import such raw materials or subsidiary raw materials and packaging materials that are not produced in Nepal as required for the production of such goods by depositing customs duty leviable on such import, subject to the prescribed terms and procedures,
(c) notwithstanding anything contained in clause (b), such industry is entitled to the facility under clause (b) if the Department certifies that such packaging materials are not produced in Nepal and recommends for that facility,
(d) customs duty on raw materials, subsidiary raw materials, and packaging materials as required for production by industry is generally less by one level than customs duty on imports of finished goods produced from such raw materials,
(e) minimum customs duty rate shall be applied on the import of machinery, generator or industrial equipment with a capacity of tenor more than Kilowatt imported by industry for its commercial purpose,
(f) minimum customs duty rate shall be applied for machinery and scientific equipment imported by a laboratory testing quality for the purpose of testing quality and machinery and equipment imported by the industry for research and development,
(g) an industry producing intermediate goods used in industrial goods to be exported is entitled to a refund of the customs duty paid by that industry on the produced goods based on the quantity of export.
Provided that such an amount is not refunded if the application is not made for such a refund within one year after the export.

Industrial Enterprises Act 2076

Chapter-5 Provisions Relating to Incentives, Exemptions, Facilities or Concessions  for Industries

Section 26: Other facilities and concessions for micro-industries
1) Notwithstanding anything contained in the prevailing law, no fee or charge is levied for the registration of a micro-industry under this Act.
2) A micro-industry which is in operation upon registration at the time of commencement of this Act and comes into operation upon registration under this Act is entitled to full income tax exemption.
Industrial Enterprises Act 2076

Chapter-5 Provisions Relating to Incentives, Exemptions, Facilities or Concessions  for Industries

Section 27: Additional facilities for female entrepreneurs
1) Notwithstanding anything contained in the prevailing law, if an industry or firm is registered with the sole ownership of a female entrepreneur, it is entitled to a thirty-five percent exemption on the fee or charge leviable on the registration of that industry or firm under the prevailing law.
2) Notwithstanding anything contained in the prevailing law, an industry registered with the sole ownership of a female entrepreneur is entitled to a twenty percent exemption on the fee or
charge leviable under the prevailing law on the registration of an industrial property to be used in that industry.
3) If a female entrepreneur intends to establish a new industry within an industrial zone or industrial village, the body operating such an area shall be given priority to providing a space.
4) If an industry with the sole ownership of a female entrepreneur requests for a loan for the purpose of exporting its industrial products, an export loan may be provided as prescribed through the banking system from a fund disbursing loans for female entrepreneurs on the basis of financial situation of the female entrepreneur.

Industrial Enterprises Act 2076

Chapter-5 Provisions Relating to Incentives, Exemptions, Facilities or Concessions  for Industries

Section 28: Special provisions relating to industries operated in industrial region
The government of Nepal may make special provisions for incentives, facilities, and concessions for industries operating in industrial zones, industrial clusters, industrial corridors, and industrial villages.