chhatramani/nepal_legal_acts_corpus_english huggingface dataset:
Security Printing Act, 2024

Chapter-6

Appointment of Executive Director and Functions, Duties, and Powers

18. Appointment of Executive Director: (1) The Government of Nepal shall appoint, on the basis of open competition, one Executive Director to work as the administrative chief of the Center.

(2) The term of office of the Executive Director shall be five years.

(3) There shall be a Recommendation Committee as follows to recommend names to the Government of Nepal for the appointment of the Executive Director on the basis of open competition pursuant to Sub-section (1):-

(a) Secretary, Ministry - Coordinator

(b) One expert nominated by the Ministry from among persons who have gained experience in the field of security printing - Member

(c) Joint Secretary, Ministry - Member-Secretary

(4) To recommend for appointment to the post of Executive Director, the Recommendation Committee shall publish a notice in a national daily newspaper giving a period of at least seven days for candidates fulfilling the qualifications pursuant to Section 19 to submit applications.

(5) A shortlist of eligible candidates shall be prepared from among the applications received pursuant to Sub-section (4), and such candidates shall be invited for an interview, professional work plan, and presentation thereof.

(6) From among the candidates pursuant to Sub-section (5), the Recommendation Committee shall recommend to the Government of Nepal the names of a maximum of three candidates who have obtained the highest marks from the interview, professional work plan, and presentation thereof.

(7) The Recommendation Committee shall recommend the names of eligible candidates pursuant to Sub-section (6) within one month of commencing its work.

(8) Other procedures relating to recommendation shall be as determined by the Recommendation Committee.

(9) Notwithstanding anything contained in Sub-section (2), the Government of Nepal may remove the Executive Director from the position in the following circumstances:-

(a) If there is a lack of competence,

(b) If there is misconduct,

(c) If official duties are not performed honestly,

(d) If work is not done according to the performance agreement,

(e) If the confidentiality of security printing materials prepared or being prepared by the Center is breached,

(f) If information relating to security printing is made available to unauthorized persons or information is leaked,

(g) If any act is done contrary to the interests of the Government of Nepal or the Center, or

(h) If unable to perform duties due to mental or physical incapacity.

(10) Before removing the Executive Director from the position pursuant to Sub-section (9), a reasonable opportunity to present a defense shall be given.

(11) Notwithstanding anything contained elsewhere in this Section, if the Executive Director is under suspension due to a corruption case filed pursuant to the prevailing law and is unable to perform duties for more than three months, the Government of Nepal may, on the recommendation of the Committee pursuant to Sub-section (3), appoint another Executive Director for the remaining period.
Security Printing Act, 2024

19. Qualifications of the Executive Director: A person fulfilling the following qualifications shall be eligible to be a candidate for the post of Executive Director:-

(a) A Nepali citizen who has completed at least thirty years of age,

(b) Having obtained a post-graduate degree in Computer Engineering, Electrical Engineering, Electronics Engineering, Mechanical Engineering, Information Technology, or Management from a recognized university,

(c) Having gained at least five years of experience at the managerial level,

(d) Not having been dismissed from government service or service of an institution wholly or partly owned by the Government of Nepal, a Provincial Government, or a Local Level in a manner rendering one disqualified for such service in the future,

(e) Not having been punished by a court for corruption, rape, gender-based violence, human trafficking and transportation, narcotic drugs, money laundering, passport misuse, kidnapping, organized crime, or other criminal offenses involving moral turpitude, and

(f) Not having taken permanent residency permit or citizenship of any foreign country. 20. Vacancy of the Post of Executive Director: The post of the Executive Director shall be deemed vacant in the following circumstances:-

(a) Upon submission of resignation to the Government of Nepal,

(b) Upon completion of the term of office,

(c) Upon completion of sixty years of age,

(d) Upon removal from the position pursuant to Sub-section (9) of Section 18,

(e) If the qualifications pursuant to Section 19 are not met, or

(f) Upon death. 21.
Security Printing Act, 2024

21. Functions, Duties, and Powers of the Executive Director: The functions, duties, and powers of the Executive Director shall be as follows:-

(a) To formulate policies, plans, programs, and annual budget of the Center and submit them to the Board of Directors for approval,

(b) To implement or cause to implement policies, plans, and programs approved by the Board of Directors,

(c) To coordinate with other bodies regarding the work and actions of the Center,

(d) To implement or cause to implement decisions of the Board of Directors,

(e) To prepare the annual report of the Center including other reports and submit them to the Board of Directors,

(f) To monitor or cause to monitor the work performed by the Center,

(g) To make necessary arrangements for the external and internal security of the production site of security printing materials,

(h) To cause to maintain accurate records of each security printing material produced, in storage, or transferred to the concerned body,

(i) To submit to the Committee the matter regarding determination of fees for security printing materials for which printing orders have been received,

(j) To perform or cause to perform work relating to production, storage, transportation, transfer, and archiving of security printing materials, and

(k) To perform work delegated by the Board of Directors. 22. Performance Agreement to be Made: (1) The Executive Director shall make a performance agreement with the Secretary of the Ministry.

(2) The performance agreement shall include measurable conditions for the work of the Executive Director. 23. Remuneration and Other Facilities of the Executive Director: The Executive Director shall receive remuneration and other facilities as determined by the Government of Nepal. 24. Not to Work Elsewhere: The Executive Director shall not engage in any kind of employment elsewhere, or perform work providing service as a consultant, advisor, expert, or in any capacity in a manner that yields economic benefit or any facility. 25. Employees of the Center: (1) The Center may appoint employees according to the posts approved by the Ministry for conducting its work and actions.

(2) The appointment, terms of service, remuneration, and other facilities of employees pursuant to Sub-section (1) shall be as prescribed.

(3) Notwithstanding anything contained in Sub-section (1), until employees of its own are appointed in the Center, or upon the request of the Center, the Government of Nepal may depute employees from the Government of Nepal or any public institution with a majority ownership of the Government of Nepal to work at the Center, receiving salary and allowances from the Center itself. 26.
Security Printing Act, 2024

26. Approval to be Obtained: (1) The Center shall obtain prior approval of the Ministry to import presses, machinery, instruments, or equipment relating to security printing as prescribed.

(2) The procedure relating to providing prior approval pursuant to Sub-section (1) shall be as prescribed. Chapter-7

Offenses and Penalties

27. Not to Perform Work Relating to Security Printing: (1) No one other than the Center shall perform work relating to security printing, including printing security printing materials, making or importing presses, machinery, instruments, or equipment relating thereto, without obtaining approval pursuant to Sub-section (4) or (5) of Section 9.

(2) If anyone prints security printing materials in contravention of Sub-section (1), such materials shall be confiscated, and depending on the gravity of the offense, the following penalty and fine shall be imposed:-



 (a) Citizenship certificate, national identity card, or passport Imprisonment for up to twelve years and a fine from five hundred thousand to one million rupees,
 (b) Bank note Imprisonment for up to twelve years and a fine according to the loss if the loss is known, and a fine up to one million five hundred thousand rupees if the loss is unknown,
 (c) Postage stamp Imprisonment for up to seven years and a fine according to the loss if the loss is known, and a fine up to seven hundred thousand rupees if the loss is unknown,
 (d) Excise sticker Imprisonment for up to five years and a fine according to the loss if the loss is known, and a fine up to five hundred thousand rupees if the loss is unknown,
 (e) If other security printing materials, except those mentioned in clauses (a), (b), (c), and (d), are printed Imprisonment for up to three years and a fine according to the loss if the loss is known, and a fine up to five hundred thousand rupees if the loss is unknown.

(3) If anyone makes or imports presses, machinery, instruments, or equipment pursuant to Sub-section (1) in contravention of that Sub-section, such presses, machinery, instruments, or equipment shall be confiscated, and the penalty shall be imprisonment for up to two years or a fine up to two hundred thousand rupees or both. 28.
Security Printing Act, 2024

28. Not to Make or Import Paper with Watermark or Security Thread: (1) No one other than the Center shall make or import paper with a watermark or security thread bearing signs or letters used or being used by the Center for security printing.

(2) If anyone makes or imports paper with a watermark or security thread in contravention of Sub-section (1), such paper shall be confiscated, and the penalty shall be imprisonment for up to three years or a fine up to three hundred thousand rupees or both. 29. Not to Make or Import Dies, Plates, or Equipment: (1) No one shall make or import dies, plates, or equipment relating thereto for the purpose of printing in a manner resembling security printing done by the Center.

(2) If anyone makes or imports dies, plates, or equipment relating thereto for preparing such materials in contravention of Sub-section (1), such materials shall be confiscated, and the penalty shall be imprisonment for up to three years or a fine up to three hundred thousand rupees or both. 30. Not to Print in Excess of Demand: (1) While performing security printing pursuant to Section 11, printing of security printing materials in excess of the demand of the concerned government body shall not be done.

(2) Notwithstanding anything contained in Sub-section (1), if printing in excess of demand occurs for sample testing or due to technical error, such excess security printing materials shall be immediately destroyed upon preparing a panchnama.

(3) If security printing materials are printed in excess of the demand of the concerned government body contrary to Sub-section (1) or (2), or if excess security printing materials are not destroyed, the responsible official or employee shall be penalized according to Sub-section (2) of Section 27. 31. Not to Breach Confidentiality: (1) No one shall provide information about the technical specifications of security printing materials or breach related confidentiality to anyone other than the authority specified by law.

(2) If anyone provides information about the technical specifications of security printing materials or breaches confidentiality in contravention of Sub-section (1), the penalty shall be imprisonment for up to three years or a fine up to three hundred thousand rupees or both.

(3) If the confidentiality of personal details used during the course of security printing pursuant to this Act is breached or if information is mala fidely provided to anyone, the penalty shall be according to the prevailing law relating to confidentiality. 32.
Security Printing Act, 2024

32. Not to Take Outside Premises in an Unauthorized Manner: (1) Except in cases where there is a written order of an authorized officer, no one shall take security printing materials outside the production site, printing press, or storage location of the Center in an unauthorized manner.

(2) If anyone takes security printing materials outside the production site, printing press, or storage location of the Center in an unauthorized manner in contravention of Sub-section (1), such person shall be liable to imprisonment for up to three years or if the loss of such materials is known, recovery of the loss and a fine according to the loss, or both; and if the loss is unknown, imprisonment for up to three years or a fine up to three hundred thousand rupees, or both. 33. Not to Take Unpersonalized Blank Security Printing Materials Out in an Unauthorized Manner: (1) No one shall take unpersonalized blank security printing materials out of the production site, printing press, or storage location of the Center in an unauthorized manner.

(2) If anyone takes unpersonalized blank security printing materials out of the production site, printing press, or storage location of the Center in an unauthorized manner in contravention of Sub-section (1), such person shall be liable to imprisonment for up to one year or if the loss of such materials is known, recovery of the loss and a fine according to the loss, or both; and if the loss is unknown, imprisonment for up to one year or a fine up to one hundred thousand rupees, or both. 34. Not to Hand Over Personalized Security Printing Materials to Unauthorized Persons: (1) No one shall hand over personalized security printing materials at the Center to an unauthorized person.

(2) If anyone hands over personalized security printing materials to an unauthorized person in contravention of Sub-section (1), such person shall be liable to imprisonment for up to one year or if the loss of such materials is known, recovery of the loss and a fine according to the loss, or both; and if the loss is unknown, imprisonment for up to one year or a fine up to one hundred thousand rupees, or both. 35. Penalty for Repeat Offense: If a person who has been punished for an offense punishable under this Act commits an offense under this Act again, such person shall, in addition to the penalty for the relevant offense, be liable to an additional fifty percent penalty. 36.
Security Printing Act, 2024

35. Penalty for Repeat Offense: If a person who has been punished for an offense punishable under this Act commits an offense under this Act again, such person shall, in addition to the penalty for the relevant offense, be liable to an additional fifty percent penalty. 36. Government of Nepal to be the Plaintiff: Cases punishable under this Chapter shall be initiated with the Government of Nepal as the plaintiff, and such case shall be deemed to be included in Schedule-1 of the National Criminal Procedure Code, 2017 (2074). Chapter-8

Miscellaneous

37. May Establish Industry: The Center may, with the approval of the Ministry, establish industries to produce raw materials including paper, thread, and chemicals required for printing security printing materials. 38. Delegation of Power: The Board of Directors may, as required, delegate some of the powers vested in it under this Act or rules made under this Act to the Chairperson, a Member, or the Executive Director. 39. Restriction on Exploitation of Vested Personal Interest: (1) If a Member has any direct or indirect business interest of their own or of their family member or close relative in the work and actions of the Center, such Member shall inform the Board of Directors about that matter.

(2) While any proposal in which a Member has a personal interest is being discussed in the Board of Directors, such Member shall not be allowed to participate. Explanation: For the purpose of this Section, "relative" means the Member's husband, wife, son, daughter, father, mother, step-mother, grandfather, grandmother, mother-in-law, father-in-law, elder brother, younger brother, elder sister, younger sister, sister-in-law (bhaauju), daughter-in-law, elder brother of husband (jethaaju), younger brother of husband (devar), wife of elder brother of husband (jethaani), wife of younger brother of husband (deuraani), aunt (aamaaju), husband's sister (nanda), uncle (kaka), aunt (kaki), paternal great-grandfather (thulobuba), paternal great-grandmother (thuli aama), paternal uncle (sanobuba), paternal aunt (sani aama), nephew (bhatija), niece (bhatiji), nephew (bhanja), niece (bhanji), brother-in-law (bhinaju), son-in-law (jwain), maternal uncle (mama), maternal aunt (maiju), paternal aunt (phupu), paternal uncle (phupaju), wife's brother (sala), wife's sister (sali), husband of wife's sister (jethan), husband's elder sister's husband (sadhudai), husband's younger sister's husband (sadhubhai), their wives and children. 40. No Bar to Penalty According to Prevailing Law: (1) If any act that constitutes an offense under this Act also constitutes an offense under any other prevailing law, this Act shall not be deemed to prevent separate proceedings and penalty for such offense.
Security Printing Act, 2024

40. No Bar to Penalty According to Prevailing Law: (1) If any act that constitutes an offense under this Act also constitutes an offense under any other prevailing law, this Act shall not be deemed to prevent separate proceedings and penalty for such offense. Provided that,

Provided that multiple cases shall not be filed and multiple penalties shall not be imposed for the same offense.

(2) If an employee working at the Center commits an offense punishable under this Act, such employee shall also be subject to departmental action according to the law relating to service. 41. Deemed Included in Essential Service: The work performed by the Center shall be deemed to be included in the list of essential services pursuant to the prevailing law. 42. Contact with the Government of Nepal: The Center shall contact the Government of Nepal through the Ministry. 43. May Obtain Assistance: The Center may, with the approval of the Government of Nepal, obtain necessary assistance from foreign governments or international organizations or institutions regarding machinery, tools, instruments, equipment, and technology relating to security printing, and expertise. 44. May Make Rules: (1) The Government of Nepal may make rules to implement this Act.

(2) Without prejudice to the generality of Sub-section (1), rules may be made on the following subjects:-

(a) Relating to terms of service and facilities of employees,

(b) Relating to financial administration,

(c) Relating to security printing,

(d) Relating to operation of the Fund, and

(e) Subjects to be included in the annual report. 45. May Make Regulations or Procedures: (1) Subject to this Act and rules made under this Act, the Center may, as required, make necessary regulations relating to the remuneration, terms of service, and facilities of the Executive Director and employees of the Center, and the operation of the Center's work.

(2) Subject to this Act and rules made under this Act, the Center may, as required, make necessary procedures to systematize the work relating to security printing performed by the Center.

(3) While making regulations pursuant to Sub-section (1), if it imposes additional financial liability on the Government of Nepal, prior approval of the Ministry of Finance of the Government of Nepal shall be obtained. 46. Review of Act Implementation: Within one year of the completion of five years from the date of commencement of this Act, and thereafter within one year of the completion of every five years, the Ministry shall review the implementation of the Act, and submit a report thereof to the relevant committee of both houses of the Federal Parliament. 47.
Development Board Act, 1956

Development Committee Act, 2013

Royal Seal Date
2013.4.4

Published Date
2013.4.8

Amending Acts
1. Development Committee (First Amendment) Act, 2013 2013.9.5 2013.9.7
2. Development Committee (Second Amendment) Act, 2014 2014.11.12 2014.11.19

Royal Seal and Publication Date
3. Development Committee (Third Amendment) Act, 2018 2018.4.5
4. Some Nepal Laws (Amendment and Reorganization) Act, 2020 2020.11.16
5. Judicial Administration Reform Act, 2031 2031.4.18
6. Judicial Administration Act, 2048 2048.2.16

Certification and Publication Date
7. Republic Strengthening and Some Nepal Laws Amendment Act, 2066 2066.10.7
8. Some Nepal Acts Amendment Act, 2072 2072.11.13
9. Act to Amend Some Nepal Acts to Make them Consistent with the Constitution of Nepal, 2075 2075.11.19

Act No. 3 of the year 2013



Whereas it appears necessary to make proper arrangements for the speedy and smooth implementation of development plans and development works, this Act is hereby enacted and issued by His Majesty the King on the advice of the Council of Ministers. 1. Short Title and Commencement: (1) This Act may be called the "Development Committee Act, 2013".

(2) This Act shall come into force immediately throughout the Kingdom of Nepal. 2. Definition: Unless the subject or context otherwise requires, in this Act,-

(a) "Committee" means a committee formed under Section 3 or 3A.

(b) "Foreign Agency" includes any foreign state, international or foreign institution.

(c) "Notified Order" means an order published in the Nepal Gazette. 3. Power of the Government of Nepal to Form a Committee: (1) The Government of Nepal may, if it deems appropriate or necessary, by a notified order, form a committee to implement any development plan or development work as specified in that order.

(2) Each notified order under Sub-section (1) shall specify the functions and duties of the committee, and may also make provisions for other related matters.

(3) The committee shall consist of persons appointed by the Government of Nepal as determined Added by the First Amendment.and shall be known by such name as specified in the order forming the committee. 3A.
Development Board Act, 1956

3A. Power of the Provincial Government to Form a Committee: (1) If a plan, project or institution formed and operated under this Act and transferred from the Government of Nepal to the provincial government needs to be operated as a development committee, the provincial government may, if it deems necessary, form a committee by publishing a notice in the Provincial Gazette.

(2) The order under Sub-section (1) shall specify the functions and duties of the committee, and the committee shall be known by such name as specified in the order at the time of formation.

(3) The committee shall consist of three persons appointed by the provincial government on the basis of criteria specified in the notified order.

(4) After the plan or project under Sub-section (1) is implemented, the committee formed accordingly shall automatically dissolve, and notice thereof shall be published in the Provincial Gazette. 4. Committees to be Bodies Corporate: Amended by the Act to Amend Some Nepal Acts to Make them Consistent with the Constitution of Nepal, 2075.Each committee formed under Section 3 or 3A shall be a body corporate with perpetual succession, and shall have a common seal for all purposes of the committee, and shall have the power to acquire, hold and dispose of movable and immovable property as a person. The committee may sue and be sued in its corporate name. 5. Fund of the Committee: (1) Amended by the Act to Amend Some Nepal Acts to Make them Consistent with the Constitution of Nepal, 2075.The fund of a committee formed under Section 3 or 3A shall consist of the following:

(a) Money provided by the Government of Nepal or any other non-governmental person, and

(b) Funds given by any foreign agency through the Government of Nepal.

(2) The money and fund of the committee shall be utilized for implementing the works and programs specified in the order issued for forming the committee.

(3) Amended by the Second Amendment.The committee shall work in accordance with the programs and procedures specified in the rules made by itself, and shall also maintain accounts accordingly. Amended by the Act to Amend Some Nepal Acts to Make them Consistent with the Constitution of Nepal, 2075.Provided that, the rules made by a committee under an order issued under Section 3 shall require the approval of the concerned ministry of the Government of Nepal, and the rules made by a committee under an order issued under Section 3A shall require the approval of the concerned ministry of the provincial government.

(4) Repealed by the Some Nepal Laws (Amendment and Reorganization) Act, 2020

6.
Development Board Act, 1956

Employees of the Committee: (1) The committee may appoint employees as necessary for the smooth conduct of its work. Provided that, Amended by the Some Nepal Laws (Amendment and Reorganization) Act, 2020.no person shall be appointed by any method other than the principles and methods approved by the Public Service Commission.

(2) It shall be lawful for the committee to accept the services of permanent officers of the Government of Nepal or any other foreign agency for a limited period, and while performing the work of the committee, such officers shall be under the administrative control of the committee. Provided that, the conditions of their original service shall not be affected by reason of such deputation. 7. Power of the Government of Nepal to Issue Orders and Rules: The Government may, from time to time, issue rules or orders regarding the work and proceedings of the committee, and it shall be the duty of the committee to comply with such rules or orders. 8. Dissolution of the Committee: (1) If the Government of Nepal considers that any development plan or development work being implemented by the committee can be implemented more smoothly by the Government of Nepal itself, or that the work thereof has been completed, the Government of Nepal may, by a notified order, dissolve the committee.

(2) In the event of dissolution of the committee:

(a) All rights, properties and debts of the committee shall vest in the Government of Nepal.

(b) All contracts taken with the committee shall be deemed to be taken with the Government of Nepal.

(c) Repealed by the Third Amendment

9. Settlement of Disputes by Arbitrator: Section 9 added by the Second Amendment and the former Section 9 renumbered as Section 10.(1) If any agreement with the committee contains a provision that disputes arising in relation to such agreement and its implementation shall be referred to an arbitrator for decision, the arbitrator appointed in accordance with such agreement shall decide such dispute, and no court shall have jurisdiction to hear and determine such dispute.

(2) The arbitrator shall have the power to take evidence, summon witnesses and require production of documents in relation to a dispute referred to him under Sub-section (1) for decision.

(3) The decision of the arbitrator shall be final and binding on both parties.
Development Board Act, 1956

Provided that, upon application of the aggrieved party, the High Court may set aside such decision in the following circumstances:

(a) If it clearly appears that the arbitrator has shown improper conduct while making the decision, or has made a clearly wrong decision with apparent bad faith, or has acted arbitrarily, or

(b) If the arbitrator's decision is manifestly contrary to law.

(4) If such decision is set aside by the High Court, the dispute shall be referred for decision to Amended by the Some Nepal Acts Amendment Act, 2072.another arbitrator appointed by the Chief Judge of that Court.

(5) A decision made by an arbitrator shall be executed as prescribed by the court of execution or the office performing the work of execution designated by the Government of Nepal.

(6) The Government of Nepal may make rules for the purpose of implementing this Section. 10. Non-application of Laws: Former Section 9 renumbered as Section 10 by the Second Amendment.For the avoidance of doubt, it is hereby clarified that the provisions of the Muluki Ain or the chapters of the Muluki Act relating to recovery of dues, verification of documents, or examination of accounts shall not apply to the work of the committee.
Customs Act, 2007

Short Title and Commencement: (1) This Act may be cited as the "Customs Act, 2007".

(2) This Act shall come into force immediately, and the other sections shall come into force from the date appointed by the Government of Nepal by notification published in the Nepal Gazette. 2. Definitions: Unless the subject or context otherwise requires, in this Act,-

(a) "Duty free shop" means a shop approved by the Government of Nepal to sell goods imported under bank guarantee facility to a person entitled to diplomatic privilege or concession facility, or to sell to a catering service for international flights or to an airline company for sale in its duty free shop on such flights.

(b) "Transaction value" means the total amount actually paid or payable by the importer to the seller of the imported goods, directly or indirectly, plus the freight, insurance and other related expenses incurred or likely to be incurred in bringing such goods up to the border of Nepal.

(c) "Diplomatic privilege" means the facility or concession to allow export or import of any goods without inspection, without levying duty, only by maintaining a record.

(d) "Declaration" means the act of stating the details of the goods to be exported or imported by the exporter or importer in a declaration form or transmitting them through electronic means as prescribed.

(e) "Smuggling export" means the act of taking goods liable to customs duty outside Nepal without paying customs duty, by hiding or concealing or by evading the route, or, even if the goods are not liable to customs duty, without making a declaration under this Act.

(f) "Smuggling import" means the act of bringing goods liable to customs duty into Nepal without paying customs duty, by hiding or concealing or by evading the route, or, even if the goods are not liable to customs duty, without making a declaration under this Act.

(g) "Inspection" means the act of examining the goods or documents relating to such goods or both by the Customs Office to verify whether the goods to be exported or imported are as declared, and said term also includes the act of body search and X-ray of a passenger entering Nepal from a foreign country or departing from Nepal to a foreign country.

(h) "Clearance" means permission given by a Customs Officer to export or import or remove any goods from the Customs Office in accordance with this Act and the Rules made under this Act.

(i) "Post-clearance audit" means the audit carried out pursuant to Section 34.

(j) "Prescribed" or "as prescribed" means prescribed or as prescribed in the Rules made under this Act.

(k) "Export" means the act of sending goods from Nepal to a foreign country.

(l) "Declaration form" means the form on which the exporter or importer declares the details of the goods to be exported or imported.
Customs Act, 2007

Amended by Finance Act, 2022.(m) "Import" means the act of bringing goods from a foreign country into Nepal, and said term also includes the clearance of a container purchased abroad by a shipping company registered in Nepal to operate container services, but which is physically not possible to bring to the Customs Office.

(n) "Bonded warehouse" means a warehouse licensed by the Department where raw materials or auxiliary raw materials required for producing goods to be exported abroad or sold within the country in convertible foreign currency, or goods to be sold in a duty free shop, are imported under bank guarantee facility and kept. Added by Finance Act, 2018.(n1) "Disaster" means earthquake, fire, storm, flood, landslide, excessive rain, drought, famine, epidemic and other such disasters, and said term also includes industrial accident, accident caused by explosive or toxic substances, and any other kind of such disaster.

(o) "Bank" means a commercial bank or financial institution licensed to carry out banking business under the prevailing law.

(p) "Bank guarantee" means the guarantee given by a bank to the Customs Office to pay the duty payable by an exporter or importer at the time of export or import of goods, in case he/she fails to pay.

(q) "Bank guarantee facility" means the facility provided to an exporter or importer to export or import goods on the basis of a bank guarantee. Amended by Finance Act, 2018.(r) "Customs Officer" means the Chief Customs Administrator, Chief Customs Officer or Customs Officer, and said term also includes the head of a Customs Office or a Sub-Customs Office, or a Deputy Director General, Director, Section Officer appointed by the Director General, or an officer designated by the Ministry of Finance pursuant to Section 84.

(s) "Customs Agent" means a person licensed pursuant to Section 51. Amended by Finance Act, 2018.(t) "Customs Office" means a Customs Office established or caused to be established pursuant to Section 4, and said term also includes the premises of such Customs Office and other areas designated by the Government of Nepal by notification published in the Nepal Gazette.

(u) "Customs warehouse" means a house, building, shed or other similar structure or any place built at a Customs Office for storing goods to be exported or imported. Added by Finance Act, 2018.(u1) "Customs Post-Clearance Audit Office" means the office established to carry out the post-clearance audit pursuant to Section 34.
Customs Act, 2007

Added by Finance Act, 2018.(u1) "Customs Post-Clearance Audit Office" means the office established to carry out the post-clearance audit pursuant to Section 34. Added by Finance Act, 2018.(u2) "Customs Auditor" means the Chief Customs Audit Administrator, Chief Customs Auditor or Customs Auditor, and said term also includes an officer designated by the Director General to carry out the post-clearance audit pursuant to Section 34.

(v) "Customs duty" means the customs duty leviable on goods to be exported or imported under Amended by Customs Tariff Act, 2024.the Customs Tariff Act, 2024.

(w) "Customs value" means the value determined pursuant to Section 13 or 16 of the goods to be exported or imported for the purpose of determining customs duty. Amended by Finance Act, 2018.(x) "Customs area" means a customs area designated by the Ministry of Finance or the Director General pursuant to Section 3.

(y) "Duty" means all taxes, charges and fees leviable under the law on goods to be exported or imported, and said term also includes customs duty.

(z) "Concession facility" means the facility to allow export or import of any goods without levying duty, with or without inspection, only by maintaining a record.

(aa) "Director General" means the Director General of the Customs Department.

(ab) "Goods" means any kind of movable goods or property including currency.

(ac) "Relief materials" mean goods as specified by the Government of Nepal imported as humanitarian assistance for the rescue and relief of victims in a disaster situation.

(ad) "Person" means a natural person, and said term also includes any company, organized institution and firm registered under the law.

(ae) "Department" means the Customs Department. Omitted by Customs Tariff Act, 2024.(af)

(ag) "Vehicle" means any means used or available for travel or transportation of goods. Added by Finance Act, 2022.(ah) "Internal transport" means the act of taking goods brought for the purpose of import into Nepal from a Customs Office at the entry border only after making a declaration, to another Customs Office for clearance. Chapter-2

Provisions Relating to Customs Area and Customs Office

3. Power to Designate Customs Area and Route: (1) For the purpose of administering the customs law and collecting customs duty under this Act, the Amended by Finance Act, 2018.Ministry of Finance may, by notification published in the Nepal Gazette, designate any area of Nepal as a customs area. Added by Finance Act, 2018.(1a) For the purpose of clearing relief materials or, in a disaster situation, for the purpose mentioned in sub-section (1), the Director General may designate any area of Nepal as a customs area. After the purpose of such designated customs area is over, the Director General shall cancel such customs area.
Customs Act, 2007

After the purpose of such designated customs area is over, the Director General shall cancel such customs area. Amended by Finance Act, 2018.(2) The route for import into Nepal or export from Nepal from the customs area under sub-section (1) may be designated by the Ministry of Finance by notification published in the Nepal Gazette. Provided that, the route for import into Nepal or export from Nepal from the customs area under sub-section (1a) may be designated by the Director General.

(3) Goods to be imported into Nepal or exported from Nepal shall be exported or imported only through the route designated under sub-section (2).

(4) Subject to sub-section (3), the Director General may designate that certain types of goods may be exported or imported only from a specific Customs Office.

(5) Notwithstanding anything contained elsewhere in this Act, the Director General may designate that goods as prescribed or goods up to a value as prescribed may be exported or imported from a Sub-Customs Office. Added by Finance Act, 2018.4. Establishment of Customs Office: (1) The Government of Nepal may, by notification published in the Nepal Gazette, establish a Customs Office or a Sub-Customs Office in any customs area.

(2) If, due to a disaster, it becomes impossible to carry out functions from any Customs Office, the Director General may establish a Customs Office in any customs area. After the purpose of such established Customs Office is over, the Director General shall cancel such Customs Office. Added by Finance Act, 2018.4a. Establishment of Customs Post-Clearance Audit Office: (1) The Government of Nepal may, by notification published in the Nepal Gazette, establish a Customs Post-Clearance Audit Office as required.

(2) A Customs Post-Clearance Audit Office established before the commencement of this Section shall be deemed to have been established under this Section. Chapter-3

Provisions Relating to Customs Duty

5. 6. 7. 8. Chapter-4

Provisions Relating to Customs Duty Concession, Exemption and Other Facilities

9. 10. Power to Provide Bonded Warehouse Facility: The Government of Nepal may, if it deems appropriate to grant the bonded warehouse facility to a person desiring to avail such facility, provide the facility as prescribed to operate a bonded warehouse, subject to the conditions as prescribed. 11. 12. Chapter-5

Provisions Relating to Customs Value Determination

13.
Customs Act, 2007

11. 12. Chapter-5

Provisions Relating to Customs Value Determination

13. Basis for Determining Customs Value of Imported Goods: (1) In determining the customs value of imported goods, the rules relating to customs valuation, schedules and interpretative notes set forth in the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade (GATT) 1994 shall be adopted.

(2) Subject to sub-section (1), the customs value of imported goods shall be determined on the basis of the transaction value of such goods.

(3) The importer shall declare the transaction value, attaching details and documents certifying the value of the goods imported by him/her.

(4) If the transaction value declared by the importer under sub-section (3) is in accordance with sub-section (1), the Customs Officer shall determine the customs value of the goods on the basis of such transaction value. If it appears that freight, insurance and other related expenses are not included in such transaction value, the Customs Officer shall determine the transaction value by adding the estimated amount likely to be incurred therefor.

(5) The basis for determining the estimated amount under sub-section (4) may be prescribed by the Director General.

(6) If there is reasonable cause to believe that the value declared by the importer under sub-section (3) is suspicious, the Customs Officer may request in writing from him/her additional documents or evidence to certify that such value is the actual transaction value. It shall be the responsibility of such importer to provide the documents so requested.

(7) If the customs value of any goods cannot be determined on the basis of the transaction value declared under sub-section (3) by the importer or the bill, invoice and documents submitted, the Customs Officer shall give a notice to the concerned importer stating the reason therefor.

(8) If the customs value cannot be determined on the basis of transaction value under sub-section (2), the customs value of such goods shall be determined on the basis of the transaction value of identical goods already imported into Nepal prior to the import of such goods. Explanation: For the purpose of this Section, "identical goods" means goods which are the same in all respects, including physical characteristics, quality, nature and features.

(9) If the customs value cannot be determined on the basis of the transaction value of identical goods under sub-section (8), the customs value of such goods shall be determined on the basis of the transaction value of similar goods already imported into Nepal.
Customs Act, 2007

Explanation: For the purpose of this Section, "similar goods" means goods which, although not alike in all respects, have like characteristics and like component materials which enable them to perform the same functions and to be commercially interchangeable.

(10) If the customs value cannot be determined on the basis of the transaction value of similar goods under sub-section (9), and if such goods have already been imported into Nepal and sold in the market to a person unrelated to the importer, the customs value of such goods shall be determined on the basis of the per unit selling price of the maximum units so sold, deducting taxes, duties, other related expenses and profit incurred in Nepal (according to the deductive value method).

(11) If the customs value cannot be determined under sub-section (10), the customs value shall be determined by computing the cost of production or manufacture of such goods plus the profit taken or likely to be taken by the seller when selling such goods to the importer (according to the computed value method).

(12) If the customs value cannot be determined under sub-section (11), the Customs Officer shall determine the customs value of such goods on a reasonable basis consistent with sub-sections (2), (8), (9), (10) and (11).

(13) Notwithstanding anything contained in sub-sections (10) and (11), if the importer requests to determine the customs value by adopting the procedure under sub-section (11) before sub-section (10), the Customs Officer may determine the customs value under sub-section (11).
Customs Act, 2007

Amended by Finance Act, 2018.(14) Notwithstanding anything contained elsewhere in this Section, if, for personal purposes, goods imported under the information relating to personal use goods Amended by Finance Act, 2019.allowed to be brought and taken by a passenger, or goods imported as gifts or samples from a foreign country, or relief materials, the owner of such goods submits an application stating the reason that the transaction value cannot be disclosed and requests for valuation, and if the Customs Officer deems such reason appropriate, or if the goods are presented without value being disclosed, he/she may determine the estimated customs value of such goods.

(15) If the value declared by the importer under sub-section (3) is less than the customs value determined by the Customs Officer under this Section, the Customs Officer may in respect of such goods do the following:-

Amended by Finance Act, 2023.(a) if the goods are liable to customs duty, levy fifty percent additional customs duty on the amount of such shortfall, or if the goods are not liable to customs duty but only to agricultural reform fee or excise duty, levy fifty percent additional agricultural reform fee or excise duty and clear such goods, or

(b) Omitted by Finance Act, 2018 purchase or cause to purchase such goods by paying the importer the amount resulting from adding five percent of the declared value.

(16) When fixing the customs value of goods under this Section, it shall generally be in foreign currency. If the valuation of goods on which duty is payable, in the case of import, is in foreign currency, conversion into Nepalese rupees shall be made Amended by Finance Act, 2018.on the basis of the selling rate of foreign currency fixed by Nepal Rastra Bank on the day the declaration form for such goods is registered at the Customs Office or received at the Customs Office through the computer system. In the case of foreign currency for which the exchange rate is not fixed by Nepal Rastra Bank, conversion shall be made on the basis of the selling rate of the US Dollar resulting from converting such foreign currency into US Dollars. Provided that, in converting the customs value of goods previously imported under diplomatic privilege, concession facility or full or partial duty exemption and later duty payable, into Nepalese rupees, conversion shall be made on the basis of the selling rate of foreign currency fixed by Nepal Rastra Bank on the day the remaining duty is paid.
Customs Act, 2007

Added by Finance Act, 2018.(17) Notwithstanding anything contained elsewhere in this Section, if the method or procedure mentioned in this Section is not suitable while the Customs Officer determines the customs value under this Section, or if there is reasonable cause to believe that the value is suspicious, the Director General may order to re-determine the value of such goods under this Section.

(18) Upon receiving an order under sub-section (17), the Customs Officer shall, after making necessary inquiry, re-determine the customs value within thirty days and inform the Director General.

(19) While giving an order under sub-section (17), the Director General shall do so within ninety days from the date of clearance of such goods.

(20) If a Customs Officer suspects that any importer has imported goods by over-invoicing, he/she may forward the matter to the concerned body for necessary investigation and action under the prevailing federal law. 14. Power to Determine Provisional Customs Value: (1) Notwithstanding anything contained elsewhere in this Act, in the following circumstances, the Customs Officer may determine a reasonable provisional customs value of imported goods subject to Section 13:-

(a) if the importer submits an application stating a reasonable cause that the documents and other information required for the valuation of the goods cannot be made available immediately,

(b) if the customs value can or shall be determined only after laboratory testing or other inspection of the goods, or if further inquiry appears necessary regarding the documents and information provided by the importer.

(2) After the provisional customs value is determined under sub-section (1), if the importer wishes to take delivery of the goods by depositing the duty payable on such goods as security, the Customs Officer shall clear such goods.

(3) Within thirty days from the date of provisional valuation under sub-section (1), the Customs Officer shall determine the customs value of such goods under Section 13.

(4) If the customs value determined under sub-section (3) is more than the provisional customs value determined under sub-section (1), the Customs Office shall recover the duty on the increased amount from such importer, and if it is less, the excess duty collected shall be refunded to him/her. 15.