Nepal's recently announced budget includes various tax incentives to boost sectors like technology, green energy, and digital payments. Notable measures include income tax and electricity charge waivers for businesses in the IT sector, a 75% income tax waiver for IT service exports, and complete income tax exemptions for start-up enterprises. To promote green energy, tax exemptions on machinery for green hydrogen production and a five-year income tax holiday for green hydrogen producers have been introduced. The government has also removed VAT on digital services for property management and expanded the scope of digital tax services. Additionally, customs duties have been adjusted, with reductions in taxes on sugar and increases in duties on imported alcohol. The budget also raises excise duties on cigarettes while introducing new taxes such as a 2% luxury tax on gold jewellery sales and increased taxes on dog and cat food and cement. The overall sentiment towards the budget is positive, focusing on incentivizing key sectors and promoting digitalization.