Blog from Techpana on Why is the Internet So Costly in Nepal? The Short Answer is “Exorbitant Taxes!”
The government levied Telecommunication Service Charge (TSC) on use of internet effective from the start of the current fiscal year. This 13 per cent TSC on internet is in addition to the existing 13 percent Value Added Tax (VAT). The decision to increase tax met with severe criticism from users and stakeholders. Stakeholders like the Internet Society Nepal, Freedom Forum, ISP Association of Nepal (ISPAN) raised the issue formally and end-users took to social networking sites to criticise the government move.