SC bars local units from levying taxes, road usage fees from vehicles

KATHMANDU: The Supreme Court has issued an interim order directing all local governments not to collect taxes or road usage fees from vehicles operating on national highways, feeder roads, and postal highways.

A division bench of Justices Mahesh Sharma Paudel and Balkrishna Dhakal issued the order on February 11 while hearing a writ petition filed by Rajendra Bikram Baniya, president of the Federation of Nepal Truck Transport Entrepreneurs.

Baniya had filed the petition on September 7 last year, naming the Office of the Prime Minister and Council of Ministers and Jitpur-Simara Sub-metropolitan City, among others, as defendants. In the petition, Baniya argued that local units were unlawfully collecting road usage fees and taxes from vehicles.