Nepal Life paid 1 billion rupees to the government as tax on premium FPO, which will directly affect the next year’s dividend.
Kathmandu: Nepal Life Insurance Company has paid tax of 1.2 billion rupees to the government of Nepal. The court has ordered that the FPO of the premium must be taxed which is why the company has paid 1.2 billion tax on 15th of December, 2023 A.D without having to pay the penalty.
Nepal Life Insurance had issued 3 million 396 thousand 429 shares of FPO by adding premium of 1325 rupees to the shares of 100 rupees. From which the company collected a premium of 4 billion 102 million 768 thousand 425 Rupees.
When the company pays such a large amount of tax to the government, it seems to have a direct impact on the investors.