4.2 Sources of Government Revenue

(The complete ledger — classify, then instance from Nepal.)1. Tax revenue (the bulk): - Direct: personal and corporate income tax (Income Tax Act 2058 (2002) — cite without sections); withholding at source; capital gains; - Indirect:VAT (VAT Act 2052 (1996) — the modern consumption tax: the invoice-credit method, the registration threshold, and the bill culture's long Nepali campaign); customs duties (Customs Act 2064 (2007) — tariffs as revenue and protection); excise (on alcohol, tobacco, fuel, and the service- fee schedules — the sin-and-luxury taxes); - Property-linked: registration (deed) fees, land and house-and-land taxes (the local governments' base — the federal point), vehicle taxes, capital- gains on land;2. Non-tax revenue: fees and charges (services, licences, court fees — the lawyer's daily tax), dividends and profits from public enterprises (NEA, NTC — where they profit), fines and penalties, royalties (hydropower, mines, forests — the resource rents), contributions;3. Grants (foreign grants — the development budget's historical leg; now shrinking);4. Borrowing (deficit finance): domestic — treasury bills (short), development bonds (long), the NRB-MoF auctions (Unit 2.3A); external — concessional loans (IDA, the bilateral lenders — Unit 3.4); the borrowing that is revenue's supplement and debt service's tomorrow (the sustainability question of ECO-I 5.5);5. The federal layer (Nepal's addition): the revenue-sharing design — the federally collected pool shared with provinces and locals (the royalties' sharing,…