KATHMANDU: The Kathmandu Metropolitan City (KMC) has introduced a tax incentive to encourage the construction of dedicated commercial parking facilities within the city.
Under the Economic Act 2083, developers who construct buildings exclusively for commercial parking purposes will receive a 100% exemption on property tax for 10 years from the date the building is completed.
The incentive is part of the metropolis’ efforts to address the growing shortage of parking spaces as vehicle ownership continues to rise in the capital.
KMC believes the tax waiver will encourage private investment in multi-storey parking facilities and help ease parking congestion in busy commercial areas.
At present, Kathmandu faces a significant shortage of public parking spaces. While many commercial buildings include basement parking, the existing capacity is insufficient to meet increasing demand.
The metropolitan government expects the new policy to support the development of dedicated parking infrastructure and improve urban traffic management across the city.
