Nepal Investors’ Forum claims that the stock market is going back to paper based transactions instead of paperless transactions

Nepal Investors’ Forum released a press release in response to the provisions made for the settlement of share purchases post the implementation of weightage average price on Capital Gain Tax.

Last year, concerned authorities from SEBON, NEPSE, CDS and Clearing, Brokers’ Association and Nepal Investors’ Forum came together with the final decision to calculate the Capital Gain Tax based on weighted average price. In the same process, Nepal Government had assured all the transaction details of investors had been installed in the computerized system of CDS and Clearing as well as the brokers.

CDS and Clearing Limited has directed the Stock Broker Association of Nepal to instruct the investors to fill CGT form after determining the weighted average price of the investment and based on that make entry in the settlement system of CDS. However, now that the stock market has gone towards online and digitization, Nepal Investors’ Forum claims this step will further take stock market to paper based system. Investors outside the country and outside the valley can’t be able to visit broker houses. The forum expresses its dissapointment as such lack of market infrastructures will result inconvenience to investors.