Kathmandu: Lawmakers have demanded the government revisit the taxes imposed on the import of electric vehicles (EVs).

Last Friday, 38 members of parliament wrote to Finance Minister Janardan Sharma to draw his attention over taxes that the government is levying on imported EVs. Through the budget for the fiscal year 2022/23, the government has imposed import duty and excise duty on EVs with higher capacities.

In the revised rate, EVs of up to 100 kW do not have to pay any taxes. According to the Finance Bill, a 30 percent excise duty will be charged on vehicles fitted with 100-200 kW motors.

Similarly, the government will impose 45 percent excise duty on the import of electric vehicles equipped with motors of 201-300 kW capacity. The excise duty has been maintained at 60 percent for electric vehicles with a motor capacity of more than 300 kW.

Earlier, the then Finance Minister Yubaraj Khatiwada of the KP Oli-led government was heavily criticized for slapping excise duties on EVs of 30-80 percent depending on their capacity. Later, the government abolished the excise duty and slashed the customs duty on EVs, aiming to boost domestic consumption of electricity.