National Assembly Passes the Cattle Tax Exemption Bill 2024
Before the endorsement of the Cattle Tax Exemption Bill, 2024, a Member of the Economic and Finance Committee presented the reformulations made to the Bill as directed by the House. The House endorsed the changes as proposed through show of hands.
The Member In-charge of the Bill, the Minister for Finance, then moved the motion to adopt the Bill. The House passed the Bill with 38 Yes and 3 Abstention, out of 41 members present and voting.
The Bill seeks to waive the cattle tax currently applied to various livestock, including mithun, cow, yak, buffalo, horse, donkey, goat, and sheep. The exemption bill stems from an oversight in the drafting of the Property Tax Bill 2022, which did not account for livestock as movable property. The exemption aims to ease the financial burden on farmers, encourage investment in livestock rearing, and bring wider economic and social benefits to rural communities. With minimal revenue generated by the cattle tax, its removal is expected to have negligible fiscal impact on local governments while promoting sustainability and growth in agricultural sectors. This move also addresses concerns from local governments regarding the collection of the tax under the new Property Tax Act.
