Enlistment of an E-Commerce Business in Nepal: Guide 2026

A. Introduction:

The Government of Nepal has introduced the Electronic Commerce Act, 2081, to regulate, systematize, and ensure the credibility of commercial transactions involving goods and services conducted through electronic platforms. This article explains the applicability of the E-Commerce Act, the procedures for the enlistment of an e-commerce business, the information required to be displayed on an electronic platform, and other key compliance requirements.

B. Governing law and applicability:

The primary law governing in relation to the Electronic Commerce (“E-Commerce”) is Electronic Commerce Act, 2081 (“E-Commerce Act”).

The E-Commerce Act is applicable to a firm, company or institution that prepares a list of goods or services owned by it and sells such listed goods or services directly to consumers through an electronic platform.

C. Governing Authority:

The Department of Commerce, Supplies and Consumer Protection (“Department“).

D. E-commerce:

E-Commerce means the process of buying or selling any goods or services through an electronic platform except a platform used for the purpose of providing information about or promoting goods or services.

E. Electronic platform and required information:

The Electronic Platform means a system developed for the purpose of conducting transactions of goods or services through the collection, transmission or storage of information using websites, applications, software, internet, intranet or marketplace of social media through the use of electronic devices such as computers, mobile phones or similar devices.

Businesses intending to engage in e-commerce are required to display the following information on their electronic platform:

  1. Name of electronic platform;
  2. Name of business, Address, registration certificate number;
  3. Details of the registered office, head office and branches or outlets of the business entity, if any;
  4. In the case of a license obtained for conducting any specific type of business, the details thereof;
  5. Specification as to whether the business is of an intermediary or list-based electronic commerce;
  6. PAN/VAT number;
  7. Contact Details and mobile number for customer service;
  8. Email address, telephone or mobile number and address of the person or unit responsible for handling grievances.

F. Procedures of enlistment of the E-commerce Business:

The following procedures must be followed to enlist an e-commerce business in Nepal:

 

Step 1: Registration of the Company at the Office of Company Registrar (“OCR”);

Step 2: Registration of tax (PAN/VAT) at the Inland Revenue Office (“IRD”);
Step 3: Business Registration at the concerned ward office;

Step 4: Establishment of Electronic Platform;

Step 5: Submission of an application for enlistment at the Department; and

Step 6: Obtain the E-Commerce Enlistment Certificate from the Department.

G. Intermediary Business Entity and Liabilities:

“Intermediary Business Entity” means a person, firm, company or institution that facilitates the sale of goods or services of a seller to a purchaser through an electronic platform.

Liabilities of the Intermediary Business Entity are as follows:

  1. Accurately and clearly display details of goods or services offered for sale and trade only in those listed on the electronic platform;
  2. Maintain transaction records for the period prescribed under applicable tax laws;
  3. Ensure compliance with any warranty or guarantee provided for goods or services sold;
  4. Refrain from unfairly discriminating among sellers or giving undue preference to any seller offering similar goods or services, unless any special treatment or promotional arrangement is clearly disclosed to buyers on the platform;
  5. Enter into an agreement with each seller before listing their goods or services on the electronic platform; and
  6. Facilitate the return, replacement, exchange, or refund of goods or services in accordance with applicable law.

H. Listed E-Commerce Business Entity and Liabilities:

“List-Based Electronic Commerce Business Entity” means a firm, company or institution that prepares a list of goods or services owned by it and sells such listed goods or services directly to consumers through an electronic platform.

 

Liabilities of the List-Based Electronic Commerce Business Entity are as follows:

  1. Clearly display complete details of the goods or services (including price, specifications, delivery timeline, return policy, etc.);
  2. Publish all required legal information on its website or app;
  3. Not post fake reviews or pretend to be a customer;
  4. Not mislead customers through false advertisements;
  5. Keep proper records of all sales for tax purposes;
  6. Deliver the product or service on time (unless there is an emergency or unavoidable situation) and also accepts return or cancellations if the goods are defective or damage;
  7. If a warranty or guarantee is provided, comply with its terms throughout the promised period;
  8. Accept return and give a refund if the product is defective, different from what was shown, or delivered late; and
  9. Sellers are responsible if they have promised that the products are genuine/authentic but it turns out not to be authentic/original.

I. Seller and Liabilities:

“Seller” means a person, firm, company or institution that makes goods or services available for sale to the intermediary business entity in accordance with this Act and the term also includes a business entity engaged in list-based electronic commerce.

Liabilities of the Seller are as follows:

  1. Enter into a written or electronic contract with the intermediary business entity prior to making any goods or services available for sale through the electronic platform of such intermediary;
  2. The seller must provide documents proving their business is legally registered, full name, address, PAN/VAT, rules for exchange, return, or refund of goods or services;
  3. To provide the intermediary business entity with the information for each goods or services to be sold through the electronic platform;
  4. Except in cases of force majeure, to deliver the goods sold or provide the services within the predetermined time;
  5. Not to engage in any form of unfair trade practice while making goods or services available for sale through an intermediary business entity or in any other circumstance;
  6. If the goods or services are different from what was shown or agreed, delivered late, or found to be defective, the seller must accept return or cancellation. If the goods or services are different from what was shown or agreed, delivered late, or found to be defective, the seller must accept return or cancellation; and
  7. Not to post or cause to be posted any review, rating or feedback regarding the quality or features of any goods or services listed for sale on the platform by impersonating oneself or any other person as a fictitious consumer.

J. Transportation of the Goods:

If there is a contract to deliver or transfer of goods or service to a designated person, place, and time as specified by the buyer, the liability to deliver or transfer such goods or services shall lie with the business entity.

For the purpose of delivery or transfer of goods or services, the business entity may enter into a separate contract with a delivery service provider.

K. Are online transactions considered legally valid contracts under this Act?

Yes. Any transaction of goods or services conducted electronically between a buyer and a business entity (or seller) is automatically deemed a valid contract under E-Commerce Act, and both parties are required to fulfill the obligations arising from it.

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