In 2007, Nepal became one of the leading LGBTQ countries with holding Supreme court ruling in 2007, that would allow same-sex marriages and grant transgender people the right to gender affirming care.

Nepal is waiting for a final decision by its supreme court, but meanwhile all local governments are ordered to temporarily register same-sex marriages in a separate record. In April 2024 the National ID and Civil Registration Department issued a circular to all local governments that they register such marriages. However, simply being registered does not grant same-sex couples the legal rights of marriage, and registered same-sex couples cannot inherit property, get tax subsidies, make spousal medical decisions or adopt children, etc.

In Nepal, there are no laws restricting the discussion or promotion of LGBTQ+ topics.

Section 12 of the Constitution of Nepal (2015) was written in such a way that requires the Nepalese Citizenship Certificates to include gender identity (as opposed to just gender). This provision only applies to the first Nepalese Citizenship Certificate issued, not to an already-issued certificate. However, the decision of Sunil Babu Pant, Anik Ranamagar and others v. Government of Nepal (2017), ruled that existing citizenship certificates should also be amended.
Nepal began issuing passports with “third gender”/“O” markers, after the Supreme Court decision Dilu Dibuja v. the Ministry of Foreign Affairs (2017) ordered that a transgender person should be given a passport that matched their Nepalese Citizenship Certificate.
In 2019, Nepal’s House of Representatives proposed a bill to amend the Citizenship Act that would impact the rights of trans persons. The bill proposed an onerous proof of "sex change" as a requirement for a person to obtain a change of gender marker on their Nepalese Citizenship Certificate. This goes in contradiction with the above Supreme Court cases.
In addition, many transgender people who have applied for a gender change have been able to see their gender marker changed on behalf of the civil status.

In 1988, Nepal legalized sterilization, which de facto meant legalizing sex reassignment surgery, however, medical records regarding transsexualism had to be obtained abroad.

A third gender category for citizenship documents was introduced in 2013 and Nepal began issuing passports with the ‘others’ category two years later.

Section 18(3) of the Constitution of Nepal (2015) explains that the State shall not discriminate against, inter alia, “sexual minorities”.

There is no protections against employment discrimination in Nepal

Intersex persons are not protected from violations to physical integrity and bodily autonomy. A 2016 book of personal stories by intersex people from Nepal identifies a range of bodily autonomy and health issues, including "Intersex genital mutilation as a growing practice and lack of information and access to reproductive health information or care" and "Lack of access to necessary health care for those experiencing health difficulties as a result of their intersex variation".

No specific ban or deferral period for LGBT people.

Nepal statutory rape law is violated when an individual has consensual sexual contact with a person under age 16. This law is applicable to both heterosexual couples, and homosexual men. There is no age of consent for homosexual women.