Prithivi Narayan Shah called Nepal as a Garden of 4 Caste and 36 Sub castes. Nepali is ethnically diverse and complex. The Khas people have placed themselves at the top of the social hierarchy and became Thagadari. Thagadi are the wearers of holy threads on their body. Below Thagadari, there was three other group: Matwali (alcohol drinkers), impure but touchable castes and impure and untouchable castes.
Some of the surnames were created due to government positioning and some of them were created from the name of villages. Adhikari, Karki, Bhatta, Bhandari, Thapa, Khadka, Buda, Lekhak, Rana, Rokaya and Basnet are the castes that were created from the government positioning.
Similarly, the surnames that were created from the name of Karnali's village are Dhital, pandey, Sinjapati, Chaulagain, Pyakurel, Simkhada, Ghimera, Devkota, Dhungana, Dhakal, Bajgain, Rimal, Dhamala, Chalise, Baral, Kuikel, Lamsal, Regmi, Kharel, Subedi, Baniya, Gajurel, Niraula, Ojha, Khanal, Khatiwada, Lamichhane, Baskota, Bastola, Luitel, Chapagain, Nepal, Rijal, Pokhrel, Dahal, Parajuli, Koirala, Bhusal and others.