Vegetation of the four different sites viz. regenerating sal plot, plantation plot, degraded plot and mixed broadleaved plot of Bokshe Community Forest of Panchkhal was compared in order to identify the species most potential for rehabilitating degraded red clay soil of the lower Midhills in Kabhrepalanchok District in Nepal. Amongst the trees, the IVI for Shorea robusta was the highest. Shrubs such as Phoenix humilis [ P. loureirii ], Rhus parviflora, Phyllanthus emblica and Symplocos sp. were highly abundant in the area. Out of the 31 herb species recorded, Heteropogon contortus had the highest density in the three plots. The greater abundance of species especially in the much exposed and poor sites might indicate the criteria for their selection for the rehabilitation of degraded red soil.