Simple dwelling in Bhutan (3)
I believe the answer is:
hut
'simple dwelling' is the definition.
(I've seen this in another clue)
'in bhutan' is the wordplay.
'in' says the answer is hidden in the clue.
'HUT' is hidden within 'bhutan'.
(Other definitions for hut that I've seen before include "Small roughly-made house or shelter" , "Small building or shelter" , "Peter Nissen's ubiquitous structure" , "Simple building" , "Small shed for storing, say, garden tools" .)