Kathmandu. Finance Minister Dr Swarnim Wagle has directed the government to pay special attention to control leakage and deteriorating rhythm of revenue collection. He said this while addressing the annual revenue review meeting held at the Ministry of Finance on Monday.
Stating that the targets, timelines and objectives for revenue collection for this fiscal year are clear, he directed the officials of the customs and revenue administration to work with a keen eye.
He also directed to advance the revenue collection target for the new fiscal year in mission mode. “Looking at the past statistics of tax collection in Nepal, there are a lot of complaints about the deteriorating rhythm of revenue collection and leakage. This is no longer tolerable. You are clear on the target, dateline and objectives of revenue collection,” said Finance Minister Dr Wagle. Collect taxes by encouraging the taxpayer, not by taxing them. ’
Stressing on the need to make the tax collection target scientific, he said that the tax administrators responsible for tax collection should come out of a favourable environment and focus on reality. “Tax administrators, step out of the comfort zone, emphasize on scientific and realistic,” said Finance Minister Wagle. If you are honest and hard, you will be encouraged, if you do wrong, you will be punished. ’
Minister Wagle said that the state was ready to provide all kinds of resources to the tax administrators on customs, revenue and inland tax side to achieve the revenue goals of the government.
He also directed them to increase public awareness to bring citizens under the tax net, to implement the discount scheme announced by the government and to effectively implement taxpayer incentive gifts.
On the occasion, he directed the Department of Customs and Inland Revenue to emphasise the use of technical equipment to prevent tax evasion. He also directed the Department of Customs to install vehicle scanner machines in all 14 customs offices within three months.
“Director General of the Department of Customs, move forward to install vehicle scanners at 14 major border points. Tell us from the ministry what kind of assistance is needed,” he said.
He also directed the offices to repair and bring into operation the damaged scanner machines.
He also urged the government to carry out micro-monitoring of the areas where customs and tax are leaking and to bring them under the tax net by teaching them the system and not by intimidating them.
Speaking at the event, Finance Secretary Dr. Ghanashyam Upadhyay directed the subordinate officers to identify the reasons for the decline in various areas of tax and revenue. Stating that there were some mismatches in the statistics of economic activities and tax and revenue seen outside, he urged the government to look into the weaknesses and rectify them.
Chief of Revenue Division and Joint Secretary Uttar Kumar Khatri made a presentation on the past, present status of revenue collection and challenges to achieve targets for the coming fiscal year.
On the occasion, Director General of the Department of Customs, Yamlal Bhusal, presented the revenue targets achieved by the Department last year and the status of achievement as well as the plan to achieve the target for the coming year.
Similarly, Deputy Director General of the Inland Revenue Department, Janak Raj Sharma, said that the Department was working to implement the revenue exemption scheme and tax incentive program announced by the government.
