Efforts to widen tax net
Nepalgunj, April 12:
Efforts are being made to bring more industries and entrepreneurs within the tax net in the Karnali zone. The internal revenue investigation department at Nepalgunj has formed a committee to bring industries and entrepreneurs within the tax net by decentralising the tax system. The revenue coordination committee, which was headed by the internal revenue investigation department Nepalgunj (RID) has the chamber of commerce, federation of cottage and small scale industries and other offices related to the public revenue, as members.
Due to lack of knowledge about the tax system, few industries, entrepreneurs have taken up the practice of value added tax (VAT). Most of the people who have accepted the VAT practice are contractors. Efforts are now being made to include small businessmen also, said chief of the revenue investigation department Nepalgunj (RID), Chudamani Sharma. Karnali zone has 400 taxpayers, out of which only four to five persons are registered with the VAT, RID informed. There are 150 taxpayers in in Jumla and 70 in Humla. The number is uncertain in Dolpa, Mugu and Kalikot, Sharma said. They are all small taxpayers who have come within the tax bracket. Entrepreneurs doing business with capital less than Rs 1.2 million are classified as small taxpayers.
Although it is not possible to open office at the district level for decentralising the tax system, the process can be taken forward by keeping non-gazetted officer at the Kosh Tatha Niyantran
Karyalaya. Necessary action has been initiated in this direction, said Sharma. The newly-formed committee will soon start its job, he added. A general programme will be organised shortly in Nepalgunj.