IRD marks Sixth National Tax Day

Kathmandu, November 17

Senior government officials have emphasised on the need for effective implementation of tax laws, widening the tax net and efficient revenue mobilisation.

Addressing a programme organised by the Inland Revenue Department (IRD) on the occasion of the Sixth National Tax Day, Chief Secretary Lok Darshan Regmi said the tax net should be widened to increase the number of sources for domestic resources to carry out development activities.

Regmi said that the base of value added tax (VAT), income tax and excise should be widened to manage domestic resources. “The role of tax revenue is valuable in resource mobilisation. So, the tax bracket should be increased to help carry out more development works,” he stated.

Highest taxpayers

Individual income tax: Siddhartha SJB Rana, chairman, Sipradi Group of Companies

Trading: Sipradi Trading

VAT contributor: Pawan Kumar International

Industry: Himal Power

Corporate income tax: Surya Nepal

Small-scale income tax: Dr Upendra Devkota

Medium-scale income tax: Gorkha Dev Bank

Agro-based industry: National Seed Company

Exporter: Verscend Technology

Bank: Himalayan Bank

Cooperative: National Cooperative Bank

Health and Education Sector: Triyog Higher Secondary School

Tourism: Tiger Tops

Insurance: Nepal Reinsurance Company

Information technology: WorldLink Communications

He also emphasised that the tax administration needs to win the trust of taxpayers to enhance the sources of revenue. “A taxpayer-friendly environment is very important for tax collection. Tax officers have to behave in a cordial manner with taxpayers and win their trust,” Regmi added.

Similarly, Finance Secretary Shankar Prasad Adhikari said that the government is facing challenges of resources in implementing the federal system and achieving the goals set in the constitution. “The tax base needs to be widened but further still the current tax system has to be improved to create an investor-friendly environment in the country.”

Revenue Secretary of the Ministry of Finance, Shishir Kumar Dhungana, said there is still room for improving the domestic sources of revenue and the tax authority needs to work on this in the future. “We do have a strong tax base, however, we still need to make improvements in many areas. The tax authority must take it seriously to strengthen the tax net and federal economic system,” he stated.

On the occasion, Kishor Jung Karki, director general of IRD, expressed commitment to improve the tax policies and taxpaying environment. He also said that he would emphasise on technical reforms at the IRD and tax offices that are functioning under it.

“The tax offices and officials will be more transparent, responsible, technology-friendly and taxpayer-friendly in the future. We are committed to reform our system according to the federal system adopted by the country,” he informed.

The tax authority also felicitated the highest taxpayers on the occasion of the National Tax Day.