Kathmandu, Nov. 17: Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel has said that the foundation of prosperity of the nation will be determined only by the taxes collected from the people and their proper utilisation.

Speaking at a function organsied by the Inland Revenue Department on the occasion of National Tax Day, DPM Paudel pointed out that paying taxes to the state is a matter of pride as well as a duty for citizens and instructed the tax administration to collect real taxes.

He stressed on the need of making the tax system modern, reduce tax participation cost of taxpayers, and develop technology-friendly human resources.

DPM Paudel said that it is necessary to take more proactive measures to expand the scope of taxes, to create a taxpayer-friendly environment, to enhance the quality of taxpayer services, to increase voluntary tax participation, and to prevent tax evasion and leakage.

He instructed officials to take more action for effectiveness in service delivery by reducing time and cost while expanding the use of information technology and maintaining its quality and sustainability.

DPM Paudel said that although the size of the economy has increased due to the expansion of economic centres, spending units and economic activities, the economy has not been able to grow in accordance with the ratio in which revenue collection should be increased.

Stating that when comparing the goals and progress of assigned performance indicators, the state of progress was not found to be satisfactory, Finance Minister Paudel directed to further improve the level of performance as the progress of arrears recovery, arrears clearance, internal and administrative review is not in line with the target.

Referring to the unusual situation in terms of resource management, DPM Paudel said that it is not possible to meet the target by carrying out work in a routine way. 

He said that it is necessary to carry out the work with the same goal to achieve the revenue target, achieve the progress according to the performance indicators and fulfill the departmental responsibilities.

“Citizens’ expectations towards the government are increasing. The pressure on resources has increased due to social security, development works, implementation of federalism and other mandatory obligations. As the world economy is under pressure recently, there has been no significant improvement in the mobilization of external aid. Public debt servicing expenses are increasing. In such a situation, I would like to draw special attention to the fact that it is mandatory for us to mobilise internal resources effectively, and I would like to urge you to carry out the work in a responsible manner,” said Paudel. He urged the private sector to play its expected role in the government’s campaign to fulfill the national aspirations of development and prosperity by increasing tax participation.

“The first tax authority is the taxpayer himself. Therefore, to contribute to increasing the effectiveness of the self-tax assessment system, calculate and file the tax levied according to the law. This will reduce the cost not only of the tax administration but also of the taxpayer himself. It also promotes competition by bringing transparency in economic and business activities,” said Deputy Prime Minister.

Stating that both taxpayers and tax administration should be equally responsible to increase tax participation in an encouraging and voluntary manner, he congratulated the taxpayers and employees who were awarded and honoured on the occasion of Tax Day.

Nepal Telecom best taxpayer among companies, Raj Bahadur Shah among individuals

Inland Revenue Department (IRD) has honoured the outstanding taxpayers. 

On the occasion of the National Tax Day, 2081, Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel honoured the ‘best taxpayers’ from various sectors who paid the most taxes in the fiscal year 2022/23 on Saturday.

Nepal Telecommunication Company Limited has been honoured for being the highest taxpayer in the fiscal year 2022/23 under the institutions category.

Similarly, Raj Bahadur Shah was recognised as highest income taxpayer under the individuals category.

Likewise, Shruti Traders has been honoured for paying highest income tax among the single firms.

Dabur Nepal has been honoured as best taxpayer under goods export business category, Codavatar Tech under information technology service export category and Patanjali Ayurved under the agriculture and livestock category.

Similarly, Nabil Bank Limited has been honoured as the company that paid the highest income tax among the banks and financial institutions and insurance business category.

Lumbini Medical College and Teaching Hospital Limited under the health and educational institutions category, Taragaon Regency Hotel Limited under tourism business category and Bhatbhateni Super Market and Departmental Store for goods trading companies category have been honoured as the best taxpayers.

The CDS and Clearing Limited has been honoured as the best taxpayer among companies with an annual turnover of Rs. 500 million to Rs. 1 billion. 

The IRD has honoured the City Express Money Transfer as the highest taxpayer under the remittance and money transfer companies and Bhotekoshi Power Company under the energy industries category.

Honghsi Shivam Cement has been honoured by the government as the company that paid the most value added tax regularly and the most during the specified period from July 17, 2018 to July 15, 2024.

Soaltee Enterprises has been honoured as the highest taxpayer among the companies with an annual turnover of up to Rs. 500 million while Varun Beverages has been honoured as highest taxpayer under special industry category.