IRD takes action against 288 firms

HIMALAYAN NEWS SERVICE

KATHMANDU: Inland Revenue Department (IRD) took legal action against 288 business firms that were avoiding

tax compliance in the last five months.

“Out of nearly 1,000 taxpayers, who had to clear more than Rs 1 million tax the department completed the action against 288,” director general of the department Tanka Mani Sharma said, adding that the department has targeted those firms whose dues exceed Rs 1 million.

IRD had asked them to clear their outstanding dues by June 15. Inland Revenue Offices across the country have been putting their effort to collect revenue dues from taxpayers, according to him.

It had started its drive to collect revenue dues from the beginning of 2012, he said, adding that the tax administration has still to collect around Rs 22 billion from different taxpayers.

IRD seized bank accounts, halted transaction and even decided to cancel export/import of those firms that had been avoiding their tax burden. He, however, said that the dues clearance drive could not get momentum since most of the cases are pending in various judicial bodies.

Of the total dues, the cases worth Rs 10 billion have been under the different judicial bodies, he said, adding that the department can collect the dues of those firms only after the final verdict from the judicial bodies like courts or revenue tribunals.

Sharma said that the Inland Revenue Department will collect around Rs 3 billion additional revenue compared to its target in the current fiscal year. “The department has a revenue target of Rs 95 billion,” he said. “But, it will mobilise some Rs 98 billion revenue by the end of current fiscal.”

The department has already mobilised Rs 82 billion revenue, out of its annual target Rs 95 billion, he said, adding that in last month (mid-June to mid-July) it will rise since most of the firms will clear their last installment.

Revenue mobilisation

KATHMANDU: The Finance Ministry — which has to mobilise Rs 30.81 billion revenue in a single month (mid-June to mid-July) to meet its target — is putting its last hour effort to meet revenue target, according to the ministry source. “The ministry will invite all concerned agencies responsible to mobilise revenue and direct them to work hard on meeting the revenue target,” he said, adding that the ministry, especially, put its effort to boost non-tax revenue mobilisation in the last hour.