The department, which has been investigating into a total of 518 cases in one of the largest VAT evasion scam in the country, has completed investigation into a total of 435 cases assessing the total tax and penalty of around Rs 4 billion by Thursday.[break]
“Though we had set the target of completing investigation into 49 cases during the month, we completed investigation into just 22 cases until Thursday,” Tanka Mani Sharma, director general of IRD, told Republica on Monday. “However, we are confident of completing investigation within the stipulated timeframe.”
Of the remaining 83 cases, 77 are to be settled by the Large Tax Payers Office.
During the investigation, the department realized Rs 140 million in tax and fine from the concerned tax payers. Similarly, Rs 770 million has been collected as deposit from those applying for the administrative review of cases settled by the IRD.
“We have already made full and final settlement on 26 of the 54 applications. We plan to wrap up investigation into all 518 cases by mid-Feb,” added Sharma.
A couple of weeks ago, Finance Minister Barsha Man Pun had expressed commitment to complete the ongoing investigation into fake VAT billing scam by mid-Feb, 2012 -- four months later than the earlier target.
Sharma had already announced timeline for settling the cases. The department plans to complete investigation into 49 by mid-Dec, 41 cases by mid-Jan and 15 cases by mid-Feb.
Investigation officials said complicated nature of cases and huge transactions have made probe into the cases more time consuming.
Inland revenue collection up 19%
The Inland Revenue Department mobilized Rs 27.79 billion through its offices across the country over the first five months of the current fiscal year, 19 percent more than what it had collected during the same period of fiscal year 2010/11.
“The department collected Rs 5.82 billion during mid-Nov to mid-Dec alone - a rise of 21 percent compared to the collection in the same period of last fiscal year,” said Sharma.
During the month, the department collected Rs 1.97 billion as income tax, Rs 2.03 billion as VAT, Rs 1.79 billion as excise duty and Rs 30 million as education tax.
Govt takes action against 147 shops
The department has initiated action against 147 shops across the country, including Kathmandu Valley, for flouting Excise and Liquor Act. The IRD has launched sweeping, monitoring and action against shops that among others are ignoring the IRD´s repeated calls to arrange separate outlets for liquors and groceries.
According to Sharma, the department sealed 24 shops, seized liquor from 102 shops and slapped fine of Rs 10,000 each on 21 shops over the past 10 days.
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