Currently, Inland Revenue Department (IRD) has been functioning as excise administrator. But despite occupying 13 percent share in total government revenue, IRD acknowledges the volume of excise leakage is still high and it has been pushing for the formation of a separate body to oversee collection of excise duty.[break]
"We have already initiated work on organizational and managerial structure for forming a new excise department. Once it is set up, we will be able to effectively plug leakages seen in excise revenue and also deliver due services to the taxpayers," said Finance Minister Barsha Man Pun.
Pun also said the Ministry of Finance (MoF) has formed a task force to draft clear provisions on Property Tax so that the government can maintain database of individual´s property, announce property declaration scheme, review property tax, including its rates. He also reiterated his commitment to take stringent actions against fake VAT racketeers and plug all forms of revenue leakages.
Earlier, issuing instructions to the government secretaries Minister Pun asked Inland Revenue Offices, which are investigating a total of 518 firms identified of producing fake VAT bills to evade taxes, to complete their investigations within mid-October.
"So far, investigations of 292 firms have been completed and we have slapped tax and fine of Rs 3.12 billion against them," said Pun.
Minister Pun also issued strongly-worded instructions to all government secretaries, particularly on efficiently and timely spending of the capital budget.
Referring to his past, when he served as a senior commander in ´Maoist army´, Pun said, "I am a man of army background. For me it is either yes or no. There is no room for ifs and buts. If you face problems in implementing the development programs, tell me. I will address them. I will not tolerate apathy in implementing the development programs."
Pun expressed concerns over embezzlement of developmental grants given to local bodies by all-party committees.
"Though these committees have members from our party too, we have to admit such shameful activities have been going on for many years," said Pun, and urged senior officials at the Ministry of Local Development to make those committees accountable.
He also asked the local bodies to spend the money on the ground and implement the said development project. "People must be able to see and feel the development works," he stated.
Pun also asked all government agencies to pro-actively work to deliver relief programs as promised by the Prime Minister and comply with the austerity measures.
As a part of the compliance, Pun said he has already approached the Chief Secretary and requested him to sell off expensive vehicles provided to the Finance Minister and get cheaper ones for him and his officers.
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