July 18, 2019 08:27 AM NPT
Private sector leaders skeptical about effective implementation
KATHMANDU, July 18: The government has brought Internet-based vehicle and consignment tracking system (VCTS) into implementation.
Minister for Finance, Yuba Raj Khatiwada, inaugurated the modern system amid a ceremony in Kathmandu on Wednesday. With the enforcement of the tracking system, all transportation companies, importers or entrepreneurs must have to make entry of their goods and consignments in a centralized website before transportation of goods from one destination to another inside the country.
Revenue investigation officials say that the digital measure is aimed at combating revenue leakage. However, the Internet-based entry will be required only for wholesale entrepreneurs.
The system, which will also be linked with the customs, will track all parties involved in business activities - ranging from importers to consumers, according to officials.
With the implementation of the tracking system, the Department of Revenue Investigation (DoRI), importers and entrepreneurs will be able to get real-time update of the movement of their consignments.
The department has also said that the tracking system will ensure greater transparency in import business, check smuggling of goods and discourage the use of fake Value Added Tax (VAT) bill, among others. With the implementation of the new system, the DoRI will remove its all 10 check-posts across the country.
While officials say that the VCTS is beneficial for truckers and entrepreneurs as it will end the hassles emanating from manual checking of documents during transportation, private sector leaders say that they need some time for adaptation to the new system.
“Nepal does not have a reliable Internet system yet. So, the immediate and full-fledged implementation is doubtful,” said Umesh Lal Shrestha, former President of Association of Pharmaceuticals Producers (APPON), urging the government to roll out the system in a gradual way.
However, the government has made the system mandatory. The department has warned that it will fine up to Rs 50,000 for those who violate the provision of mandatory entry of consignments in the website after three months of the new system coming into operation. However, the second time offender of the rule will face a fine of up to Rs 100,000.