Economists advise govt not to change tax rates

KATHMANDU, JULY 08:

Economists have urged the government not to change the tax structure in the budget for fiscal year 2013-14. Current government is an election government, so it must follow the principle of ‘no taxation without representation’, they said during a pre-budget discussion with finance minister Shankar Koirala, today.

The government should not change tax rates, said prof Dr Madan Kumar Dahal. “The government must prioritise agriculture sector for the country’s growth,” he said, adding that commercialisation of agriculture sector is a necessity. Cooperative farming can be a good step to reduce imports and accelerate exports, he added.

Similarly, Dr Bhawani Prasad Dhungana urged the government to continue with pro-people projects of former governments. “The budget should focus on solving problems of private sector,” he said. He also urged the government to create a better industrial environment and reduce labour disputes.

Prof Dr Govind Prasad Nepal said the new budget should open the door to cooperative sector investment in hydropower. “Cooperatives should be promoted to build hydro projects of below three MW.”

Source: THT