IRD serves show-cause notice
KATHMANDU, April 12:
Inland Revenue Department (IRD) has served show-cause notice to 30 firms that were involved in fake Value Added Tax (VAT) bill scam.
“We have asked them to clarify their stand on our investigation,” director general at the department Rajan Khanal said, adding that the department is serving more firms the show-cause notice.
After their response, the department will start collecting VAT amount they had evaded earlier, he said, adding that VAT Act has fixed a provision of either cent per cent fine or six months prison or both punishment for VAT-evaders.
If not convinced with the department and Inland Revenue Office decision, the firms can go for administrative review.
The director general of the department is responsible authority to hear taxpayers complaint, if they want administrative review, according to the department.
“If taxpayers are not satisfied with administrative review, they can contest the decision with Revenue Tribunal that gives the final verdict.”
“As far as income tax is concerned, it will be collected by the concerned Inland Revenue Office (IRO) under Income Tax Act,” he added.
The department has forwarded the files to the concerned Inland Revenue Office (IRO) and Large Taxpayer Office to fix fines of income tax to these companies, Khanal said, adding that concerned IROs will write to those firms asking them to pay the income tax with fines.
The department has brought 30 firms suspected to be involved in VAT fraud under its scanner in the first phase. After the investigation, the firms have been found to be involved in fraud worth Rs 4 billion.
Source: THT
Inland Revenue Department (IRD) has served show-cause notice to 30 firms that were involved in fake Value Added Tax (VAT) bill scam.
“We have asked them to clarify their stand on our investigation,” director general at the department Rajan Khanal said, adding that the department is serving more firms the show-cause notice.
After their response, the department will start collecting VAT amount they had evaded earlier, he said, adding that VAT Act has fixed a provision of either cent per cent fine or six months prison or both punishment for VAT-evaders.
If not convinced with the department and Inland Revenue Office decision, the firms can go for administrative review.
The director general of the department is responsible authority to hear taxpayers complaint, if they want administrative review, according to the department.
“If taxpayers are not satisfied with administrative review, they can contest the decision with Revenue Tribunal that gives the final verdict.”
“As far as income tax is concerned, it will be collected by the concerned Inland Revenue Office (IRO) under Income Tax Act,” he added.
The department has forwarded the files to the concerned Inland Revenue Office (IRO) and Large Taxpayer Office to fix fines of income tax to these companies, Khanal said, adding that concerned IROs will write to those firms asking them to pay the income tax with fines.
The department has brought 30 firms suspected to be involved in VAT fraud under its scanner in the first phase. After the investigation, the firms have been found to be involved in fraud worth Rs 4 billion.
Source: THT
