Revenue jumps 20pc in first four months

KATHMANDU, DEC 07 -

Revenue collection jumped 20.87 percent to Rs 94.18 billion during the first four months of the fiscal year. The figure surpassed the target by Rs 140 million.

According to the Finance Ministry, collection of customs duty increased 12.29 percent to Rs 20.02 billion while value added tax grew 19.71 percent to Rs 31.39 billion. Income tax and excise duty collection amounted to Rs 12.60 billion and Rs 14.05 billion respectively.

Similarly, the government’s non-tax income soared 47.33 percent to Rs 11.18 billion.  Collection of registration fees grew 23.68 percent and vehicle tax collection dropped 3.72 percent.

Meanwhile, VAT accounted for 33 percent of the government’s revenue collection followed by customs duty with 21 percent and income tax with 14 percent.

The contribution of excise duty is 15 percent and non-tax sources is 12 percent.

Speaking at a review meeting of revenue collection during the first four months on Friday, Finance Secretary Shanta Raj Subedi directed the Inland Revenue Department to focus on increasing collection of VAT and income tax as they were the main sources of revenue. He also directed the Department of Customs to check if there had been any positive result on revenue collection from the new valuation of imports.

Source: The Kathmandu Post