KATHMANDU, NOVEMBER 24
The Inland Revenue Department (IRD) collected revenue worth Rs 384.53 billion in fiscal year 2019-20, an increase of 7.31 per cent compared to the collection of Rs 358.35 billion in the previous fiscal 2018-19. However, it was a downward growth compared to growth rates of previous fiscal years. The average growth rate over the last five fiscal years stood at 20.8 per cent.
According to the annual report released by IRD, initially the department had set revenue collection target of Rs 506.18 billion for fiscal 2019- 20, but with the nationwide lockdown and slowdown in economic activities caused by the coronavirus pandemic, the target had been revised down to Rs 377 billion later in the year.
The collected revenue amounts to 75.97 per cent of the department’s initial revenue collection target whereas the collection was 101.98 per cent compared to the revised target.
The department collected Rs 192.85 billion from income tax in the last fiscal. The initial revenue collection target through income tax had been set at Rs 242.62 billion, which was later revised to Rs 184.39 billion. The collected amount was 79.49 per cent of the initial target whereas 104.8 per cent of the revised target.
Likewise, although the department had targeted to collect value added tax (VAT) worth Rs 315 billion in fiscal 2019-20, the collection came in at Rs 255.97 billion. The department collected Rs 157.82 billion out of the initial target of Rs 196.62 billion from import-based VAT. The IRD collected Rs 98.14 billion through internal VAT, which was 82.92 per cent of the initial target of Rs 118.38 billion for last fiscal.
The collection, nevertheless, was 111.48 per cent compared to revised target of Rs 88.5 billion.
The government was able to collect only Rs 112.95 billion from excise duty against the set target of Rs 169.97 billion.
The revenue from import-based excise duty stood at Rs 48.11 billion against the target of Rs 63.67 billion while the department collected internal excise duty worth Rs 64.84 billion against the targeted Rs 106.3 billion.
Meanwhile, in fiscal year 2019-20, 194,192 taxpayers were brought under the tax net for Business Permanent Account Number (B-PAN) and the number of taxpayers with B-PAN reached 1,358,934 in the last fiscal. Meanwhile, Personal Permanent Accounting Number (P-PAN) had been issued to 982,639 individuals and the total number of taxpayers having PPAN reached 1,973,452. With this, the total number of taxpayers in the country reached 3,332,386 in the fiscal year 2019-20, according to the department.
Similarly, with 44,638 new VAT registrations, a total of 255,963 taxpayers have been registered under VAT in last fiscal year. Meanwhile, 94,292 taxpayers had been issued and renewed licences for excise duty in the last fiscal.
The government had collected tax revenue worth Rs 700 billion, in which IRD had contributed Rs 384.53 billion or 54.92 per cent in the fiscal year 2019-20.
Written by Sureis
This news first appeared on https://thehimalayantimes.com/business/ird-collected-rs-384-53bn-revenue-last-fiscal/ under the title “IRD collected Rs 384.53bn revenue last fiscal”. Bolchha Nepal is not responsible or affiliated towards the opinion expressed in this news article.