December 5: The Federation of Nepalese Chambers of Commerce and Industry (FNCCI) has drawn the government’s attention to simplify the policy and procedural difficulties related to taxation.
According to the FNCCI, the industrialists have been facing many practical difficulties as the provisions in the law are interpreted differently by the government bodies.
In a meeting with director general of the Inland Revenue Department Shova Kant Poudel on Thursday, a delegation from FNCCI urged the tax authority to simplify the provision of advance tax payment system and recognise the invoice where the transactions are actually done at a lower rate than the cost price. The taxpayer should be able to settle the amount of advance tax filing by splitting it in two fiscal years or the next fiscal year, FNCCI said. Likewise, as per article 54 of the Industrial Enterprise Act 2076, the tax on amount spent for corporate social responsibility should be deducted in income tax.
They also drew the attention of the government in delayed implementation of the court’s verdicts on tax-related cases.
In addition, they suggested the effective implementation of getting tax payment certificate online as soon as possible.