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Nepal mulls to introduce dual rate on VAT

Thursday, 29 November 2007


KATHMANDU, Nov 28 (Xinhua): The Nepali government is mulling to introduce a dual rate on value added tax (VAT) with a view to making the tax regime wider and decrease tax evasion, The Himalayan Times reported today.
A meeting of the Revenue Advisory Board Tuesday formed a high-level panel to suggest on the matter, a senior official at the ministry of finance told the daily.
The eight-member panel has been given three months period to submit its final report to the government.
According to the report, Nepal introduced VAT in November 1997 replacing four different taxes including the sales tax, contract tax, hotel tax and entertainment tax.