Posted by: shareds April 6, 2011
Fake VAT bill: So who are the big business groups that are raping Nepal economy?
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Telegraph Nepal

Prime Minister Jhal Nath Khanal has assured that his government is totally committed to bring to book those business houses that were found to have been engaged in evading tax through presentation of fake VAT (Value Added Tax) bills.

PM Khanal made the commitment speaking at a parliamentary session, April 4, 2011.

“Through investigation it has come to our knowledge that there has been the dangerous trend of presenting fake documents and bills to evade government taxes”, said the Prime Minister and added, “The government is totally committed to bring to book those involved in such mal practices”.

But will he dare?

While referring to the resignation tendered by Finance Secretary Mr. Rameshwor Khanal the Prime Minister said, “The government will not lose its head just because a government functionary has resigned”.

Interested media quarters and some of the political parties have been linking resignation of Finance Secretary with the issue of the tax evasion.

Yet some others claim Foreign Secretary Khanal- projected as one of the sacrosanct government officials, by tendering his resignation has instead escaped from his duties.

In the meantime, reports have it referring to investigation carried out by a government agency that the trend of Tax evasion was much more rampant in the previous two fiscal years as compared to the ongoing one.

“What has come to the fore is just the beginning, we have found out that big business houses were involved in such malpractices from long time back”, the investigation report has it.

Similarly, Finance Minister Bharat Mohan Adhikari speaking at the parliament said that if authorized by the CA Speaker he could furnish entire details to the parliament including fake VAT bills presented by big business houses to evade government taxes.

“If allowed by the speaker, I will bring the details of those business houses including the fake VAT bills right here in the parliament”, said the finance minister.

The Rajdhani Daily, April 4, 2011, had claimed that it is in possession of the 33 pages long investigation report which claims that two renowned business houses, Chaudhary Group and Sarda group were among top fake VAT Bill racketeers in Nepal.

Whether the business houses involved in VAT scams will also disclose under table financing of political parties of Nepal? They should! That would be a fair play.

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