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Govt extends tax payment deadline by two weeks amid widespread criticisms

June 03, 2020

MyRepublica, June 03, 2020

KATHMANDU: Amid widespread criticisms, the government has extended the deadline for the payment of individual and business taxes by two weeks. 

The Inland Revenue Department (IRD) on Wednesday said that the deadline to submit tax details, income details and payment of taxes has been extended to June 21.

Earlier, the IRD had asked all individuals and businesses to clear the taxes by June 7. The IRD stated that the decision was made, keeping in view the ongoing COVID-19 scenario. 

According to the revised decision, businesses and individuals are required to submit the second installment of income tax of the current fiscal year by June 29. Similarly, Value Added Tax (VAT) and excise duty need to be submitted by June 21.

Private sector bodies like the Federation of Nepalese Chambers of Commerce Industry and Confederation of Nepalese Industries had criticized the government's decision to call for tax payment at a time when the businesses have remained shut for two months due to COVID-19 crisis. 

The main opposition party, Nepali Congress (NC) also criticized the government for exerting undue pressure on the private sector to clear taxes despite the continuation of lockdown. The party in a statement on Wednesday alleged that the government was terrorizing private businesses, laborers, and farmers with tax compliance instead of introducing a special relief package to them.

Source: https://myrepublica.nagariknetwork.com/news/govt-extends-tax-payment-deadline-by-two-weeks-amid-widespread-criticisms/