TAAN delegation meets with DG of Inland Revenue Department

25th Feb, 2018 | Tourism Mail Crew

KATHMANDU, Feb 25: A delegation of the Trekking Agencies’ Association of Nepal (TAAN) visited the Director General of Inland Revenue Department (IRD) and handed over a 4 point memorandum to the DG Kishor Jung Karki.

During the meeting, President Dahal raised problems that trekking entrepreneurs face while filing tax details and briefed the DG about the hassles faced by trekking business due to expensive 13% VAT charges that makes the trekking package more expensive compared to its competitors like India, Bhutan and so on. Thus, he requested the DG to reduce the VAT percent for tourism industry.

President Dahal also requested the DG to formulate policies to end the management of charging VAT for using transport as labor force, carts and yaks during trekking. Likewise, trekking agents are facing difficulty in submitting details of expenditures made in rural areas where they don’t get tax invoice. “Hotels, lodges and home stay operators do not give tax invoice. Hence, trekking agents are facing difficulties in showing their expenditures,” Dahal said, requesting DG to resolve the issue.

The delegation raised the voice upon 13 % VAT charges for National park and Conservation area permit fees that was implemented in a short- notice. “We don’t want to evade tax; we only want the government to simplify provisions related to tax”, the delegation requested if the VAT is charged, the amount must be separated rather collecting it jointly.

DG Kishor Jung Karki said that tourism is one of the important sectors that facilitate the economic status of the country. He was positive towards the issues raised by TAAN and assured to discuss the topic and formulate the policies accordingly. He said, “There was the policy to charge compulsory VAT for trekking business till 2016 but after, there is a threshold of 2 million rupees of total income.”

TAAN General Secretary Ang Pemba Sherpa, Secretary Sujan Lamichhane, Treasurer Ram Krishna Timalsina, Executive Members Rajan Prasad Kapri, Gopal Shrestha, Ram Bahadur Kadka, Baburam Gurung, Mahesh Kumar Budha, Media officer Subina Manandhar and Photographer Pemba Sherpa were present at the delegation.