Nepal Government has registered a Y-o-Y growth of 41.7 percent with a collection of NPR 197.89 billion
In a major breakthrough, the Nepal government has exceeded its revenue collection target for the first quarter of the current fiscal year!
According to the Finance Ministry’s Revenue Division, the government has registered a Y-o-Y revenue growth of 41.7 percent with a total collection of standing at NPR 197.89 billion against the targeted NPR 192.62 billion.
Following are the areas where the government exceeded targeted revenues:
- NPR 42.49 billion from customs tariff, more than the targeted NPR 38.94 billion
- NPR 33.82 billion against NPR 29.9 billion in excise earnings
- NPR 342.7 million compared to the target of Rs 192.5 million from education service tax
- NPR 6.63 billion against the targeted Rs 4.18 billion in terms of other taxes
The government witnessed a slump in Value Added Tax (VAT) and income tax. These areas are worth considering owing to their contribution to the government treasury.
- VAT stood at NPR 61.02 billion compared to the targeted NPR 65.59 billion in the first quarter
- Income tax stood at NPR 27.3 billion compared to the targeted NPR 27.7 billion
- Non-tax collections also witnessed a slump with NPR 21.67 billion against the target of NPR 25.37 billion
However, the government had not set any targets for vehicle registration, health service and vehicle tax.
- It earned NPR 3.7 billion from vehicle tax and NPR 850 million in registration fees
- NPR 306.43 million as health service tax
Overall, the first quarter of the current fiscal generated a revenue of NPR 197.87 million against previous year’s NPR 139.65 billion.
Moreover, the government managed to increase its revenue collection target by 29.5 percent in the current fiscal to NPR 945.56 billion against last fiscal’s NPR 730.05 billion.