Ph D, Associate Professor, Tribhuvan University, Nepal
Online published on 24 October, 2019.
VAT is a form of indirect taxation which is levied on the value-added goods & services. Like all taxes, VAT is subject to evasion and offers distinctive opportunities for evasion. In fact, VAT is currently well receipted by the consumers as well as business and industrial communities. VAT is an account base tax that leads to transparency and accountability both on taxpayers and tax collectors.
This study has focused about the impact of VAT on Government Revenue and GDP and tries to find out various problems associated with VAT collection system that need to be addressed by the revenue department for the fruitfulness of the VAT system towards the revenue mobilizations and economic development of the country.
Nepal introduces VAT system to introduce a tax system to develop a stable source of revenue, promote economic growth, generate revenue required for improving economic performance, establish modern, scientific and transparent tax system and make tax system more effective.
