The government has yet to collect Rs 275 billion in tax arrears from 30,912 taxpayers up to fiscal year 2081/82 BS, according to the annual progress report of the Inland Revenue Department (IRD) released on Monday.
The report shows the largest chunk of dues, Rs 219 billion, falls under income tax, owed by 193,620 taxpayers.
Similarly, Rs 48.70 billion remains outstanding in VAT from 137,253 taxpayers, while Rs 4.9 billion is pending in Excise Duty from 364 taxpayers. Another Rs 3.15 billion is due from 1,770 taxpayers under other categories.
The IRD report indicates weak progress in recovering arrears last fiscal year.
Only Rs 8.71 billion was collected against the income tax arrears target of Rs 22.76 billion, achieving just 38.29% of the goal.
In VAT arrears, the department collected Rs 10.33 billion, or 63.28% of its Rs 16.33 billion target.
Under income tax arrears adjustment, IRD recovered Rs 21.39 billion out of the targeted Rs 27.38 billion.
Likewise, VAT arrears collection reached Rs 22.29 billion, surpassing the previous fiscal year’s target of Rs 18.17 billion.
