City gives Nepal Army and Nepal Police 10 days to pay due rental taxesOfficials say Army and Police headquarters have been running businesses from their premises but have not paid taxes.
As it pursues big tax evaders, the Kathmandu Metropolitan City on Thursday wrote to the Nepal Army, Nepal Police and Social Welfare Council to pay their rental taxes.
In its letter issued Thursday, the city has given 10 days to the Naxal-based Nepal Police Headquarters, Nepal Army Headquarters and the Social Welfare Council, Lainchaur to pay taxes on the properties rented out by them.
“The City has found that these offices are running businesses from their premises but have not paid rental taxes to the city despite our numerous efforts,” reads the letter issued by the city.
The city has asked them to pay rental taxes and fines at the Kathmandu Metropolitan City’s offices in respective wards within 10 days.
The letter further read that if the taxes are not paid within the given deadline, the city would take action based on the KMC’s Revenue Act 2075 (2018).
Alongside the tax collection initiative, the City has been demolishing illegal structures in public spaces, clearing businesses of basements of commercial complexes. It has written to business houses, hospitals, educational institutions and casinos to clear unpaid taxes.
On Monday the city wrote to 17 different business complexes, educational institutions and hospitals to clear property taxes within 10 days. Officials at the Revenue Department of the KMC said the aforementioned entities have not paid property taxes for nearly two decades.
Likewise, on Sunday the Revenue Department had written to seven casinos in Kathmandu to clear their entertainment taxes within seven days. Those asked to clear their unpaid taxes include Soaltee Casino at Soaltee Hotel Crowne Plaza in Soltimode; Casino Palace, at Annapurna Hotel Durbarmarg; Casino Rad at the Radisson Hotel; and Pride Entertainment and Recreation at Hyatt Regency, Bauddha.
Meanwhile, other luxury hotels that have not cleared entertainment tax to the city include Casino Mahjong based at Soaltee Hotel; Balko Casino at Hotel Aloft; and Bally’s Casino at Hotel Malla.
Last week the city was able to raise Rs 17 million as entertainment tax from the Bhrikutimandap-based Kathmandu Funpark within 24 hours of issuing a notice.