Banking News – Finance Minister Dr. Swarnim Wagle has said the government is making continuous efforts to remove Nepal from the Financial Action Task Force (FATF) Grey List, expressing confidence that the country can achieve the goal by strengthening a transparent, effective, and credible tax administration.

Addressing tax officers from the Inland Revenue Department (IRD) and its offices across the country at the department’s headquarters in Lazimpat on Thursday, Dr. Wagle stressed that money laundering-related offences must also be addressed with greater vigilance from the perspective of tax administration.

The Finance Minister said the career development of tax administrators would be evaluated based on their performance, work ethics, and contribution to the state.

He also emphasized that tax collection should be driven by voluntary tax compliance rather than coercive or fear-based enforcement, encouraging officials to build greater trust among taxpayers.

Dr. Wagle urged departmental officials to openly communicate any shortages of human resources, infrastructure, or information technology that may be hindering the effectiveness of tax administration.

He further assured that officials who perform efficiently and contribute to increasing state revenue would be recognized and encouraged.

Highlighting the government’s fiscal priorities, Dr. Wagle said this year’s budget should be viewed as a roadmap for transforming Nepal’s economy, adding that the government’s long-term economic direction would become more visible through the budgets of the next four fiscal years.

He also instructed the department’s leadership to effectively implement the tax relief measures announced in the budget, successfully carry out taxpayer incentive programs, enhance taxpayer awareness, and accelerate the digitalization of business transactions.