Kathmandu. It has come to light that revenue of more than Rs 4.45 billion has been evaded by manipulating the capacity declaration of motor peak power in the import of electric vehicles (EVs).
According to the 62nd annual report of the Office of the Auditor General, the importers of EV have evaded taxes by declaring vehicles of 100 kW capacity as 99 kW motor vehicles in connivance with tatopani and rasuwa customs office employees. According to the report of the Auditor General, customs duty, excise duty and value added tax have been fixed on the import of vehicles on the basis of motor peak power of electric vehicles in the Finance Act, 2080.
According to the report, the customs duty was fixed on the basis of the announcement made by the importer without technical examination of the connected motor capacity of the electric vehicles imported in Nepal. According to the report, the importer’s invoice was passed on the basis of peak power, but it was not seen that the technical examination of the capacity of the connected motor was done. Based on the details of bottles and others exported to the country on the webpage of the manufacturing company, it is seen that the vehicles of different models imported have a capacity of 100 kW to 200 kW. ’
According to the Finance Act, 2080, 15 percent customs duty, 10 percent excise duty and VALUE added tax will be levied after passing the check from motor peak power 50 to 100 kW customs subtitles 8703.80.59 (others), 8703.80.21 (unassembled), 8703.80.29 (others). Similarly, if the motor capacity is between 100 and 200 kW, then 20 percent customs duty, 20 percent excise duty and value added tax will be levied after passing the check from customs sub-heading 8703.80.69.
Although various importers have announced peak motor capacity, there is no testing by technicians, as well as reports confirming motor capacity from manufacturers and other independent investigators of electric vehicles. The customs office checks only the road worthiness of the vehicles. Does not check motor ability.
Although various importers have announced peak motor capacity, there has been no testing by the technicians and reports confirming the motor capacity by the manufacturer of electric vehicles and other independent investigators are also not involved. Based on the details of bottles and others exported to the country on the webpage of the manufacturing company, it is seen that the vehicles of different models imported have a capacity of 100 kW to 200 kW.
As per the announcement of vehicles imported from Rasuwa and Tatopani customs points, the capacity of 99 kW peak motor power has been cleared from the customs sub-heading 8703.80.59 (others). According to the Auditor General, 20 percent customs duty, 20 percent excise duty and VALUE added tax should not be collected by passing the inspection from the customs sub-heading 8703.80.69.
The Auditor General has also suggested the Customs Department to investigate and recover rs 3.77 billion from rasuwa customs office and Rs 1.03 billion from Tatopani customs office after checking the specification and motor capacity of vehicles published by the official manufacturer.
