Swarnim Wagle says govt will use tax revenue wisely
He said that although it is possible to earmark taxes for specific purposes, such practices can create administrative and legal complications.
KATHMANDU: Finance Minister Swarnim Wagle has stated that a democratically elected government will utilize tax revenue in a prudent and responsible manner.
Responding to questions raised by lawmakers during Friday’s meeting of the House of Representatives on the Economic Bill, 2083, Minister Wagle emphasized that the government collects revenue from multiple sources and manages it through a single treasury system.
He said that although it is possible to earmark taxes for specific purposes, such practices can create administrative and legal complications.
Instead, all collected revenue is deposited into a consolidated fund, where an elected government decides its utilization based on national priorities.
“The government can collect taxes from hundreds and thousands of sources, and it is possible to earmark them for specific purposes. However, that also brings administrative and legal complexities. All revenue ultimately goes into a single treasury, and a government elected by the people uses it wisely,” he said.
Citing the example of the Budi Gandaki project compensation funds, Wagle noted that allocating specific tax revenues to separate funds is not always practical.
He also pointed out that various sectoral taxes, such as environmental levies, are reflected through allocations in different ministries, including environment and health.
He further added that the government may introduce special budgetary arrangements if required, but such decisions should be guided by the sovereign Parliament.
According to him, the government’s approach is to ensure flexible yet accountable use of public revenue while avoiding unnecessary legal and administrative burdens.
