Reforming Value Added Tax System in Developing World: the Case of Nepal

Sanjaya Acharya

Business and Management Studies, 2016, vol. 2, issue 2, 44-63

Abstract: Value Added Tax (VAT) has become an integral part of domestic tax reforms in many developing countries. Taking the case of Nepal, VAT associates a number of refunds to different private sector activities for promoting investment in higher growth and export potential sectors. Total refund, more specifically, export refund has a significant positive impact on the level of GDP. Furthermore, non-agricultural GDP has strong positive influence to VAT C-efficiency ratio. Likewise, higher the VAT gap, lower is the C-efficiency ratio. If C-efficiency is improved coupled with higher compliance, the capability of the government is strengthened in domestic revenue generation.

Keywords: VAT; C-efficiency ratio; VAT gap; growth; tax compliance (search for similar items in EconPapers)
Date: 2016
References: Add references at CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://redfame.com/journal/index.php/bms/article/view/1616/1698 (application/pdf)
http://redfame.com/journal/index.php/bms/article/view/1616 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:rfa:bmsjnl:v:2:y:2016:i:2:p:44-63

Access Statistics for this article

More articles in Business and Management Studies from Redfame publishing Contact information at EDIRC.
Bibliographic data for series maintained by Redfame publishing ().