Kathmandu, January 28
He also sought legal arrangements whereby taxes being levied are at a minimal and do not overtake jurisdiction of the federal government.
“Income tax or value added tax exemption cannot be the jurisdiction of local levels. But, registration of industry can be done at the provincial and local levels and they can assist the private sector by reducing fees on registration services, by providing land if required and building necessary local infrastructure,” Khatiwada said.
“If we are able to mobilise local resources to establish industries at local level, then resources available with federal government can be utilised for other necessary works,” he opined. “The local level should adopt a business-friendly tax system as there is competition in between the local levels to attract investment,” he said. “If we look at our neighbouring countries, we can see that the state governments have