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DRC to focus on improving tax compliance

September 3, 2019
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The Department of Revenue and Customs (DRC) is focusing on improving tax compliance and digitalising the tax collection system among its other targets this year. This was shared at the review of their Annual Performance Agreement (APA) in Thimphu yesterday.

DRC has identified three objectives for the present financial year, which are to strengthen resource mobilisation, improve tax compliance and provide effective and efficient direction and operational services.

“We are focusing on the tax compliance improvement because there are a lot of tax leakages, this time we are focussing mainly on how to improve, bring in improving in the compliance through the automation, in the sense developing digitalisation of the tax collection systems. Also, another one is we are trying to increase the tax assessment coverage as a whole,” Wangchuk Thayey, the Director-General (DG) of DRC, said.

The department is currently developing a system to ensure that tax payments are made easier for taxpayers while also making sure that taxes are collected efficiently by instituting a check and balance in the system.

” So this year, we are trying to strategise how to improve this coverage of assessment by way of pulling of the manpower from other regions and then topping up to other regions where there is a large number of taxpayers,” the DG added.

DRC is hoping to introduce this new system in the four Thromdes first and then slowly into the other districts.

At the meeting yesterday, the Department of National Properties and the Finance Ministry also presented their APA reviews to the Prime Minister today.

Choni Dema

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