Taxes are the major contributor to Bhutan’s domestic revenue. However, experts say revenue from taxes can be boosted through strengthened capacity in tax administration. To help Bhutan make more from taxes, the Department of Revenue and Customs and the United Nations Development Programme in Bhutan launched the Tax Inspectors Without Borders, TIWB, initiative in the country, yesterday.
The TIWB programme, a joint initiative of the Organisation for Economic Co-operation and Development and the UNDP, empowers developing countries by strengthening their tax audit capabilities.
The virtual launch, yesterday, was attended by the finance ministers of Bhutan and Poland.
The Government of Poland is Bhutan’s partner country in the TIWB initiative.
During the launch, Poland’s finance minister announced their commitment to providing essential support to the Bhutanese government.
The support will come in the form of conducting tax assessments within specific industry sectors like hydropower, finance, construction, and foreign direct investment.
The support will involve onsite assistance in tax assessment processes.
“The Government of Poland has agreed to send four experts in the field of taxation to our department. During their stay here, these experts will train our taxation officers on tax collection and tax evaluation. The aim of this support is ultimately to increase the revenue of the country,” said Sonam Jamtsho, Director General of the Department of Revenue and Customs.
The director general added that the experts from Poland will be conducting training sessions for tax officers over the course of a year.
As of February this year, the Tax Inspectors Without Borders initiative contributed over USD 2bn in additional taxes for the participating developing countries since its inception in 2015.
Karma Samten Wangda
Edited by Sherub Dorji
