Cost Saving in Tax revenue Administration through ICT in Nepal

ICT as a crucial tool for digitalizing and improving the operating system , transparent and prompt service delivery of tax revenue administration. The main objective of the research was to examine the cost efficiency in tax administration through ICT. The secondary data was collected from Ministry of Finance, GON, Economic survey and various years’ annual report of IRD. Similarly, primary data was gathered through the questionnaire survey from the business organization registered in VAT at Inland Revenue offices New road conducted during November 2021 to April 2022. The sample size was 140 purposive judgmentally in which 89.29% (125) respondents respond. The collected data was administered through SPSS version 18.0. Descriptive and inferential analysis had been made for the research design approach. The revenue collection cost per thousand was decreasing subsequently after the application of ICT. Similarly, almost respondents agree that ICT based service delivery (E-VAT) save both time and cost. Service recipient’s major dissatisfaction regarding ICT reduced the time and cost in E-VAT was respondent’s faced the web log in and hang problem while e-filling. By descriptive analysis, almost respondents agree regarding the time saving, increased operating system through ICT and all of the variables were significant at 5% significance level.