Kathmandu, Mar. 9: The Department of Value Added Tax (VAT) and Kathmandu VAT Office have jointly conducted surprise check and investigation at 34 business firms on suspicion of the tax leakage.

As nine firms have come out with a clean sheet in the investigation the documents taken from them have been sent back, the Department says. In cases where VAT leakage has been confirmed, the evaded taxes, fines, extra charge and their interests add up to Rs 8.5 million, it adds.

The investigation has found that the tax payers’ transaction was worth more than what they declared earlier and they also charged consumers more than the stated prices on taxable goods.

Some firms were also found doing transaction without getting themselves registered under VAT. The Department have also felt the need to widen the surprise checks and investigation and make effective monitoring in view of the failure on the part of the tax payers to do billing according to VAT system.

Meanwhile in Rasuwa, a candle-stick industry has been set up in private sector at the Rasuwa district headquarters of Dhunche.

Himal Candle Industry, started with an investment of Rs. 50,000 by a local resident Nirmal Sharma is the first such industry in the district.

The industry is going to supply its product to Dhunche and other tourist destinations of the district.