Finance Minister Dr. Swarnim Wagle Defends Government’s Prerogative to Amend Tax Rates

Finance Minister Dr. Swarnim Wagle has stated that the government possesses the definitive right to alter tax rates as dictated by economic necessities. Speaking at a Public Accounts Committee meeting held at Singha Durbar on Wednesday, Dr. Wagle clarified that while the Finance Minister acts as the ultimate decision-maker in determining tax structures, the process relies strictly on institutional consensus and extensive consultations with experts and stakeholders. Citing Section 18 of the Financial Act, he explained that the law explicitly empowers the government to increase, decrease, or completely waive duties, fees, or taxes, overriding other prevailing laws if required. Highlighting this as a standard global practice in public financial management, he recalled past instances—such as reducing infrastructure tariffs on petroleum products to shield the public from price hikes—to illustrate how these provisions serve the public interest. Additionally, Dr. Wagle acknowledged minor technical printing errors in the financial bill, confirming that they have already been rectified and communicated to the federal parliament.