There are also expensive schools, where fees of up to 40,000 or 50,000 rupees have to be paid. Whoever pays more fees contributes more in the same proportion at the rate of 3 percent. In that sense, it is also a progressive tax. - Finance Minister Wagle
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Finance Minister Swarnim Wagle has urged that the proposed 3 percent contribution on the fees charged by private schools should not be seen as an additional burden on the middle class, but as a progressive tax to promote social equality.
At a press conference held at the Finance Ministry on Sunday, Finance Minister Wagle gave the example of a parent paying Rs 2,000 per month in an ordinary private school having to pay only Rs 60 extra, and said that the amount would be used in the 'Samata Kosh' established to improve the nutrition of Dalit children in remote areas. According to him, the amount raised will be used to improve the nutritional diet of Dalit children in districts like Jajarkot, Dailekh, and Mugu.
While acknowledging that there is no provision in the public finance system for spending money only on a specific heading, he clarified that the resources raised from the Samata Kosh have been arranged to focus on the nutrition of Dalit children. Wagle said that the government's long-term goal is to reduce the quality gap between private and community schools.
This is what the Finance Minister said
Let's talk about students studying in private schools. There is also a simple school that charges Rs 2,000. There are also expensive schools, where fees of up to Rs 40,000 or 50,000 have to be paid. Whoever pays more fees contributes more in the same proportion at the rate of 3 percent. In that sense, it is also a progressive tax.
For example, if someone is paying Rs 1,500-2,000 in a private school in Kalanki or a small private school in my district Damauli, the additional amount he has to pay is only about Rs 60. If he is paying Rs 2,000, then he should contribute an additional Rs 60, so that some improvement can be made in the nutritional diet of Dalit children in Jajarkot, Dailekh or Mugu.
There is ‘fungibility’ in public finance. That is, the money raised is not exactly kept in separate rooms and spent, all the money goes into a single fund. But we have made arrangements to focus the 'Equality Fund' raised in this way on improving the nutrition of Dalit children. Therefore, if this issue can be explained to the public in a correct manner, there will not be much objection.
