Questions about estimated tax payments

Local carmakers allowed to delay excise tax payments The Saigon Times Used cars for sale in Long An Province – PHOTO: THANH HOA HCMC – The Government has issued a decree allowing local carmakers and assemblers to delay payments of excise tax for the March-October period to help them overcome the difficulties caused by the Covid-19 pandemic. For excise tax from March to June, payments can be postponed for five months. The payment deadline for excise tax in March, April, May and June will be September 20, October 20, November 20 and December 20. The payment deadline for excise tax from July to October will be December 20. Local carmakers and assemblers’ branches that do not produce or assemble cars are not eligible for the policy. The Ministry of Finance estimated that the late excise tax payments will cause a monthly loss of VND2.2 trillion to the State budget. However, the State budget for the entire year will not be affected. The Government had earlier issued … [Read more...] about Local carmakers allowed to delay excise tax payments

Local auto firms likely to enjoy excise tax payment extensions The Saigon Times Employees at work at the Huyndai Thanh Cong Vietnam Auto Plant. Local auto firms are likely to enjoy excise tax payment extensions – PHOTO: VNA HCMC – The Ministry of Finance has submitted a draft decree to the Government, which will benefit local auto manufacturers and assemblers as their payment deadlines of excise tax from March to October may be extended to up to December 20. The extension is expected to eliminate the financial difficulties these firms are facing amid the coronavirus pandemic. Under the draft decree, the payment deadline of the March excise tax is extended to September 20, while the April and May deadlines are extended to October 20 and November 20, respectively, VietnamPlus news site reported. The excise tax payment deadlines for the remaining five months will be extended to December 20. To be entitled to the extension, local auto firms will have to submit … [Read more...] about Local auto firms likely to enjoy excise tax payment extensions

Tax reduction for medium-sized firms may prompt unfair competition: ministry The Saigon Times Daily Workers process cashew nuts at Viet Hung Co., Ltd, in the central province of Binh Dinh. The Ministry of Finance has explained its proposal to reduce the corporate income tax for small and micro enterprises but not for medium-sized firms - PHOTO: VNA HCMC – If a corporate income tax reduction is proposed for micro, small and medium enterprises as a whole, nearly all enterprises will be subject to the incentive, which may lead to unfair competition among them, stated Nguyen Quoc Hung, deputy director of the Tax Policy Department under the Ministry of Finance. The Ministry of Finance is preparing a resolution on corporate income tax policies, including a proposal to reduce the tax to 15%-17% for small and micro enterprises only. Hung said that the ministry wants to ensure the effectiveness of the Government’s incentives and to support enterprises in need. Micro, … [Read more...] about Tax reduction for medium-sized firms may prompt unfair competition: ministry

HCMC obtains 60% of tax revenue target The Saigon Times A teller counts Vietnamese banknotes. HCMC has met only 60% of this year’s budget collection target – PHOTO: VNA HCMC – HCMC has met only 60% of this year’s budget collection target as incomes from the non-State business sector have tumbled due to the adverse impacts of the Covid-19 pandemic, said the Vietnam News Agency. In 2020, the city has been assigned the target to collect over VND405.8 trillion in tax revenue, up 1.68% over last year. However, the goal seems to be out of reach as budget collection plunged deeply in the January-September period. According to the HCMC Department of Statistics, the city reported more than VND245 trillion in tax revenue between January and September, meeting 60.5% of this year’s estimation and falling by 14.6% year-on-year. Of the figure, domestic revenue was nearly VND162 trillion, meeting 58.1% of the 2020 goal and down 11.2% year-on-year. Income from crude oil was … [Read more...] about HCMC obtains 60% of tax revenue target

The monthly basic wage of State employees will increase from VNĐ1.39 million (US$59) to VNĐ1.49 million ($63) from July next month thanks to a resolution on next year’s State budget estimate adopted by the National Assembly yesterday.— VNA/VNS Photo Phương Hoa HÀ NỘI — The monthly basic wage of State employees will increase from VNĐ1.39 million (US$59) to VNĐ1.49 million ($63) from July next month thanks to a resolution on next year’s State budget estimate adopted by the National Assembly yesterday. Following the basic wage hike, pension, social insurance allowance and allowance for revolutionary contributors will be adjusted. The resolution assigned the Government to continue directing central and local agencies to streamline State payroll and reorganise the administrative apparatus. The portion of the State budget allocated for public units will be cut down to give priority to wage reform policy. The resolution estimates more than VNĐ1.41 quadrillion ($60 billion) for … [Read more...] about NA adopts State budget estimate

NA deputies discuss draft personal income tax law (13-10-2006) Ha Noi — Discussions on the draft law on personal income tax by members of the National Assembly’s Standing Committee yesterday became hot on whether personal income tax law should cover capital gains tax from savings and money remittances. Many raised concerns that interest on savings was considered by many Vietnamese people, whose average income was still low, as an essential bonus to their monthly income. NA deputy Tran Minh Tuan, deputy governor of State Bank, also said that levying personal income tax on interest from savings would cause a negative consequence to business production and the mobilisation of capital at commercial banks. The draft law’s compilation board had set an income of VND5 million a month as the taxable threshold. However, the deputy governor said that defining tax payers who have a monthly income of more than VND5 million was very difficult, as income earners could put … [Read more...] about NA deputies discuss draft personal income tax law

Cashless payment helps prevent corruption: deputy PM The Saigon Times Daily Deputy Prime Minister Vuong Dinh Hue (2nd L) is seen at the workshop on noncash payment service development in HCMC today, June 11 - PHOTO: VGP HCMC – Cashless payments will help bolster transparency in transactions, thereby facilitating the nation’s fight against corruption, money laundering and economic offenses, said Deputy Prime Minister Vuong Dinh Hue. Speaking at a workshop titled “Cashless society: Policy and reality in Vietnam,” held by the State Bank of Vietnam, the Ministry of Information and Communications and Tuoi Tre newspaper in HCMC today, June 11, Hue stressed the need to strengthen and deploy plans that support the development of cashless payment systems in Vietnam. “On the flight here to attend the event, I read articles about parents who must travel a long way to pay school fees for their children, even queuing up to make payments in cash. It is a waste of time and … [Read more...] about Cashless payment helps prevent corruption: deputy PM

Minister of Finance Đinh Tiến Dũng delivered a report on restructuring State budget collection-expenditure and financial discipline to the National Assembly on May 26. — VNA/VNS Photo Viet Nam News HÀ NỘI — Minister of Finance Đinh Tiến Dũng said the ministry would not raise VAT tax to 11-12 per cent, adjust environmental tax, and assured the public that the “proposed property tax is meant to prevent corruption, State budget collection is important but not the primary purpose [of the proposal.]” The statements were made as he was reporting to the National Assembly today morning on the progress of restructuring State budget collection-expenditure and financial discipline in recent times, as part of the ongoing 5th plenary meeting of the legislative body. The head of the finance ministry said in the coming time, the ministry would continue integrating public and expert feedback on several tax codes. Specifically, the ministry would keep value-added tax at 10 per cent … [Read more...] about Finance Minister: VAT not to be raised, property tax meant to deter corruption

The National Assembly debate on the draft amendment to the anti-corruption law on Thursday was thrown into confusion as the deputies failed to agree on how to handle the suspicious unreported wealth of a public servant.— VNA/VNS Photo Nguyễn Dân HÀ NỘI — The National Assembly debate on the draft amendment to the anti-corruption law on Thursday was thrown into confusion as the deputies failed to agree on how to handle the suspicious unreported wealth of a public servant. The NA did not discuss the draft law in the main hall, but was divided into 19 separate groups working in different chambers. According to deputy Dương Ngọc Hải from HCM City, neither of the two solutions proposed by the draft law to regulate the Government’s actions in handling the extra assets sounded “reasonable” to him. In the first scenario, the officer who is found to have misreported his wealth will have to pay 45 per cent income tax on the total unreported earnings. The other solution includes no … [Read more...] about NA fear tax levy might legalise corrupted money

Tax relief should not be “One size fits all” By Phan Minh Ngoc Food to be delivered during social distancing a few months ago. It should be noted that not all businesses are equally in trouble, and thus there is no need to slash the corporate income tax for all of them - PHOTO: THANH HOA The Private Economic Development Research Board, under the Advisory Council for Administrative Procedure Reform, has proposed a 30% reduction in corporate income tax for all businesses this year. The proposal is faced with mixed reactions, however. The author of this article, from another angle, also believes it is not plausible. Specifically, according to the Private Economic Development Research Board (shortly known as IV Board), their tax cut proposal is in response to the aspirations of the corporate circle following their three surveys on the business situation as from March. During these surveys, a considerable number of enterprises pleaded for a 50% reduction in corporate … [Read more...] about Tax relief should not be “One size fits all”