Businesses applaud Government’s tax payment deadline extension

Businesses applauded the Government’s decree on tax payment deadline extension which helps them to have capital for maintaining production and ensuring workers’ benefits.

Businesses applaud Government’s tax payment deadline extension hinh anh 1

Tax payment deadline extension which helps them to have capital for maintaining production and ensuring workers’ benefits. (Photo:VNA)

Businesses applauded the Government’s decree on tax payment deadline extension which helps them to have capital for maintaining production and ensuring workers’ benefits.

The Government issued Decree No. 12/2023/ND-CP dated April 14, 2023, on time extension for payment of value-added tax (VAT), corporate income tax (CIT), personal income tax (PIT), and land rent in 2023.

According to the decree, the deadline for the VAT payable from March to May and in the first quarter will be extended by six months.

The extension period is five months for businesses expected to pay the VAT in June and the second quarter, along with a delay of four and three months for those with their payment deadline in July and August, respectively.

Meanwhile, the payment of PIT of household businesses and inpiduals working in priority sectors is delayed until December 31, 2023, at the latest.
The deadline for payment of CIT in the first and second quarters is extended by three months.

Inpiduals, households, and businesses operating in priority sectors are entitled to a six-month deferral of land rent in 2023 from May 31. The decree takes effect from the date of issuance to December 31, 2023.

Nguyen Van Doan, from SKD Vietnam Mechanical Company, said that the Russia-Ukraine conflict and the world market’s inflationary fluctuations pose difficulties for Vietnamese businesses.

“We have never seen such a reduction of orders before,” he said, adding that besides maintaining production, the company needs money to cover salaries, bonuses, and social insurance for employees.

Extending the tax payment deadline for businesses is a practical solution, he said.

Doan also hopes the Government will soon reduce taxes for businesses so that they can overcome difficulties this year.

Businesses applaud Government’s tax payment deadline extension hinh anh 2

Illustrative photo (Photo: VNA)

In addition to the tax payment deadline extension, the Government agreed with the proposal by the Ministry of Finance on the 2% reduction of the value-added tax rate for all goods and services subject to the tax rate of 10% along with a 20% cut in the percentage of goods for VAT calculation for business establishments, including business households and inpiduals. With this reduction, the Ministry of Finance forecasts that the state budget revenue will reduce by 35 trillion USD (1.49 billion USD).

Dao Phan Long, Chairman of the Vietnam Association of Mechanical Enterprises (VAMI), said that the business community highly appreciates the Government’s support policies.

Extending tax and land rent payment time is like offering businesses a preferential loan with a 0% interest rate, he said.

According to Dau Anh Tuan, Deputy General Secretary, Head of the Legal Department of the Vietnam Chamber of Commerce and Industry (VCCI), in the current difficult context, the 2% value-added tax reduction policy is considered fair policy between the state and enterprises and between enterprises.

The use of tax tools to stimulate domestic consumption is necessary, and the value-added tax reduction is said the most effective, Tuan said.

When reducing taxes and fees, businesses will have more room to keep or reduce product costs, he said, adding that businesses and people expect the support policies will be approved and take effect soon./.

en.vietnamplus.vn

Related News

From January 1, 2025: 13 product codes increase export tax to 20%

From January 1, 2025: 13 product codes increase export tax to 20%

VCN - According to the Export Tariff (XK) issued with Decree 26/2023/ND-CP, from January 1, 2025, there will be 13 commodity codes with an export tax rate of 20%.
Tax sector achieves revenue target of about VND1.7 million billion

Tax sector achieves revenue target of about VND1.7 million billion

VCN – Motivated by the revenue collection by the end of December 2024, the General Department of Taxation has accomplished the revenue collection.
Achievements in revenue collection are a premise for breakthroughs in 2025

Achievements in revenue collection are a premise for breakthroughs in 2025

VCN – Motivated by great efforts and effective implementation of solutions, as of December 10 the total State revenue from imports and exports saw a year-on-year increase of 13.8% to VND397,861 billion, meeting 106.1% of the estimate. The revenue us estimated to reach VND420,000 billion, meeting 112 % of the estimate, up 13.9% over the same period in 2023. The achievements in 2024 are a premise for a breakthrough in revenue collection in 2025.
Answering many questions from businesses at dialogue conference on tax and customs policies

Answering many questions from businesses at dialogue conference on tax and customs policies

VCN - Many opinions and recommendations related to tax and customs issues were raised by the business community at the dialogue on tax and customs policies and administrative procedures in 2024, organized by the Ministry of Finance.Representatives of the Ministry of Finance, the General Department of Taxation, and the General Department of Customs provided specific responses, and affirmed that they will continue to research and advise on the assessment, review, and amendment and supplementation of appropriate regulations.

Latest News

Embracing green exports: a pathway to enter global supply chains

Embracing green exports: a pathway to enter global supply chains

This shift presents both a challenge and an opportunity for Vietnamese businesses to innovate and enhance their competitive edge in the international arena.
New policy proposed to prevent transfer pricing, tax evasion of FDI enterprises

New policy proposed to prevent transfer pricing, tax evasion of FDI enterprises

The ministry proposes to issue a decree on the establishment, management and use of the Investment Support Fund to stabilise the investment environment, encourage and attract strategic investors and multinational corporations.
Việt Nam’s durian exports to China plummet by 80%

Việt Nam’s durian exports to China plummet by 80%

This sharp decline has had a direct impact on Việt Nam’s fruit and vegetable export revenue, which stood at US$416 million in January 2025, marking a 11.3 per cent decrease month-on-month and a 5.2 per cent drop year-on-year.
Coconut exports reach 14-year high

Coconut exports reach 14-year high

In 2024, fresh coconut and coconut product exports surpassed US$1 billion, marking the highest figure in the past 14 years.

More News

Shrimp exports grow in the first month of 2025

Shrimp exports grow in the first month of 2025

According to data from the Việt Nam Association of Seafood Exporters and Producers (VASEP), shrimp products recorded a 13 per cent increase in export value in January 2025, reaching a total of $273.3 million.
Rice export prices drop, but decline expected to be short-term

Rice export prices drop, but decline expected to be short-term

Việt Nam’s rice export prices have declined, reaching their lowest level in three years.
Key agro products expected to maintain export growth this year

Key agro products expected to maintain export growth this year

At present, agricultural exports, such as rice, coffee and seafood, have steadily secured a stable place in major global markets.
EU issues 12 warnings against Việt Nam’s food and agricultural exports

EU issues 12 warnings against Việt Nam’s food and agricultural exports

The Việt Nam SPS Office has reported that some Vietnamese export products failed to meet the EU’s stringent standards.
Việt Nam to impose VAT on low-value express-imported goods

Việt Nam to impose VAT on low-value express-imported goods

Việt Nam will end a previous policy that exempted imported goods valued under VNĐ1 million (US$39.4) from taxes when shipped via express delivery.
Exchange rate risks need attention in near future

Exchange rate risks need attention in near future

VCN - Exchange rate developments in 2025 are considered to be quite complicated due to US policies related to trade and investment.
Vietnam kicked off the year with a strong start in trade, exceeding US$63 billion in the first month

Vietnam kicked off the year with a strong start in trade, exceeding US$63 billion in the first month

VCN - Data from the General Department of Vietnam Customs indicates a softening of both exports and imports in January 2025, relative to the same month in 2024.
Import and export turnover reaches about US$29 billion in the second half of January 2025

Import and export turnover reaches about US$29 billion in the second half of January 2025

VCN - Vietnam's total import and export turnover in the second half of January 2025 (January 16-31, 2025) reached US$28.9 billion, the latest preliminary statistics of the General Department of Vietnam Customs reported.
Market edges up slightly as liquidity remains low

Market edges up slightly as liquidity remains low

Market breadth remained positive, with 161 gainers outnumbering 144 decliners.
Read More

Your care

Latest Most read
Embracing green exports: a pathway to enter global supply chains

Embracing green exports: a pathway to enter global supply chains

This shift presents both a challenge and an opportunity for Vietnamese businesses to innovate and enhance their competitive edge in the international arena.
New policy proposed to prevent transfer pricing, tax evasion of FDI enterprises

New policy proposed to prevent transfer pricing, tax evasion of FDI enterprises

The ministry proposes to issue a decree on the establishment, management and use of the Investment Support Fund to stabilise the investment environment, encourage and attract strategic investors and multinational corporations.
Việt Nam’s durian exports to China plummet by 80%

Việt Nam’s durian exports to China plummet by 80%

This sharp decline has had a direct impact on Việt Nam’s fruit and vegetable export revenue, which stood at US$416 million in January 2025, marking a 11.3 per cent decrease month-on-month and a 5.2 per cent drop year-on-year.
Coconut exports reach 14-year high

Coconut exports reach 14-year high

In 2024, fresh coconut and coconut product exports surpassed US$1 billion, marking the highest figure in the past 14 years.
Shrimp exports grow in the first month of 2025

Shrimp exports grow in the first month of 2025

According to data from the Việt Nam Association of Seafood Exporters and Producers (VASEP), shrimp products recorded a 13 per cent increase in export value in January 2025, reaching a total of $273.3 million.
Mobile Version