Finance sector held a dialogue with nearly 250 Korean enterprises on tax and customs policy

Scene of the dialogue

Receiving and processing hundreds of documents of Korean enterprises annually

Attending the dialogue are Deputy Director General of Taxation Mai Son; Deputy Director General of Vietnam Customs Hoang Viet Cuong; Deputy Director of Department for Management and Monitoring of Taxes, Fees and Charges related Policies Truong Ba Tuan (Ministry of Finance) together with representatives of affiliated units of Ministry of Finance, General Department of Taxation, General Department of Vietnam Customs, VCCI, Vietnam Tax Consultants’ Association and representatives of some tax Departments of cities and provinces.

On the Korean side were Mr. Choi Youngsam, Korean Ambassador to Vietnam; Mr. Kim Hyong Mo, Chief Representative of the Korean Chamber of Commerce and Industry in Vietnam; Mr. Lee Hee Sang, Chairman of the Korea Trade and Investment Promotion Agency for Southeast Asia and Oceania; Mr. Hong Sun, Chairman of the Korean Chamber of Commerce and Industry and nearly 250 delegates of businesses with investment capital from Korea.

Deputy Minister of Finance Cao Anh Tuan delivered the opening speech at the Conference.

Speaking at the opening of the conference, Deputy Minister of Finance Cao Anh Tuan said that after more than 30 years since the establishment of diplomatic relations (1992 - 2024), Vietnam and Korea have become important partners in many fields, especially in economic, trade and investment cooperation.

In the context of an unpredictable and complex world situation; strategic competition between major countries is increasingly fierce; global financial and monetary risks tend to increase, but Vietnam - Korea relations are still maintained sustainably and are increasingly strengthened and promoted in both quantity and quality.

Deputy Minister Cao Anh Tuan shared that Korea is currently one of 114 countries and territories in the world investing in Vietnam up to now.

“In the past five years, despite being affected by the difficulties of the Covid-19 epidemic and the disadvantages of the world economy, contributions to the country's state revenue from Korean enterprises have always increased over the years and total domestic revenue collected from Korean businesses reached nearly VND175 trillion", Deputy Minister Cao Anh Tuan said.

With the spirit of always accompanying and supporting businesses and people, especially in the context of volatile political economy situations in the country and abroad, Deputy Minister Cao Anh Tuan affirmed that every year, the Ministry of Finance has received and processed hundreds of documents sent by Korean enterprises investing across the country, related to issues arising in all production and business activities of Korean enterprises and is investing and operating business in Vietnam.

The issues have been coordinated by the Ministry of Finance to discuss, research and submit to competent authorities to consider amending and supplementing policies to provide maximum support for the FDI business community investing in Vietnam such as: VAT refund, problems related to procedures, tax invoices and documents in export processing zones, corporate income tax incentives and exemptions, import and export taxes, and costs when calculating taxes corporate income tax,…

Korean businesses proactively take advantage of opportunities to innovate and improve their competitiveness

In recent times, due to the negative impact of the Covid-19 epidemic and the impact of international economic and political issues on the country's socio-economic development and production and business activities, the Ministry of Finance has promptly researched and proposed to competent authorities and promulgated solutions on taxes, charges to support people, businesses in general and Korean businesses in particular with great support value and many unprecedented solutions.

Accordingly, the Ministry of Finance has submitted to competent authorities and promulgated 60 legal documents with a total support scale of about VND200 trillion/year, focusing on solutions for VAT extension, corporate income tax, personal income tax, special consumption tax and land rent; exempting and reducing corporate income tax, personal income tax, VAT, import tax, environmental protection tax and many fees, charges and land rent to support businesses, people and the economy.

“The promulgation and implementation of support solutions for taxes, fees, charges, and land rent have also received the support and appreciation of the business community in general and of Korean businesses in particular; making an important contribution to supporting businesses to overcome difficulties, stabilize production and business activities as well as further strengthen the friendly cooperative relationship between Vietnam and Korea", Deputy Minister Cao Mr. Tuan emphasized.

At the same time, to proactively respond to the implementation of Pillar 2 of global minimum tax within the framework of the Forum on Preventing Tax Base Erosion and Profit Shifting, the Ministry of Finance has coordinated with other ministries and consulted opinions of the FDI business community in Vietnam, including Korean businesses, to submit to the National Assembly for promulgation of Resolution No. 107/2023/QH15 dated November 29, 2023 on the application of additional corporate income tax following regulations against global tax base erosion to apply from 1 January 2024.

“In the coming time, the Ministry of Finance of Vietnam would continue to improve mechanisms and policies, promote reform of administrative procedures and comprehensive and synchronous electronic and digitization in the tax and customs fields following direction to continue creating a fair, transparent, and favorable business environment for the domestic business community and the FDI business community in Vietnam, thereby helping businesses continue to develop to both enrich businesses and create jobs for workers to continue contributing to the socio-economic development of Vietnam", Deputy Minister Cao Anh Tuan affirmed.

The Deputy Minister hoped that, along with the solutions of the Government, the Prime Minister, central and local ministries, departments, and localities, the Ministry of Finance wants Korean businesses to proactively take advantage of more opportunities to innovate and improve competitiveness and development. At the same time, strictly and fully comply with the provisions of law on taxes and customs, contributing to the common goal of socio-economic development of the country in the current challenging context.

At the dialogue, representatives of leaders of units under the Ministry of Finance, General Department of Taxation and General Department of Vietnam Customs introduced the main contents and results of work in the field of tax and customs recently.

At the same time, they directly answer in detail and thoroughly the problems of FDI enterprises related to the field of tax and customs. Regarding comments related to regulations in Laws, Decree, etc. that are beyond its authority, the Deputy Minister of Finance requests relevant units to record and urgently synthesize and report to the Ministry of Finance for consideration and submission to the Government.