Ho Chi Minh City Customs actively deploying "scenario" of budget revenue 2020

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Customs officers of the Customs Branch of Investment Management (Ho Chi Minh City Customs Department) guide procedures for enterprises. Photo: T.H

Revenue decreased over the same period last year

Amid the Covid-19 epidemic’s impact on the budget revenue, the Director of Ho Chi Minh City Customs Department and leaders of the functional divisions have worked with offices in customs units with high revenue to direct the implementation of the task. Thang said that the Covid-19 epidemic was a barrier in attracting import and export goods in the first months of the year, affecting revenue this year, but units need to give a more comprehensive and optimistic assessment including focusing on forecasting development of industries and projects to assess import needs of enterprises.

According to the HCM City Customs Department, as of February 12, the department collected VND 10,830 billion, reaching 9.4 percent of the assigned target. Per the analysis of the Import-Export Tax Division (Ho Chi Minh City Customs Department), the State budget revenues of major customs branches such as Saigon Port Region 1, Saigon Port Region 3, Investment, Hiep Phuoc and Tan Son Nhat airport although revenues decreased but still were stable

In 2020, the HCMC Customs Department is assigned a revenue target of VND 115,000 billion. Such above revenue results, budget revenue decreased by about VND 445 billion compared to the same period in 2019, equivalent to 0.4 percent of the estimate. The Import-Export Tax Division will work with the Information Technology Division to analyse the data to evaluate the impact of imports and exports between Vietnam and China to advise the Department's leaders to take appropriate measures.

As the unit with the largest budget revenue of the whole department, with nearly 45,000 billion VND, Mrs. Pham Thi Leo, Deputy Manager of Saigon Port Region 1 Customs Branch said in 2019, her branch collected VND 45,367 billion, VND 179.7 billion per day on average. Set with a target of VND 44,700 billion in 2020, the branch had to collect VND 179.3 billion per day. Due to the impact of the Covid-19 epidemic, Chinese goods to Cat Lai port have sharply declined and are expected to further drop in the upcoming months, significantly affecting the unit's revenue.

Detailed plan for facilitation developed

Facing this reality, the Director of Ho Chi Minh City Customs Department instructed each unit, based on its characteristics, to formulate a detailed plan on trade facilitation from the beginning of the year to create the most favourable conditions for import and export activities. In particular, leaders of the branches must understand the situation of imports and exports of each group and team to employ specific guidance. Director of Ho Chi Minh City Customs Department will hold monthly briefings with managers and team leaders to implement tasks most effectively.

For trade facilitation, based on the plan issued by the department, border and non-border customs units based on their actual situation must formulate detailed plans, classifying enterprises according to turnover, revenue and sense of law observance to meet, exchange and have solutions to support businesses. In particular, it is required to classify newly established businesses but abuse this enterprise type to conduct illegal business and commercial fraud to take management measures.

“For the organisation of dialogues to solve problems for enterprises in 2020, there is a need to renew the form, content and resolve arising problems in the fastest and most effective way for businesses see the closeness and goodwill of the Customs agency,” said Director Dinh Ngoc Thang.

Reportedly, this February, the leaders of the border gate customs branches will work with warehouses and yards operators to discuss solutions to attract goods, create favourable conditions for businesses to complete import and export procedures. Tran Viet Thang, Manager of Saigon Port Region 1 Customs Branch, said that in the immediate future, leaders of the branch will work with leaders of Saigon Newport Corporation and the leaders of Phu Huu Port to offer solutions to create favourable conditions and attract goods to the port. In addition, to facilitate businesses to participate in the project of trade facilitation at Cat Lai port, in February, the unit in collaboration with the Supervisory Management Division under Saigon Newport Corporation will work with leaders of each enterprise to tell about the benefits enterprises will achieve when participating in the project.

According to Bui Le Hung, Manager of Tan Son Nhat International Airport Customs Branch, although the Covid-19 epidemic did not remarkably affect import-export goods from China via airway, it will also affect the economy and unit’s budget revenue. The leaders of the unit will work with leaders of two warehouses under the management area: Tan Son Nhat Cargo Services Joint Stock Company (TCS) and Saigon Goods Joint Stock Company (SCSC) to grasp the operation plan and discuss solutions to facilitate businesses and remove obstacles to attract goods. From these two warehouses, Tan Son Nhat International Airport Customs Branch will have solutions to support each customs regime via airway to raise budget revenue.

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In parallel with facilitation, the customs units are carrying out anti-smuggling and anti-trade fraud work, helping create a fair business environment, facilitating import-export activities for businesses and fighting against budget revenue loss.