Identify risks and provide solutions in state revenue management

To achieve the estimate in 2023, the Tax sector has followed and assessed the economic situation in the country and the world; identified risks and reported to the Ministry of Finance, the Government to provide scenarios and solutions in the State revenue management in May as well as the following months.

The Tax sector will effectively execute support packages for enterprises. Photo: H.A

The State revenue is estimated at VND578,035 billion

In the first months of 2023, the General Department of Taxation analyzed and assessed the impact of the monetary and fiscal policies of other countries on the business production of domestic enterprises to identify risks and advise the Ministry of Finance and the Government to provide scenarios and solutions in state revenue management in 2023.

The total tax revenue in the first four months of the year was estimated at VND578,035 billion, meeting 42.1% compared with the estimate and 100.7% compared with the year 2022. 12 of 20 revenues and taxes achieved over 38% of the estimate, 8 of 20 revenues reached less than 38%; 13 of 20 revenues and taxes saw growth compared with the same period of the previous year; 7 of 20 revenues and taxes were lower than those in 2022.

The revenue from environmental protection tax was estimated at 49.7%, from registration fee at 78.7%, from land use fee at 45.7%, and from land and water surface rents at 48.8%. 25 of 63 localities reached the estimate at over 38% , 17 of 63 localities ensured the revenue collection (33-38%) and 21 of 63 localities implemented slow revenue collection such as Cao Bang, Phu Yen, Lao Cai, Quang Tri, Thai Binh, Tuyen Quang, Ninh Binh, Lai Chau, Ha Giang.

Regarding the implementation of the Database Analysis and E-invoice Management System, the General Department of Taxation held an online conference to discuss solutions to strengthen management and prevent fraud in the use of e-invoices.

In addition, to promote the application of big data analysis and artificial intelligence (AI) in tax and invoice management, contributing to the control and quick detection of frauds by taxpayers, the General Department of Taxation has officially run the Database Analysis and E-invoice Management System.

Accordingly, the tax authorities will review and analyze to promptly detect signs of risks in the issuance and use of e-invoices, thereby helping to prevent and promptly handle violations related to fraud on invoices and tax refunds.

The General Department of Taxation has directed units to build application software, integrating with the e-invoice system to detect and automatically prevent fraud in a timely fashion.

Effectively execute business support packages

According to the assessment, the revenue collection in the first four months still met the estimated progress and saw a growth rate compared with the year ago. However, this was the lowest rate in the past three years.

Acting Director General of Taxation Mai Xuan Thanh said that although the revenue collection did not reach an alarming level, it showed signs of bad developments. The revenue collection over the months saw signs of decline. The progress in the four months of the year still ensured the implementation of the estimate. However, the increase in revenue mainly resulted from quarterly temporary payments (about VND116 trillion) and irregular revenues.

According to Acting Director General, the State revenue in the first four months of 2023 was a downward trend of the economy. The GDP growth rate was estimated to rise 3.32% year-on-year, the lowest rate in the first quarter of 2011-2023, only higher than the growth rate of 3.21% in the first quarter of 2020. At the same time, the analysis also showed that the difficulties of the economy had a strong impact on the revenue collection of the Customs sector and are forecasted to negatively affect it in the near future.

In May as well as the following months, the Tax sector will closely follow and evaluate the economic situation in the country and the world; analyze and assess the impact of monetary and fiscal policies of other countries on the business production of domestic enterprises to identify risks and advise the Ministry of Finance and the Government to provide scenarios and solutions in state revenue management.

The sector will build and complete legal documents, ensuring the quality and in line with the plan; promptly and effectively execute tax policies and solutions to support enterprises and citizens in business production.

The Tax sector will establish tax database center, and e-invoice database for effective tax management in the long term; accelerate the building of big data analysis tools, AI applications for tax administration and prevention of frauds on e-invoice; urgently speed up the disbursement of State capital in 2023, especially IT projects using medium-term public investment capital for 2021-2025, and projects under the socio-economic recovery and development program.