Many tax policies issued to stabilize petroleum products prices

VCN – The Ministry of Finance said that after reducing the environmental protection tax and proposing to adjust import tax, the Ministry is waiting for the Prime Minister's direction on the reduction of Value-Added and Excise Tax on petroleum products.
People and businesses appreciate issued tax policies People and businesses appreciate issued tax policies
Tax policies must be easy to understand and perform: Deputy Minister of Finance Tax policies must be easy to understand and perform: Deputy Minister of Finance
HCM City: 166 export processing enterprises meet the requirements of customs supervision HCM City: 166 export processing enterprises meet the requirements of customs supervision
Many tax policies issued to stabilize petroleum products prices
The price of petroleum products plunges after reducing Environmental protection tax

Many policies issued and developed

The Ministry of Finance said that in the uncertain development of petroleum product market and the high level of crude oil price in the world market, the Ministry of Finance reported competent authorities to issue tax policies to stabilize petroleum prices and control inflation, ensure macroeconomic stability and energy security.

Regarding the Environmental Protection Tax, the ministry has reported to the Government to submit to the National Assembly Standing Committee for promulgation of Resolution of 20/2022/UBTVQH15 dated July 6, 2022, revising down the environmental protection tax for gasoline, oil and grease to the floor level as per regulations in the Law on Environmental Protection Tax until the end of December 31.

On July 10, the Ministry of Finance issued Official Dispatch 6622/BTC-CST sending to the General Department of Taxation, tax departments of the provinces and centrally-run cities, the General Department of Vietnam Customs, the municipal and provincial customs departments on the implementation of policies to ensure transparency and consistency.

Regarding import and export taxes, the ministry submitted the Report 166/TTr-BTC to the Government on the draft Decree on reduction of most-favoured-nation (MFN) rates for unleaded motor gasoline under Heading 27.10 from 20% to 10%.

The promulgation of this policy will contribute to diversifying supply sources, creating opportunities to access new supply sources for importers instead of depending on the supply from South Korea or ASEAN member states, promoting the stability of the domestic petroleum market, ensuring national energy security amid unpredictable fluctuations in the world petroleum market. The Government Office is currently gathering feedback from Government members to submit to the Government for promulgation.

On July 28, 2022, the Ministry of Finance proposed the Prime Minister on the policy of Value-added tax and Excise Tax for petroleum products. After consulting with the Prime Minister, the ministry will coordinate with relevant ministries and branches to develop documents in line with regulations in the Law on Promulgation of Legal documents.

Stabilize commodity prices after petroleum prices fall

Petroleum is a key input fuel in the economy. Fuel costs account for a large portion of the cost structure of goods and services such as transportation, said the Ministry of Finance.

In July, petroleum prices were been revised down three times and plunged on July 11 and 21 due to the reduction of environmental protection tax and decrease in global petroleum prices. The reduction in petrol prices will have a direct or indirect impact on the prices of commodities, especially products and services that mainly use petroleum products in production.

However, the Ministry said despite the plunge in domestic prices, prices of essential consumer goods still surged due to factors such as the impact of input material prices, inventory levels, production capacity, seasonal fluctuations, and long term-increase in input materials, so it is not possible to fall prices immediately.

Recently, the Prime Minister sent a memo directing ministries, government agencies and localities to strictly control the prices of products and services after petroleum price were reduced sharply; review the price declaration of items affected by the petroleum price such as services of passenger and goods transport and logistics to adjust in line with the fluctuations of input factors, especially petroleum costs in price-forming factors; strengthen inspection of the compliance with price listings, service fee collection of enterprises, and handle cases that illegally increase the price.

For essential goods and services, which are indirectly affected by petroleum prices, that have an impact on the consumer price index and people's lives, production and business activities of enterprises, the Prime Minister requested ministers, heads of ministerial-level agencies, People's Committees of provinces and centrally run cities to closely monitor market price movements, grasp the operation of organizations and individuals to take appropriate management and price stabilization measures; strengthen inspection and control of the observance of the law on prices, price declaration and list measures, and handle cases illegally raising prices, checking the price-forming factors under the Law on Prices when goods have abnormal fluctuations and handle violations.

As for freight costs, the Ministry of Transport is the agency in charge of state management in the field of transportation and the Ministry of Finance is the coordinating agency upon request.

The Ministry of Transport and the Department of Transport currently receive price declarations for land fixed-route transport; passenger transport by taxi, prices for aviation services in the list of prices stipulated by the State; the price of domestic air passenger transport services under the list of price bracket regulated by the State.

The Prime Minister requested the Ministry of Transport to revise down costs to reduce the prices of goods and transport services priced by the State. For goods and services subject to price declaration, the Prime Minister asked the declaration-receiving agency to review the declared price of transport services in accordance with the fluctuating price-forming factors, and to advise the competent agencies to control the price in line with the reality.

By Thuy Linh/Ngoc Loan

Related News

Managing price effectively, reducing pressure on inflation

Managing price effectively, reducing pressure on inflation

VCN - Timely and effective price management helps control the consumer price index (CPI) and inflation in accordance with the set target.
There should soon be more mechanisms to control land speculation by imposing taxes

There should soon be more mechanisms to control land speculation by imposing taxes

VCN - The sudden high auction price of land can create a trend of land speculation. In order for land auctions to be transparent and increase revenue for the budget, the State needs to soon have more mechanisms to control speculative activities by imposing taxes, targeting those who accumulate and speculate instead of those who buy real estate for living purposes or organizing production and business, the factor of accumulated assets will decrease.
Promptly disseminate policies and enhance effectiveness of state management of prices

Promptly disseminate policies and enhance effectiveness of state management of prices

VCN – Currently, the legal system on prices has been comprehensively completed, improving the effectiveness of state management of prices by ministries, branches and localities.
Reducing pressure from prices of items managed by the State

Reducing pressure from prices of items managed by the State

VCN – Facing potential inflation pressure, the Government has repeatedly requested ministries and agencies to consider and prepare plans and roadmaps to adjust price of goods and services managed by the State.

Latest News

Stock market sees notable recovery amid ongoing uncertainties

Stock market sees notable recovery amid ongoing uncertainties

The VN-Index ended the week with impressive gains. However, analysts remain cautious about the sharp decline in liquidity and raise concerns about the sustainability of this upward momentum.
E-commerce tax collection in Hanoi increased by 265%

E-commerce tax collection in Hanoi increased by 265%

VCN - As of August 2024, the Hanoi Tax Department has built a tax management directory for e-commerce business activities including more than 75,000 organizations and individuals. In particular, there are more than 37,000 business households and more than 9,000 individuals.
Solving necessary and urgent issues in financial and budgetary sectors

Solving necessary and urgent issues in financial and budgetary sectors

VCN - Most of members of the Standing Committee of the National Assembly's Finance and Budgetary Committee agreed that it is necessary to study, amend and supplement laws in the financial sector in order to focus on immediately removing difficulties and institutional obstacles in the financial and budgetary sectors to improve the investment and business environment, and to attract maximum state and non-state resources to promote the country's socio-economic development.
Banks reduce profit expectations for 2024

Banks reduce profit expectations for 2024

A majority of banks have lowered their profit expectations for 2024.

More News

A new tax management approach needed to promote business household development

A new tax management approach needed to promote business household development

VCN - The Tax Department needs to change tax management methods to facilitate the business environment, promote the development of business households, ensure accurate, sufficient, and timely tax collection, and prevent budget losses.
Fifteen Vietnamese banks named in the global top 500 banking brands

Fifteen Vietnamese banks named in the global top 500 banking brands

Fifteen Vietnamese banks are named on the world’s top 500 banking brands, announced by the world’s leading brand valuation consultancy Brand Finance.
Digital infrastructure strategy approved

Digital infrastructure strategy approved

Permanent Deputy Prime Minister Nguyen Hoa Binh recently signed a decision approving the digital infrastructure by 2025 with a vision to 2030.
Drastically handle tax debts in the last months of the year

Drastically handle tax debts in the last months of the year

VCN – The General Department of Taxation has directed tax branches to closely supervise and control the implementation of enforcement measures to ensure the debt collection targets and limit new debts.
Realized social investment capital is estimated at VND2,417.2 trillion

Realized social investment capital is estimated at VND2,417.2 trillion

VCN - Lending interest rates tend to decrease, production for export has grown well; policies on tax exemption, reduction, extension and deferral continue to be implemented to support businesses and production establishments, promoting new investment and production expansion, increasing the attraction and implementation of total social investment capital.
State-owned banks struggle to increase capital

State-owned banks struggle to increase capital

While private joint stock commercial banks have increased capital significantly so far this year, the capital for State-owned commercial banks has remained stagnant.
State budget revenue reached 85.1% of estimate

State budget revenue reached 85.1% of estimate

VCN - The Ministry of Finance said that in the first 9 months of 2024, the total state budget revenue is estimated at 1,448.2 trillion VND, equal to 85.1% of the estimate, of which many revenue items have achieved good collection progress and growth compared to the same period in 2023. However, in recent months, budget revenue has begun to face difficulties, etc.
Budget expenditure in the first three quarters of 2024 reached about VND 1,256.3 trillion

Budget expenditure in the first three quarters of 2024 reached about VND 1,256.3 trillion

VCN - The Ministry of Finance said that in the first 9 months of 2024, the state budget spent about VND 1,256.3 trillion, equal to 59.3% of current apropriation, an increase of 1.4% over the same period in 2023.
Increasing institutional investors – improving quality of corporate bond market

Increasing institutional investors – improving quality of corporate bond market

VCN - The structure and quality of investors have been one of the limitations of the corporate bond market in recent times. To improve the quality of the market, increasing institutional investors and improving the quality of investors, including individual investors, is one of the solutions that have been implemented by management agencies, thereby building a sustainable corporate bond market.
Read More

Your care

Latest Most read
Stock market sees notable recovery amid ongoing uncertainties

Stock market sees notable recovery amid ongoing uncertainties

The VN-Index ended the week with impressive gains. However, analysts remain cautious about the sharp decline in liquidity and raise concerns about the sustainability of this upward momentum.
E-commerce tax collection in Hanoi increased by 265%

E-commerce tax collection in Hanoi increased by 265%

As of August 2024, the Hanoi Tax Department has built a tax management directory for e-commerce business activities including more than 75,000 organizations and individuals
Solving necessary and urgent issues in financial and budgetary sectors

Solving necessary and urgent issues in financial and budgetary sectors

VCN - Most of members of the Standing Committee of the National Assembly's Finance and Budgetary Committee agreed that it is necessary to study, amend and supplement laws in the financial sector in order to focus on immediately removing difficulties and i
Banks reduce profit expectations for 2024

Banks reduce profit expectations for 2024

A majority of banks have lowered their profit expectations for 2024.
A new tax management approach needed to promote business household development

A new tax management approach needed to promote business household development

VCN - The Tax Department needs to change tax management methods to facilitate the business environment, promote the development of business households, ensure accurate, sufficient, and timely tax collection, and prevent budget losses.
Mobile Version