Minister Dinh Tien Dung: To solve difficulties for enterprises, synchronous implementation of fiscal solutions needed

VCN - Speaking at the discussion session at the National Assembly Hall on June 16, regarding the draft Resolution on reduction of corporate income tax (CIT) payable in 2020 for enterprises and cooperatives, public service delivery units and other organizations, Minister of Finance Dinh Tien Dung said: "This is a solution, but to solve difficulties for enterprises, the implementation of fiscal solutions is needed.”

minister dinh tien dung to solve difficulties for enterprises synchronous implementation of fiscal solutions needed Minister of Finance: corruption and bribery in any form strictly forbidden
minister dinh tien dung to solve difficulties for enterprises synchronous implementation of fiscal solutions needed PM orders all-out efforts to fulfil tasks for this year
minister dinh tien dung to solve difficulties for enterprises synchronous implementation of fiscal solutions needed Minister of Finance Dinh Tien Dung: Focus on 10 financial solutions to support economic recovery
minister dinh tien dung to solve difficulties for enterprises synchronous implementation of fiscal solutions needed
Minister of Finance Dinh Tien Dung explained contents raised by National Assembly deputies

Tax reduction is appropriate

According to deputy Dang The Vinh (Hau Giang), the Covid-19 pandemic has affected the whole society, so the proposal on corporate income tax for enterprises is appropriate.

He said that the tax reduction wasonly applied in 2020, so it was suggested to consider criteria and objects to be easy to implement and promote efficiency. The simpler it is, the easier it is to be implemented and avoid arising problems.

Agreeing with the view of CIT payable reduction in 2020 at the Government's Proposal, deputy Vu Tien Loc (Thai Binh) stated that the Law on Supporting Small and Medium Enterprises includes the concept of small enterprises.

“Because of the limited budget, it is not possible to support all enterprises, at least the support is also offered to small enterprises, avoiding the concept of small-scale enterprises. Please support the right small enterprises as prescribed in the Law, so there is no need to combine the criteria of sales and the number of employees paying social insurance as in the Government's Proposal, enterprises only meeting one criterion is enough for support,”said Loc.

Supporting the policy of reducing corporate income tax payable in 2020, however, deputy Phung Van Hung (Cao Bang) said that it should not only support small enterprises but should expand the support scope to medium enterprises.

He said that small and medium enterprises play an important role in the economy. This group lacks resources, science and technology and has weak management capacity, as well as poor accessibility to credit compared to large enterprises.

"I suggest the Government should consider amending the Law on Enterprise Income Tax and other related laws to bring the Law on Supporting Small and Medium Enterprises into practice," said Phung Van Hung.

Paying much attention to subjects entitled to CIT reduction, according to deputy Pham Van Hoa (Dong Thap), the provision of support for small enterprises that meet two criteria of turnover of less than VND50 billion and social insurance contributions for less than 100 employees is quite vague.

“The business should have a real revenue of VND55 billion, even VND 60 billion, but they will declare just under VND50 billion, even VND 49.9 billion to receive the support. I think it should be clear that all small enterprises are entitled to reduction,” said Hoa.

In addition, Hoa said that, even if medium and large enterprises face real difficulties they are entitled to tax reduction because difficulties are too much,large enterprises also go bankrupt.

The synchronous implementation of fiscal policy is needed

Explaining opinions of National Assembly deputies, Minister of Finance Dinh Tien Dung stated that the Resolution is a fiscal solution introduced by the Government to support enterprises in the current situation.

The National Assembly deputies agreed with the need for this Resolution.

Regarding subjects, through the opinions of the National Assembly deputies, the drafting agency acquires and will report to the Government and the Prime Minister for early reporting to the National Assembly.

minister dinh tien dung to solve difficulties for enterprises synchronous implementation of fiscal solutions needed
The discussion session on June 16.

Regarding criteria, Minister Dinh Tien Dung said that it is necessary to select the criteria to implement and manage smoothly, avoiding risks.

Recently, the Government has synchronously implemented fiscal solutions to support enterprises. The Government has issued Decree No. 41/2020 / ND-CP of April 8, 2020 on extending the deadlines for payment of taxes and land rent for those who are in difficulty due to the impact of the Covid-19 pandemic. Until now, the policy has been put into practice and is very convenient for enterprises to calculate and declare taxes by themselves. The implementation is very convenient, so it has not been inspected.

Regarding the reduction of fees and charges, until now, the Ministry of Finance has issued 18 circulars to reduce fees and charges. Many types of fees and charges have been greatly reduced, including for the aviation sector. Especially, service prices in the securities sector have been reduced, so it has had a great impact, contributing to stabilizing the market.

In addition, policies such as personal income tax deduction have been approved by the National Assembly Standing Committee. In terms of reducing costs for enterprises, the Ministry of Finance has submitted to the Government amendments to some decrees on adjusting import tax rates, solving difficulties for enterprises' production and import-export activities, in which support is given to the supporting industries, footwear and textile.

In addition, in the near future, under the direction of the Government, the Ministry of Finance is building and will submit to the Government the proposal on reducing 50% of registration fee for domestically manufactured cars; and submit to the Government for submission to the National Assembly Standing Committee a resolution on environmental protection tax on jet fuel. These tax policies are intended to assist vulnerable enterprises, especially airlines.

This is one of the solutions, but to solve difficulties for enterprises, the synchronous implementation of fiscal solutions is needed.

minister dinh tien dung to solve difficulties for enterprises synchronous implementation of fiscal solutions needed More administrative procedures to go online: Minister

The Government of Vietnam wants the business community to provide feedback and input to help improve the ...

"We agreed with the deputies on that the implementation procedures must be very simple. As a rule, enterprises are allowed to calculate, declare, and pay taxes and fees by themselves. However, in the process of management, we have to strengthen risk management and conduct inspections for case of necessity,” said the Minister of Finance.

By Thanh Nguyen/ Huyen Trang

Related News

Over 300 Southern enterprises attend workshop to provide feedback to the General Department of Vietnam Customs

Over 300 Southern enterprises attend workshop to provide feedback to the General Department of Vietnam Customs

VCN - On November 21, 2024, more than 300 enterprises from Southern Vietnam with significant import-export (I/E) volumes participated in a workshop held in Ho Chi Minh City. The event, organized by the General Department of Vietnam Customs, sought feedback on the draft decree amending and supplementing Decree No. 08/2015/ND-CP dated January 21, 2015, and the draft circular amending and supplementing Circular No. 38/2015/TT-BTC dated March 25, 2015, and Circular No. 39/2018/TT-BTC dated April 20, 2018, issued by the Minister of Finance.
Hanoi Customs resolves tax policy queries for enterprises

Hanoi Customs resolves tax policy queries for enterprises

VCN - Queries regarding customs consultation procedures and tax refunds due to price reduction clauses were addressed by the Hanoi Customs Department, providing clarity for businesses.
Solutions to prevent or fraud of origin and geographical indication violations

Solutions to prevent or fraud of origin and geographical indication violations

VCN - The Customs Magazine recently interviewed Nguyen Van Hoan, Deputy Director of the Anti-Smuggling and Investigation Department (General Department of Vietnam Customs), to discuss solutions for combating tax evasion, fraud of origin and geographical indication violations in the coming period.
Implementing the SAFE Framework in Vietnam: Solutions and Recommendations

Implementing the SAFE Framework in Vietnam: Solutions and Recommendations

VCN - Recognizing the significance, impact, and benefits of the SAFE Framework in customs modernization and reform, Vietnam Customs is advancing the implementation of SAFE. This involves both capacity building and phased deployment aligned with Vietnam Customs’ development strategy and practical needs.

Latest News

HCM City set to welcome fresh wave of US investment

HCM City set to welcome fresh wave of US investment

Ho Chi Minh City is poised to attract a new wave of investment from US enterprises, with numerous projects proposed in key sectors.
Party leader’s Malaysia visit highlights Vietnam’s ASEAN-centric approach: Thai newspaper

Party leader’s Malaysia visit highlights Vietnam’s ASEAN-centric approach: Thai newspaper

The official visit to Malaysia from November 21-23 by General Secretary of the Communist Party of Vietnam Central Committee To Lam highlights Vietnam’s ASEAN-centric approach, positioning both nations as key players in counterbalancing external influences in Southeast Asia, scholar Kavi Chongkittavorn wrote in an article posted on the Thai Public Broadcasting Service (Thai PBS)'s website on November 22.
Vietnam

Vietnam's internet economy projected to hit 36 billion USD in 2024

Vietnam's e-commerce and digital economy remain highlights of the country’s socioeconomic development, with the internet economy to reach 36 billion USD this year, marking a 16% increase compared to 2023, heard a forum on digital transformation of industry and trade in 2024 in Hanoi on November 21.
Adapting to multicultural environments in global business

Adapting to multicultural environments in global business

VCN - In multicultural environments, businesses believe that a strong spirit of cooperation is essential, combined with internal strengths based on knowledge and a high-quality workforce.

More News

Vietnam resolved to boost digital economy with national action plan

Vietnam resolved to boost digital economy with national action plan

Vietnam has adopted a national action plan on digital economy development, which outlines key tasks and solutions for the 2024-2025 period.
NA Chairman departs for official visit to Cambodia

NA Chairman departs for official visit to Cambodia

National Assembly Chairman Tran Thanh Man and a high-ranking delegation of Vietnam’s Party and State left Hanoi on November 21 for an official visit to Cambodia, where the top legislator will attend the 12th General Assembly of the International Conference of Asian Political Parties (ICAPP) and the 11th Plenary Session of International Parliament for Tolerance and Peace (IPTP).
Innovating gold market management mindset

Innovating gold market management mindset

VCN - To better manage the gold market in the current context, Ass. Professor Dr. Nguyen Thuong Lang, Senior Lecturer at the Institute of International Trade and Economics, National Economics University, believed that a shift in gold market management was needed. Moving away from administrative control toward more economically driven mechanisms and policies is essential.
Businesses need support from vietnamese representative offices abroad

Businesses need support from vietnamese representative offices abroad

VCN - Several heads of Vietnamese representative offices abroad believe that Vietnamese businesses need to prepare solutions to respond to the changing global economy and meet the increasing demands of the international market.
Vietnam-Cambodia relations expected to enter new development period: official

Vietnam-Cambodia relations expected to enter new development period: official

The upcoming trip to Cambodia by National Assembly (NA) Chairman Tran Thanh Man is expected to advance the relations between the two countries into a new development period on the basis of equality, mutual benefit, effective cooperation, and respect for each other's interests, a legislator has said.
Vietnam emerges as forerunner in global nearshoring trend

Vietnam emerges as forerunner in global nearshoring trend

Vietnam has emerged as a leading destination for companies relocating their production facilities, aiming to protect supply chains from potential disruptions, according to an article published by Brazil’s riotimesonline.com on November 17.
PM’s visit to Dominican Republic to cement ties

PM’s visit to Dominican Republic to cement ties

Following his trip to Rio de Janeiro Brazil for the G20 Summit and bilateral engagements, Prime Minister Pham Minh Chinh, accompanied by his spouse and a high-ranking Vietnamese delegation, is set to embark on an official visit to the Dominican Republic from November 19-21.
Top 500 Largest Enterprises in Vietnam in 2024: Affirming the ability to overcome "headwinds"

Top 500 Largest Enterprises in Vietnam in 2024: Affirming the ability to overcome "headwinds"

VCN - On November 8, 2024, Vietnam Report in collaboration with VietNamNet Newspaper announced the VNR500 Ranking - Top 500 Largest Enterprises in Vietnam in 2024. The indicators under the VNR500 Ranking show that the business performance has been positive although there are still "headwinds".
"Explosion" of aviation retail with new services

"Explosion" of aviation retail with new services

VCN - With many large investment projects, Vietnam is considered a potential destination for the aviation trade industry in the Asian region, in which aviation retail will "explode".
Read More

Your care

Latest Most read
HCM City set to welcome fresh wave of US investment

HCM City set to welcome fresh wave of US investment

Ho Chi Minh City is poised to attract a new wave of investment from US enterprises, with numerous projects proposed in key sectors.
Party leader’s Malaysia visit highlights Vietnam’s ASEAN-centric approach: Thai newspaper

Party leader’s Malaysia visit highlights Vietnam’s ASEAN-centric approach: Thai newspaper

The official visit to Malaysia from November 21-23 by General Secretary of the Communist Party of Vietnam Central Committee To Lam highlights Vietnam’s ASEAN-centric approach, positioning both nations as key players in counterbalancing external influences in Southeast Asia, scholar Kavi Chongkittavorn wrote in an article posted on the Thai Public Broadcasting Service (Thai PBS)'s website on November 22.
Vietnam

Vietnam's internet economy projected to hit 36 billion USD in 2024

Vietnam's e-commerce and digital economy remain highlights of the country’s socioeconomic development, with the internet economy to reach 36 billion USD this year, marking a 16% increase compared to 2023, heard a forum on digital transformation of industry and trade in 2024 in Hanoi on November 21.
Adapting to multicultural environments in global business

Adapting to multicultural environments in global business

VCN - In multicultural environments, businesses believe that a strong spirit of cooperation is essential, combined with internal strengths based on knowledge and a high-quality workforce.
Vietnam resolved to boost digital economy with national action plan

Vietnam resolved to boost digital economy with national action plan

Vietnam has adopted a national action plan on digital economy development, which outlines key tasks and solutions for the 2024-2025 period.
Mobile Version