MoF submits to the Government to extend the deadline for payment of taxes

VCN – The Ministry of Finance has submitted to the Government a draft Decree on extending the deadline for payment of Value Added Tax, Personal income tax and land and water surface rents in 2022.
MoF will support and remove problems for businesses: Minster of Finance MoF will support and remove problems for businesses: Minster of Finance
MoF supports businesses in economic recovery and development programme MoF supports businesses in economic recovery and development programme
MoF and State Bank sign regulations on foreign exchange MoF and State Bank sign regulations on foreign exchange
MoF submits to the Government to extend the deadline for payment of taxes

The State’s support policies will help businesses overcome difficulties due to the impact of the pandemic. Photo: Internet.

Ensuring extension for accurate beneficiaries

According to the Ministry of Finance, the Covid-19 pandemic has continued to develop in a complicated and unpredictable manner. In fact, many sectors have suffered from difficulties, the operation of businesses has been suspended, especially small-sized enterprises.

The decrease in sales and interruption of commercial transactions has caused difficulties in balancing the financial resources of businesses to maintain production and business activities.

Therefore, the State's support policies through extending the deadline for payment of taxes and fees will help enterprises to overcome difficulties caused by the pandemic and restore production.

The Ministry has gathered feedback from ministries, government agencies and organizations about the draft Government Report and draft Decree on extending the deadline for payment of Value Added Tax, Corporate Income Tax, Personal Income Tax and land and water surface rent in 2022.

The Ministry has received comments from ministries, government agencies, People's Committees of provinces and cities, and collected feedback from Vietnam Chamber of Commerce and Industry and Vietnam Tax Consultations’ Association.

Currently, the ministry has completed the draft decree.

Regarding the selection of beneficiaries for the extension of the payment deadline, beneficiaries must be enterprises, organizations, business households and individuals affected by the Covid-19 pandemic. It is necessary to facilitate the tax administration, avoid increasing administrative procedures and prevent revenue loss.

Many are eligible for tax extension

In the draft Decree, the Ministry of Finance proposes to continue extending the deadline for paying taxes and land and water surface rents for all the entitles specified in Article 2 of the Government Decree 19/04/2021.

The Ministry suggests that the decree stipulates the extension of the deadline for payment of value-added tax, corporate income tax, personal income tax and land rent as per Decree 52/2001/ND- CP and the deadline for paying water surface rent in 2022, helping businesses and individuals have more financial resources to restore production and business.

To ensure the state budget balance in 2022, the Ministry proposes a 6-month extension of the Value-added tax from March to May and the first quarter of 2022, a 5-month extension for the value-added tax of June and the second quarter, a 4-month extension for the value-added tax of July, a 3-month extension for the value-added tax of August for enterprises and organizations eligible for tax extension.

According to the Ministry of Finance, if the extension is implemented under the above plan, the total value-added tax amount will be extended from March to August and the first and second quarters in 2022 is worth about VND53,300-54,300 billion.

For corporate income tax, the Ministry of Finance proposes to extend the payment deadline for the temporarily paid corporate income tax amount of the first quarter, the second quarter of the corporate income tax term 2022. The extended deadline is three months from the end of the deadline for paying corporate income tax as per the law on tax administration. It is estimated that the extended tax amount is about VND51,000-52,000 billion.

To remove obstacles for business households and individuals, the Ministry also proposes to extend the payment deadline of value-added tax and personal income tax for business households and individuals. These taxpayers are allowed to pay the extended taxes no later than December 30, 2022. Accordingly, the extended tax amount is estimated at VND15,304 billion.

For land and water surface rents, as per the provisions of Clause 3, Article 18 of the Government Decree 126/2020/ND-CP dated October 19, 2020 detailing a number of articles of the Law on Tax Administration, the time limit for paying the annual land and water surface rents is 2 terms (50% of rent is paid in the first term on May 31; the rest is paid the second term on October 31 every year).

The Ministry proposes that the payment of 50% of total land and water surface rent payable in 2022 will be extended by six months from May 31 to November 30, 2022. It is expected that the extended amount is about VND3,500-3,700 billion.

Because this is an urgent solution that needs to be issued immediately to support businesses and people affected by the pandemic, the Ministry has submitted to the Government for permission for the Decree to take effect from the date of signing.

If the decree is issued, it will support and reduce difficulties for businesses and individuals engaged in production and business activities. The extension of tax payment, land and water surface rents helps taxpayers have more financial resources to maintain and restore production, thereby removing difficulties for production and business, contributing to achieving the economic growth target for the whole of 2022.

By Thuy Linh/Ngoc Loan

Related News

Ensure harmony of interests of “3 parties” when applying 5% VAT on fertilizers

Ensure harmony of interests of “3 parties” when applying 5% VAT on fertilizers

VCN - In the short term, applying 5% VAT on fertilizers may increase selling prices, but in the long term, farmers will benefit from this policy. When the fertilizer manufacture is deducted input tax, it will help reduce investment cost and production cost.
Stipulate implementation of centralized bilateral payments of the State Treasury at banks

Stipulate implementation of centralized bilateral payments of the State Treasury at banks

VCN - The Ministry of Finance (MOF) gathers feedback on the draft Circular regulating the management and use of accounts of the State Treasury opened at the State Bank of Vietnam (SBV) and commercial banks.
Tax, fee, and land rent exemption, reduction, and deferral policies: a driving force for business recovery and growth

Tax, fee, and land rent exemption, reduction, and deferral policies: a driving force for business recovery and growth

Recently, the implementation of a series of policies on tax, fee, and land rent exemption, reduction, and deferral has provided timely support for businesses to recover and develop, thereby making positive contributions to economic growth.
Applying tax on animal feed ingredient faces problems due to specialized regulations

Applying tax on animal feed ingredient faces problems due to specialized regulations

VCN - The unified application of regulations of specialized legal documents related to value-added tax (VAT) policies on imported raw materials for animal feed has caused many problems. Notably, the accurate identification for imported raw materials for animal feed not only causes difficulties for the enterprise but also for the enforcement authority.

Latest News

M&A activities show signs of recovery

M&A activities show signs of recovery

Mergers and acquisitions (M&A) activities in Vietnam have been showing signs of recovery in recent months as several large companies announced finished deals, which may create a ripple effect in the M&A market.
Fiscal policy needs to return to normal state in new period

Fiscal policy needs to return to normal state in new period

VCN - To recover the economy during and after the Covid-19 pandemic, fiscal policy has been flexibly and promptly managed, becoming a solid foundation to help businesses and the economy gradually overcome difficulties. After nearly 5 years, although there are still difficulties, the economy is gradually returning to a high growth trajectory. In that context, it is necessary to let fiscal policy return to normal state.
Ensuring national public debt safety in 2024

Ensuring national public debt safety in 2024

VCN - Since the beginning of the year, public debt management has been conducted proactively and effectively, meeting the need of raising capital for development investment. At the same time, debt indicators by the end of 2024 are guaranteed within the ceiling and safety threshold approved by the National Assembly, ensuring national financial security, increasing proactive response to risks arising from external and internal causes of the economy.
Removing many bottlenecks in regular spending to purchase assets and equipment

Removing many bottlenecks in regular spending to purchase assets and equipment

VCN - Decree No. 138/2024/ND-CP, which has just been issued, is expected to contribute to resolving bottlenecks in allocating funds for purchasing assets and equipment; renovating, upgrading, expanding, and constructing new construction items in projects that have been invested in and constructed in the past.

More News

Continue to handle cross-ownership in banks

Continue to handle cross-ownership in banks

VCN - The situation of excess share ownership, cross-ownership between credit institutions (CIs), CIs and enterprises, although has decreased significantly compared to previous periods, is still complicated and requires continued inspection and control.
Striving for average CPI not to exceed 4%

Striving for average CPI not to exceed 4%

VCN - According to the report of the Ministry of Finance, there are still some factors that put pressure on price levels in the remaining months of 2024, so the Ministry has updated 2 scenarios of average inflation in 2024 increasing in the range of 3.7-3.92%.
Delegating the power to the government to waive, lower, or manage late tax penalties is suitable

Delegating the power to the government to waive, lower, or manage late tax penalties is suitable

VCN - Discussing in groups about the project "1 law amending 7 laws" in the financial sector according to the program of the 8th Session on October 29, 2024, National Assembly delegates proposed that the Government should be assigned to make specific regulations on decentralization, granting the right to exempt and reduce taxes, and handling penalties for late payment of taxes...
Removing difficulties in public investment disbursement

Removing difficulties in public investment disbursement

VCN - According to the report of the Investment Department (Ministry of Finance), the estimated disbursement from the beginning of the year to October 31, 2024 is VND 355,616.1 billion, reaching 47.43% of the 2024 plan, reaching 52.29% of the plan assigned by the Prime Minister.
State-owned commercial banking sector performs optimistic growth, but more capital in need

State-owned commercial banking sector performs optimistic growth, but more capital in need

VCN - According to the report sent to the National Assembly before the 8th Session of the Government on investment, management and use of state capital in enterprises nationwide in 2023, the business performance of the state-owned commercial banking sector achieved positive growth.
Rush to finalize draft decree on public asset restructuring

Rush to finalize draft decree on public asset restructuring

VCN - According to the Ministry of Finance, the draft Decree regulating the rearrangement and handling of public assets is being urgently completed by the Ministry of Finance to submit to the Government for promulgation.
Inspection report on gold trading activities being complied: SBV

Inspection report on gold trading activities being complied: SBV

The State Bank of Vietnam (SBV) has announced that inspections on compliance with legal policies in gold trading activities of credit institutions and gold trading businesses have been completed and an inspection report is being compiled.
Budget revenue in 2024 is estimated to exceed the estimate by 10.1%

Budget revenue in 2024 is estimated to exceed the estimate by 10.1%

VCN -The Government estimates that state budget revenue in 2024 will exceed VND 172.3 trillion, up 10.1% over the estimate, of which tax and fee revenue will reach 13.1% of GDP.
Ensure timely and effective management and use of public asset

Ensure timely and effective management and use of public asset

VCN – In order to promptly and effectively implement public asset management and use, ensuring compliance with legal regulations, the Ministry of Finance has just issued an official dispatch requesting ministries, branches and localities to comply with regulations in the Government’s Decree No. 114/2024/ND-CP dated September 15, 2024.
Read More

Your care

Latest Most read
M&A activities show signs of recovery

M&A activities show signs of recovery

Mergers and acquisitions (M&A) activities in Vietnam have been showing signs of recovery in recent months as several large companies announced finished deals, which may create a ripple effect in the M&A market.
Fiscal policy needs to return to normal state in new period

Fiscal policy needs to return to normal state in new period

VCN - To recover the economy during and after the Covid-19 pandemic, fiscal policy has been flexibly and promptly managed, becoming a solid foundation to help businesses and the economy gradually overcome difficulties. After nearly 5 years, although there
Ensuring national public debt safety in 2024

Ensuring national public debt safety in 2024

VCN - Since the beginning of the year, public debt management has been conducted proactively and effectively, meeting the need of raising capital for development investment. At the same time, debt indicators by the end of 2024 are guaranteed within the ce
Removing many bottlenecks in regular spending to purchase assets and equipment

Removing many bottlenecks in regular spending to purchase assets and equipment

Decree No. 138/2024/ND-CP, which has just been issued, is expected to contribute to resolving bottlenecks in allocating funds for purchasing assets and equipment
Continue to handle cross-ownership in banks

Continue to handle cross-ownership in banks

VCN - The situation of excess share ownership, cross-ownership between credit institutions (CIs), CIs and enterprises, although has decreased significantly compared to previous periods, is still complicated and requires continued inspection and control.
Mobile Version