Name calling of big tax debtors in HCMC

VCN - Among nearly 600 tax debtors called out by HCMC Tax Department at the end of November 2020, there are more than a dozen enterprises owing hundreds of billions of VND in taxes.
Customs sector strengthens revenue collection in last months of year Customs sector strengthens revenue collection in last months of year
Proactively disseminate widely regulations of Law on Tax Management and Decree 126/2020/NĐ-CP Proactively disseminate widely regulations of Law on Tax Management and Decree 126/2020/NĐ-CP
Tax sector has already settled over VND9.907 billion in tax Tax sector has already settled over VND9.907 billion in tax
2817-1753-11-3939-img-2825-1
The real estate sector has a large amount of tax debt. Photo: TH


Over VND29,000 billion of tax debt

According to the list of tax debtors, there are 586 enterprises with a total debt amount of VND4,657 billion. Topping the list with a debtof over VND200 billion are four enterprises, including: Xuyen Viet Oil Travel and Transport Trading Co., Ltd owing VND373 billion, HCMC Plant One Member Limited owing VND234 billion, PhuDinh Port Joint Stock Company owing VND222 billion and the Nhut Thanh Consultancy - Investment - Construction - Trading - Production Joint Stock Company owing VND220 billion. These enterprises account for nearly a quarter of the total tax debt amount announced.

According to Le Hoang Chau, Chairman of the HCM City Real Estate Association, the impact of the Covid-19 pandemic is seriously reducing sales and profit, even causing many enterprises to lose liquidity in cash flow when inventories and outstanding debts are increasing. Besides, the impact of the pandemic increases investment costs, capital costs and interest costs, leading to the risk that debts will turn into bad debts. The cost of business management is therefore also increases compared to the modest sales and profit amid the pandemic. The largereal estate enterpriseswith a huge amount of employees will face more difficulties, so the tax amount paid to the State budget will also decline.

In addition, there are seven enterprises with tax debt of over VND100 billion, including: Bach Khoa Viet Trading,-Consultancy-Investment-construction Joint Stock Company owing VND168 billion, Phu My Development Investment Joint Stock Company owingVND136 billion, the Branch of Binh Duong Construction Stone Company in Ho Chi Minh City owing VND130 billion, Tan Tao Investment and Industry Corporation owing VND120 billion, Phu My Construction Investment Joint Stock Company owing nearly VND115 billion, Lo Hoi Trading Co., Ltd owing VND112 billion and Thai Son Investment Development Corporation(Ministry of National Defense) owing VND111 billion.

Also in the list of tax debtors, there are 10 enterprises with tax debt amount from VND50 billion to less than VND100 billion, 51 enterprises with debt amount from VND10 billion to less than VND50 billion and the rest mostly owe taxes from VND1 billion to less than VND10 billion.

It is known that the total domestic tax debt in Ho Chi Minh City as of October 31, 2020 is VND29,184 billion. Of which, the recoverable debts are VND13,044 billion, accounting for 44.7%, an increase of 19.82% compared to the beginning of the year. HCMC Tax Department collected VND 4,735 billion of tax debts, reaching 61.67% of the debts transferred from 2019. The total numberfor debt freezing as of October 31, 2020 was 47,091, accounting for 22.22% of the number oftaxpayers subject to debt freezing with the frozen tax debt of VND2,729 billion, accounting for 37.07% of the tax debts subject to freezing.

Huge debt from real estate

Director of HCMC Tax Department Mr. Le Duy Minh said that large tax debtors are mainly related to revenues from land and corporate income tax on real estate activities. Specifically, debt for land and water surface rent is VND2,961 billion, up 7.44% over the previous year, equivalent to an increase of VND205 billion.

According to analysis byHCM Tax Department, the biggest tax debt group falls on real estate business and construction. Of which, there are 78 enterprises with tax debt of over VND5 billion. The total tax debt of these 78 enterprises is VND2,921.5 billion, accounting for 10.17% of the total tax debt as of September 30, 2020 in HCMC.

Debts from land use fees total VND1,022 billion, of which, tax debt of over VND5 billion includes 18 enterprises with a total debt of land use fees of VND886 billion, accounting for 86.69%. The total tax debt of these 18 enterprises is VND1,533 billion, accounting for 5.35% of the total tax debt. Besides, debts from corporate income tax of real estate enterprises is VND327 billion, up 20.22% over the previous year, equivalent to an increase of VND55 billion. Tax debt of over VND5 billion includes 29 enterprises with a total corporate income tax debt on real estate of VND295 billion, accounting for 90.21%. Generally, the total tax debt of these 29 enterprises is VND1,186 billion, accounting for 4.14% of the total tax debt as of September 30, 2020 in HCMC.

According to the Ho Chi Minh City Tax Department, there are some enterprises owing of hundreds of billionsof VND in taxes for a long time. The first is Gamuda Land Joint Stock Company with a debt of VND541 billion, of which the land rent is VND421 billion and the late payment interest is VND120 billion. Followed by Duc Khai Joint Stock Company with a debt of VND441 billion, of which the land use fee is VND334 billion and late payment interest is VND107 billion. In addition, HCMC Tax Department identifies many enterprises unable to fulfill financial obligations, with debts of VND254 billion; public companies with large tax debts of VND468 billion; local state-owned enterprises with large tax debts of over VN400 billion.

HCMC: More than VND 30,000 billion of domestic tax debts HCMC: More than VND 30,000 billion of domestic tax debts

VCN- By the end of July, total domestic tax debt in Ho Chi Minh City wasVND30,171 billion. ...

In order for tax debt collection, especially tax debts in the real estate sector to be highly effective, in the last months of 2020, HCMC Tax Department has worked with the Department of Natural Resources and Environment and the Department of Finance of Ho Chi Minh City to review all projects, land revenues; the collection and payment of land use fees, land rent and water surface rent in the area.

By Le Thu/ Huyen Trang

Related News

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.
Quang Ninh Customs sees revenue boost of nearly VND 900 Billion from new enterprises

Quang Ninh Customs sees revenue boost of nearly VND 900 Billion from new enterprises

VCN - Efforts to attract and support businesses have significantly boosted state revenue for the Quang Ninh Customs Department, thanks to a proactive approach in facilitating customs procedures.
Developing supporting industries for the billion-dollar export commodity groups

Developing supporting industries for the billion-dollar export commodity groups

VCN - Electronic products and components are one of export commodity groups with turnover exceeding one billion USD, but the supporting industry for this group is still modest.
Enforcement easures imposed on 11 tax-delinquent companies

Enforcement easures imposed on 11 tax-delinquent companies

VCN - The Ha Nam Ninh Customs Department has recently enforced a suspension of customs procedures on import-export goods for 11 companies with outstanding tax debts.

Latest News

World Bank outlines path for Vietnam to reach high income status

World Bank outlines path for Vietnam to reach high income status

The World Bank (WB) has released a report which explores how Vietnam can upgrade its participation in global value chains to become a high-income country by 2045.
Strictly control public debt and ensure national financial security  2025

Strictly control public debt and ensure national financial security 2025

VCN – In order to achieve goal of strictly managing public debt and maintaining security and safety of the national financial system in 2025, it is necessary to ensure the borrowings and repayments of public debts is within the approved estimate; closely monitor public debt indicators to ensure that they are within the ceiling and warning thresholds approved by the National Assembly.
Revising the title of a draft of 1 Law amending seven finance-related laws

Revising the title of a draft of 1 Law amending seven finance-related laws

VCN - On November 19, 2024, the Standing Committee of the National Assembly (SCNA) discussed amendments and refinements to the draft of a law revising seven existing finance-related laws. Concluding the session, Vice Chairman of the National Assembly Nguyen Duc Hai emphasized the need for the Government to direct the drafting body and relevant agencies to collaborate closely to finalize a persuasive and widely supported report, ensuring the quality of the draft law for the National Assembly's consideration and decision.
Transparency evates the standing of listed companies

Transparency evates the standing of listed companies

VCN - According to the Hanoi Stock Exchange (HNX), the number of companies placed under warning, control, or restricted trading on the listed and registered markets has increased over the past two years compared to 2022.

More News

State-owned securities company trails competitors

State-owned securities company trails competitors

Contrary to the outstanding performances in the banking sector, the securities subsidiaries of major banks have yet to fully leverage their potential, despite numerous inherent advantages.
Strengthening the financial “health” of state-owned enterprises

Strengthening the financial “health” of state-owned enterprises

VCN - The state economy plays a key role in the socio-economic development process, but it is necessary to strengthen the financial health and competitiveness of state-owned enterprises (SOEs).
U.S. Treasury continues to affirm Vietnam does not manipulate currency

U.S. Treasury continues to affirm Vietnam does not manipulate currency

VCN - In its latest report, the U.S. Department of the Treasury has positively assessed Vietnam's monetary policy, reaffirming that Vietnam does not engage in currency manipulation.
Exchange rate fluctuations bring huge profits to many banks

Exchange rate fluctuations bring huge profits to many banks

Net profits from the foreign exchange trading segment of many banks have gained positive results thanks to a strong USD/VNĐ exchange rate fluctuations this year.
A “picture” of bank profits in the first nine months of 2024

A “picture” of bank profits in the first nine months of 2024

VCN - Pre-tax profits for banks during the first nine months of 2024 remained positive, exceeding 200 trillion VND, solidifying the sector's position as a market leader.
Many challenges in restructuring public finance

Many challenges in restructuring public finance

VCN - Restructuring public finance is an important step to improve state financial management, ensure resources are allocated reasonably and effectively, contributing to the country's sustainable development. In addition to the achieved results, the process of accelerating public finance restructuring also faces many pressures.
Tax declaration and payment by e-commerce platforms reduces declaration points and compliance costs

Tax declaration and payment by e-commerce platforms reduces declaration points and compliance costs

VCN - E-commerce platforms that declare and pay taxes on behalf of traders not only help to reduce the number of tax declaration points but also reduce the cost of compliance with administrative procedures for the whole society because only one point as the e-commerce trading platform implements tax deduction, payment and declaration on behalf of tens, hundreds of thousands of individuals and business households on the platform.
Disbursement of public investment must be accelerated: Deputy PM

Disbursement of public investment must be accelerated: Deputy PM

Deputy Prime Minister Ho Duc Phoc has called on ministries, agencies, and localities to accelerate the disbursement of public investment from now until the year-end and further tighten investment management.
HCMC: Domestic revenue rises, revenue from import-export activities begins to increase

HCMC: Domestic revenue rises, revenue from import-export activities begins to increase

VCN - The results of State budget revenue in HCMC in the first 10 months of 2024 are estimated to increase by 10% over the same period last year, of which the highlight is that revenue from import-export activities has begun to increase.
Read More

Your care

Latest Most read
World Bank outlines path for Vietnam to reach high income status

World Bank outlines path for Vietnam to reach high income status

The World Bank (WB) has released a report which explores how Vietnam can upgrade its participation in global value chains to become a high-income country by 2045.
Strictly control public debt and ensure national financial security  2025

Strictly control public debt and ensure national financial security 2025

VCN - According to the plan for borrowing and repaying public debt and foreign debt of the country in 2025, the total borrowing demand of the Government in the year is expected to be at VND 815,238 billion, an increase of 20.6% compared to the Government'
Revising the title of a draft of 1 Law amending seven finance-related laws

Revising the title of a draft of 1 Law amending seven finance-related laws

On November 19, 2024, the Standing Committee of the National Assembly (SCNA) discussed amendments and refinements to the draft of a law revising seven existing finance-related laws.
Transparency evates the standing of listed companies

Transparency evates the standing of listed companies

According to the Hanoi Stock Exchange (HNX), the number of companies placed under warning, control, or restricted trading on the listed and registered markets has increased over the past two years compared to 2022.
State-owned securities company trails competitors

State-owned securities company trails competitors

Contrary to the outstanding performances in the banking sector, the securities subsidiaries of major banks have yet to fully leverage their potential, despite numerous inherent advantages.
Mobile Version