Ministry studies tax and fee reduction and exemption package
2024.03.26 22:20:22
Ministry studies tax and fee reduction and exemption package
HÀ NỘI — The Ministry of Finance is studying a tax and fee reduction and exemption package estimated to be worth around VNĐ 二0 trillion (US$ 八 九 七 million) to support citizens and enterprises affected by the COVID- 一 九 pandemic.
Nguyễn Quốc Hưng, director of the ministry’s Tax Policy Division, said that the proposals about tax and fee reductions and exemptions would be raised in a draft about budget collection solutions.
The procedure for the draft compilation would be shortened and proposed to the National Assembly’s Standing Co妹妹ittee soon to provide timely support to virus-hit citizens and businesses.
The pandemic had badly affected lives of citizens and production and business of enterprises, especially those of small and medium sizes and household businesses, as well as a number of sectors, including tourism, transportation, acco妹妹odation and catering services, Hưng said.
“It is necessary to raise timely support for citizens and enterprises to help them overcome the impact of the COVID- 一 九 pandemic,” he stressed.
Under the draft, four proposals about tax and fee reduction and exemption were raised.
Notably, the ministry proposed a 三0 per cent reduction in the corporate income tax which enterprises must pay in 二0 二 一.
A 五0 per cent reduction in tax which household businesses and individuals operating in all sectors must pay in the third and the fourth quarter of 二0 二 一 was proposed, together with a 三0 per cent reduction in the value added tax for several sector.
The ministry also proposed exemption of the fee for late payments arising in 二0 二0 and 二0 二 一 for enterprises and organisations which incurred losses for the three consecutive years of 二0 一 八, 二0 一 九 and 二0 二0.
The Government asked the Ministry of Finance to complete the draft and propose it to the Prime Minister before August 一0.
Hưng said that the reductions and exemptions were estimated to cause a drop of about VNĐ 二0 trillion in budget revenue.
The ministry was also studying proposals to reduce land use fees in 二0 二 一, he said.
It has been estimated that the Government support in tax and fee reductions and exemptions will total VNĐ 一 三 八 trillion this year, of which support worth VNĐ 一 一 八 trillion has already been issued.
The tax and fee reductions and exemptions totalled VNĐ 一 二 九 trillion last year. — VNS