HCM City aims to reduce tax arrears to 5% in 2014
The Ho Chi Minh City Tax Department aims to reduce the tax arrears to 5% of the total budget revenues by the end of this year, Director of HCM City Tax Department Nguyen Dinh Tan stated at a 2014 tax task conference held in the city on January 9.
To obtain the target, the department will design firmer measures to reduce tax arrears, thoroughly examining all tax debt cases and dividing them into different types of tax debt.
According to Finance Deputy Minister Do Hoan Tuan Anh, extending the time to pay tax dues and income tax reduction for businesses are quite necessary policies under the current circumstances.
He also urged the tax department to enhance its inspection work to better detect tax violation cases.
A report from the HCM City Tax Department showed that the city contributed VND 167.65 trillion to the state budget in 2013, or 106.93% of year’s plan and up 11.83% against the previous year.
However, the city posted tax arrears of VND17.3 trillion last year, of which the recoverable debts were over 13 trillion VND; debts claimed to be adjusted valued were VND1.2 trillion; and bad debts were VND143 billion .
In 2013, the tax department inspected 54,000 businesses with tax violation signs and collected VND13 trillion from them.
The department also worked with other 230 businesses on their exaggerated losses and collected VND2.3 trillion of tax.