MoF continues favourable policies to support individuals and firms

The Ministry of Finance (MoF) has introduced many favourable policies on tax, fees and land rent to ease the financial burdens on individuals and firms, boosting economic recovery, according to Deputy Minister of Finance Cao Anh Tuan.

Tuan was speaking at the conference on tax and customs on November 22.

The deputy minister estimated that the policies would cut VND98 trillion (US$3.94 billion) of taxes, fees and land rent for individuals and firms and extend the due dates of VND135 trillion of the liabilities in 2022.

He also said the MoF has worked to step up administrative reform, thereby improving the business environment. Thanks to its efforts, the ministry was ranked among the top three ministries in the Public Administration Reform Index in 2022, marking eight consecutive years of brilliant performance in this regard.

Remarkably, 100% of administrative processes and public services provided by the ministry and its subordinate agencies have been moved online.

At the conference, Chairman of Vietnam Chamber of Commerce and Industry Pham Tan Cong expressed his gratitude for the MoF's support for the business community, which has been of great help to firms during tough times.

He said Vietnam's Paying Taxes Indicator was lower than those of Laos and Cambodia sixteen years ago. However, thanks to the MoF's effort in administrative reform, the country has been inching up in the rankings year-on-year.

"The improvement has brought considerable benefits to firms and accelerated the integration of technology to public services," said Cong.

He also said technology has helped tax and customs authorities to operate more professionally and simplify their administrative processes.

Meanwhile, Vu Quang Tung, head of the Song Hong Garment JSC’s Import and Export Department, underlined the favourable policies on tax, fees and land rent as a financial lifebelt to firms hard-hit by the COVID-19 pandemic.

He said the policies have given a boost to their financial situation, enabling them to cut selling prices in favour of consumers.

At the conference, some other firms were making inquiries about obstacles in tax and customs processes and calling for more favourable policies to remove the obstacles.

In response, the deputy minister said the MoF would continue to carefully examine the obstacles and come up with solutions to the problem.

In the short term, the MoF would bring its policies to bear as quickly as necessary and, at the same time, evaluate the effectiveness of the policies as the situation evolves.

The MoF would also suggest revisions to the Law on Tax Administration to ensure its compatibility with international norms, thereby promoting investment and enhancing competition.

"The MoF will embrace reforms in all aspects, from institutional structure to public administration," said Tuan.

According to the General Department of Taxation, tax collection contributed VND1.2 quadrillion to the State Budget in the first ten months of 2022, up 14.7% year-on-year.