Vietnam likely to forgive US$571 mil taxes, fines for businesses
The Ministry of Finance has recommended the government should waive back taxes and related fines owed by businesses estimated at more than VND13 trillion (US$571.2 million), Tuoi Tre newspaper reported on February 29.
In a letter to the government, it has sought to write off taxes owed by businesses that have shut down and their owners cannot be traced or have no means to pay.
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| The finance ministry has sought the government's approval to waive US$571 million in back taxes for troubled businesses |
It called for waiving fines for businesses that are unable to pay their taxes because they are not breaking even. But for that they have to pay off their tax dues before December 31.
The waivers will not be applicable to real estate businesses and those distributing items subject to luxury tax -- such as automobiles and alcohol.
The proposed amount was estimated as of the end of 2013.
Taxes and fees, worth VND806.3 trillion (US$35.25 billion), accounted for 88.5% of the government’s revenues last year.
