More tax, fee cuts to benefit pandemic-hit enterprises, people

Pandemic-hit businesses are expected to continue benefit from more support measures (Photo: VNA)

Hanoi – About 118 trillion VND (5.16 billion USD) worth of taxes, land rent, fees, and charges are expected to be reduced or have payment deadlines extended in 2021 to assist enterprises and people affected by the coronavirus pandemic.

This is part of a draft resolution on some support measures for pandemic-hit enterprises and people discussed by the National Assembly (NA) Standing Committee on September 16.

Delivering a brief report on the draft, Minister of Finance Ho Duc Phoc said facing negative impacts of the COVID-19 pandemic on Vietnam’s economy and society, the Government has carried out many timely support measures. The sum of taxes and budget contributions that were exempted, reduced, or had payment deadlines extended in 2020 stood at around 129 trillion VND.

Given numerous challenges facing businesses and people this year, including the complex COVID-19 situation, the Government has proposed the NA Standing Committee issue and launched by itself some solutions to continue assisting the targeted groups to weather difficulties and boost production and business.

In particular, the Cabinet plans to extend deadlines for paying taxes (added value tax, corporate income tax, personal income tax) and land rent for the pandemic-hit groups this year. It will continue slashing the environmental protection tax on aviation fuel, further cutting down import tariffs on many groups of commodities to remove difficulties and enhance enterprises’ competitiveness, and reducing 30 types of fees and charges to fuel production and business and guarantee social security.

These measures are set to be implemented in 2021, helping enterprises and people benefit from about 118 trillion VND worth of taxes, land rent, fees, and charges. That includes 115 trillion VND of taxes and land rent, and another 3 trillion VND of fees and charges, Phoc noted.

Besides, other support measures funded by the State budget have also been carried out at the total cost of over 26 trillion VND under the Government’s Resolution No 68/NQ-CP on some policies aiding pandemic-hit workers and employers.

Speaking at the meeting, NA Chairman Vuong Dinh Hue asked the Ministry of Finance to clarify beneficiary groups and consider preferential credit policies for some sectors that have been greatly affected but yet to be included in the priority list such as aviation, freight and passenger transport by roads, travel companies, hotels, and services.

NA Vice Chairman Nguyen Duc Hai said the NA Standing Committee agreed on the four groups of policies proposed by the Government. He asked the Finance Ministry to consider opinions at the meeting to complete the draft resolution.