Tax collection exceeds estimate

The General Department of Taxation held an online conference to review tax work this year and implement solutions for tax tasks next year, on Friday. — Photo

HÀ NỘI — The total State budget revenue managed by the tax authorities reached nearly VNĐ1.3 quadrillion this year, exceeding the estimate by over VNĐ177 trillion (US$7.7 billion).

The General Department of Taxation held an online conference on Friday to review the tax work this year and implement solutions for tax tasks next year.

The General Department of Taxation said that State budget collection task was significantly affected by economic difficulties and challenges, especially since the end of April when the COVID-19 pandemic broke out again.

Many key economic areas have implemented prolonged social distancing; production and business activities of enterprises have stalled; supply chains have been disrupted; and the economy has gone down, the department said.

“However, with the close direction of the Government, the Ministry of Finance and efforts of all tax authorities, tax departments have successfully completed their assigned tasks,” said General Director of Taxation Cao Anh Tuấn at the conference.

As a result, the total state budget revenue managed by tax agencies exceeded the estimate by over VNĐ177 trillion.

According to the report on revenue estimates of tax departments for the year, 60 of 63 localities assessed exceeded the estimate of State budget revenue for the year.

In order to continue to support people and businesses to overcome the difficulties of the pandemic and accelerate economic recovery, the General Department of Taxation has asked the Ministry of Finance to submit to the Government to promulgate Decree 52/2021/NĐ-CP to extend tax and land rent for businesses, business households and individuals in fields facing difficulties due to the pandemic.

It is estimated that there will be nearly 140,000 applications for tax payment extensions his year. The total amount of tax and land rent to be extended is VNĐ92.9 trillion.

As of the end of November, tax authorities have exempted and reduced land rent according to Decision 27/2021/QĐ-TTg of the Prime Minister, with a total amount of about VNĐ3.5 trillion.

For business households and individuals, it is estimated that the total tax exempted until the end of this month was about VNĐ6.7 trillion; the paid tax amount will be deducted next year.

The tax authority has extended the excise tax under Decree No 104/2021/NĐ-CP, with a total amount of about VNĐ4 trillion.

To facilitate businesses in tax declaration and payment, the General Department of Taxation has accelerated reform, in which it has deployed technical infrastructure, a system connected to the national public service portal, and completed integration of 150 tax administrative procedures on the national public service portal.

The General Department of Taxation has advised the Ministry of Finance to issue Circular 78/2021/TT-BTC and decisions to implement phase 1 of e-invoices at six tax departments: Hà Nội, HCM City, Quảng Ninh, Hải Phòng, Phú Thọ, and Bình Định.

These six localities account for 60 per cent of taxpayers in the country and the total number of invoices issued in a year accounts for about 70 per cent.

After one month of implementation, the number of taxpayers who have registered to use e-invoices was 263,182 enterprises, accounting for 71 per cent of the total in the six provinces and cities.

The number of invoices with codes received by the six tax departments was 1,707,871 invoices as of 4 pm on December 20, of which 1,702,069 invoices have been issued with a code.

Tax authorities collected VNĐ 1.3 trillion from Vietnamese organisations that have signed online advertising contracts with foreign organisations that have not established legal entities in Việt Nam such as Google, Youtube and Facebook.

The revenue from self-declared individuals, tax arrears, fines through inspection and examination for individuals residing in Việt Nam providing cross-border services at social networking sites was VNĐ498 billion as of October.

The National Assembly, the Government and the Ministry of Finance assigned budget revenue estimates for the tax sector to be VNĐ1.17 quadrillion next year, with VNĐ28.2 trillion from crude oil, and VNĐ1.14 quadrillion from domestic revenue. — VNS