The Ministry of Finance is completing a draft decree on personal income tax (PIT) with stricter provisions designed to prevent tax revenue losses. The draft government decree requires dependents to register their own tax codes to prevent taxpayers from filing incorrect information, said Nguyen Van Phung, deputy director of the Tax Policy Department under the [...]

About 1,200 cars left behind by foreign diplomats when their office terms in Vietnam ended will be taxed under a finance ministry proposal, the Saigon Tiep Thi newspaper reported Tuesday. The cars, brought into Vietnam between 1988 and 2009 by foreign diplomats, have either not been transferred to new owners or have been transferred but [...]

The HCM City Department of Tax has announced the total 2012 personal income tax filed by local celebrities was only VND1.2 billion though they are high-incomes earners. Le Thi Thu Huong, deputy director of the tax agency, told the Daily that a well-known female singer paid a modest sum of VND375,000 in tax last year. [...]

The import tax on used cars of nine seats or more will increase on June 20, according to decision recently issued by the prime minister. Accordingly, for cars under 1,000cc, the tax rate will be 5,000 USD while cars from 1,000 to 1,500cc will be subjected to a rate of 10,000 USD. The current tax [...]

The import tax on used cars of nine seats and more will be increased since June 20, according to the prime minister’s Decision 24/2013/QD-TTg. Accordingly, for cars under 1,000 cc, the tax rate will be 5,000 USD while cars from 1,000 cc to 1,500 cc will be subjected to the tax rate of 10,000 USD. [...]

Vegetable oils, including refined soybean, stearin and olein oils, imported into Vietnam from May 7 will be subject to an extra duty of 5 percent for less than 200 days since the self-defense measure takes effect. The Ministry of Industry and Trade has decided to take this temporary measure against vegetable oil imports. It is [...]

It appears likely that enterprises can enjoy the corporate income tax reduction from July this year instead early next year as planned previously. At the meeting of the National Assembly’s (NA) Standing Committee last week, NA deputy Chairwoman Nguyen Thi Kim Ngan said the revised Law on Corporate Income Tax would be submitted for approval [...]

Legislation is necessary to streamline the functioning of business groups and ensure they offer their members better support, a workshop heard in HCM City. Speaking at the event held by the HCM City Union of Business Associations (HUBA) on Monday to improve the functioning of business groups, a delegate said there are no laws regulating [...]

On 22 April 2013, the government issued Decree No 33/2013/ND-CP promulgating a Contract Form for oil and gas production sharing contracts. Accordingly, this Decree promulgates a standard form for production sharing contracts that shall be complied with. The Vietnam National Oil and Gas Group only deals with other terms and conditions based on the bidding [...]

Any transaction over VND300 million (US$14,250) must be reported to the State Bank of Vietnam under a recent decision that goes into effect June 10. Signed by prime minister Nguyen Tan Dung last Thursday, the decision applies to financial institutions and relevant organisations and individuals conducting non-financial business lines prescribed in Article 4 of the [...]

A draft law on corporate income tax rates prepared by the Ministry of Finance has received support from the public and the business community, as it would help companies with little capital survive and develop. Under the draft law, the rates would be cut from the current 25 per cent to 23 per cent. Corporate [...]

Regulations on reclaiming land, in the proposed revised Land Law, were among the hottest issues debated at the National Assembly Standing Committee meeting last week. According to chair of the National Assembly’s (NA) Economic Committee Nguyen Van Giau, the committee’s members were divided over the issue of land reclaimation. “Many NA delegates have supported the [...]

On April 4, the Ministry of Finance issued Circular No38/2013/TT-BTC amending preferential import duty rates applicable to some commodities, including polymeric styrene in primary forms; synthetic filament yarn (other than sewing thread) not for retail sale, including synthetic monofilament of less than 67 decitex; tyre cord fabric made from high tenacity yarn of nylon or [...]

The Ministry of Finance Tuesday announced a plan to slash corporate income tax to 22 percent from the current 25 percent starting next year. It will reduce the tax from January 1 next year and plans to bring it down further to 20 percent in the 2016-2020 period. However, the new rate of 22 percent [...]

The Ministry of Planning and Investment (MoPI) has released a draft Circular on issuing sample charter for 100 percent state owned corporations and enterprises to create an uniform framework for all. The government will directly issue charter of State Capital Investment Corporation (SCIC); Vietnam Airlines, Vinalines, Vinafood 1; Vinafood 2. Charters of 100 percent state [...]

Law makers on April 16 backed the government’s proposal to reduce the current general level of enterprise income tax to 22 per cent in an effort to boost investment in Vietnamese businesses. The issue was discussed at a session of the National Assembly Standing Committee, and it was agreed that the 3 percent drop in [...]

The Ministry of Finance is drafting the amended VAT law to be submitted to the National Assembly for ratification in the upcoming National Assembly’s 5th session. Under the draft, more products would be subject to the 5 percent tax instead of the current rate of 10 percent. Businesses not only want the corporate income tax [...]

The National Assembly Standing Committee and the Finance Budget Committee on April 16 agreed with the government’s proposal to cut 50 percent VAT on selling, hiring and selling in installment of social houses from July 1, 2013 to June 30, 2014. Regarding to the government’s proposal of cutting 30 percent VAT on selling, hiring and [...]

On April 4, the Ministry of Finance issued Circular No38/2013/TT-BTC amending preferential import duty rates applicable to some commodities, including polymeric styrene in primary forms; synthetic filament yarn (other than sewing thread) not for retail sale, including synthetic monofilament of less than 67 decitex; tyre cord fabric made from high tenacity yarn of nylon or [...]

The government has requested ministries, ministerial-level and government-related agencies and People’s committees of provinces and centrally run cities to ensure several new environmental protection measures. According to government Resolution 35/NQ-CP of March 18 on a number of urgent environmental issues, the seven measures include enhancing environmental protection at industrial parks and clusters and improving the [...]

A higher corporate tax than the regional average and not treating advertising as a deductible expense are putting the squeeze on already troubled firms, business representatives complained at a Tuesday conference in Hanoi. They said that if Vietnam does not make amendments to its corporate tax law and offers considerable tax breaks, the government will [...]

Vietnam is expected to offer tax exemption and reduction for expansion parts of foreign-invested projects as well as tenants in industrial zones in order to attract long-term and environment-friendly investors, said an official of the Ministry of Planning and Investment (MPI). Deputy minister Dao Quang Thu announced the planned incentives with representatives of foreign-invested and [...]

Representatives of 10 Asean member countries gathered in Vietnam’s northern port city of Hai Phong on Thursday to discuss cooperation in information and communication technologies (ICT). Addressing the opening ceremony of the annual Telecommunication Senior Officials Meeting-Asean Telecommunication Regulators’ Council (TELSOM-ATRC) Leaders Retreat, Vietnamese deputy minister of Information and Communications Tran Duc Lai suggested participants [...]

Representatives of business associations on Tuesday asked for further corporate income tax reduction while advertising expenditures should be increased to help local enterprises overcome the current hardship. Speaking at the seminar that fielded suggestions for the draft amended Corporate Income Tax Law in Hanoi on Tuesday, Dinh Thi My Loan, chairwoman of the Vietnam Retailers [...]

The Ministry of Finance is seeking approval from the prime minister to remove tax debts shouldered by State-owned entities that have been equitised, disbanded or transferred at home. The arrears suggested for removal are all types of taxes, including excise, revenue, value-added, special consumption, import-export, real estate, and corporate income taxes. Others like natural resource [...]

On March 29, 2013, the Ministry of Health issued Circular No10/2013/TT-BYT amending and supplementing a number of articles of Circular No02/2007/TT-BYT on conditions for the drugs business. Overall, the amendment circular aims to effectuate various new regulations on conditions for drug business under Decree No. 89/2012/ND-CP implementing the Law on Pharmacy 2005. Among other things, [...]

The Ministry of Finance is weighing to impose a new tariff on jewellery exports as the current tax rate, which has been applied since 2011, is no longer suitable to the current context. Speaking at a seminar on jewellery market development organised by the Vietnam Gold Business Association in HCM City on Saturday, Nguyen Thi [...]

The Ministry of Construction has issued a draft decree on the levels of fines for unlicensed construction work. According to the draft decree on fines on construction violations and real estate businesses, works which are not unlicensed or violate construction laws, would be allowed if their owners paid a fine worth 40-50 percent of the [...]

Prime minister Nguyen Tan Dung has signed a decision stipulating that no commercial airline can be formed unless it has a minimum capital of 300 billion VND (14.4 million USD). The threshold applies to airlines which have less than ten aircraft and operate solely domestic flights, the Nhan dan (People’s) Online quoted the decision as [...]

Vietnam is expected to offer tax exemption and reduction for expansion parts of foreign-invested projects as well as tenants in industrial zones in order to attract long-term and environment-friendly investors, said an official of the Ministry of Planning and Investment (MPI). Deputy minister Dao Quang Thu announced the planned incentives with representatives of foreign-invested and [...]

On March 29, 2013, the Ministry of Health issued Circular No10/2013/TT-BYT amending and supplementing a number of articles of Circular No02/2007/TT-BYT on conditions for the drugs business. Overall, the amendment circular aims to effectuate various new regulations on conditions for drug business under Decree No. 89/2012/ND-CP implementing the Law on Pharmacy 2005. Among other things, [...]

On April 4, 2013, the Ministry of Finance issued Circular No38/2013/TT-BTC amending and supplementing preferential import tax rates applicable to some commodities in the heading 39.03, 54.02, 59.02, 72.17 at the preferential import tariff (“Circular 38″). Accordingly, the preferential import tax rates applicable to some commodities in the heading 39.03; 54.02; 59.02; and 72.17 in [...]

Vietnam will consider providing special tariff facilities on products of Bangladeshi small and medium enterprises (SMEs) in entering its market, visiting Vietnamese Industry and Trade minister Vu Huy Hoang Sunday said. He said this to reporters after a meeting with Bangladeshi Industries minister Dilip Barua at the latter’s office in the city. A four-member Vietnamese [...]

It would be better to reduce tax and collect tax sufficiently, than setting up high tax rates which prompt businesses to evade tax. The corporate income tax being drafted by the Ministry of Finance stipulates that the popular tax rate would be lowered from 25 percent to 23 percent. Meanwhile, the tax rate of 20 [...]

The Ministry of Finance has proposed to cancel tax debts or fines prior to July 2007 for individuals and state-owned enterprises that are no longer be able to make their repayments. To qualify households and individuals must prove that they are in financial trouble, have ceased operations and cannot repay their debts. State-owned enterprises that [...]

The minister of Agriculture and Rural Development yesterday ordered a stricter ban on the transport and trade of poultry through border gates. The ban aims to prevent the H7N9 bird flu strain – which has claimed two lives in China – from spreading into Vietnam. Minister Cao Duc Phat told participants in a meeting in [...]

Firms and the banking system’s financial stability are to be guaranteed by new tax changes. The draft Corporate Income Tax Law (CIT), to be tabled at the National Assembly’s fifth session in May, envisages adding a new regulation that interest expenses paid for a loan amount surpassing enterprise’s equity capital by more than four times [...]

The regulations on advertisements for food under the management of the Ministry of Health are promulgated under the Circular 08/2013/TT-BYT dated March 13, 2013 (Circular 08). According to Circular 08, food that must be registered includes functional food; micronutrient-fortified food; mineral water; bottled water; food additives, food processing aids; food packaging materials during food preparation, [...]

The government has recently launched various measures to strengthen weak credit institutions. One of these measures is a draft decree regulating how many shares foreign investors can purchase in Vietnamese credit institutions, listed and non-listed shareholding banks, financial companies and financial leasing companies (collectively VCIs). The new decree replaces Decree 69/2007/ND-CP. The decree makes it [...]

Value added tax (VAT) incentives for traders in border-gate economic zones (EZs) should be limited to prevent tax fraud and evasions, the Ministry of Finance proposed. Many cases of taking advantage of the preferential policy for border-gate economic zones to get VAT tax refunds have been discovered. Multiple traders have brought domestic goods from elsewhere [...]

Opinions differ between the National Assembly and the Ministry of Finance as to whether corporate income tax should be lowered to 23 percent or 20 percent, but economist Pham Chi Lan said the tax should be slashed to 20 percent immediately. Enterprises in Vietnam are mired in troubles, especially financial distress, so tax cuts will [...]

Tax reforms are on the way to help firms alleviate procedure burdens amid a stormy economy. Apart from reducing value added tax (VAT) payments from 12 times to four times per year, the Ministry of Finance (MoF) is contemplating allowing small- and medium-sized enterprises (SMEs) to apply a direct VAT payment method instead of the [...]

The draft of the corporate income tax law compiled by the Ministry of Finance (MOF) is comprised of the provision saying that the tax incentives for industrial zones (IZs) would be restored. Not only having suggested offering continued tax incentives to expanded investment projects, MOF has also decided to restore the investment incentives for IZ [...]

Deputy minister of Finance Do Hoang Anh Tuan has signed a decision to issue A Circular No 28/2013/TT-BTC adjusting the import duties on used cars. Accordingly, import duties on less than 9-seat used cars (including driver) with a cylinder capacity of less than 1,500 cc will increase by $700 – $1,600/unit. Specifically, the import duty [...]

Chair Nguyen Sinh Hung of the National Assembly (NA) wants the Ministry of Finance to slash corporate income tax on all enterprises to 20 percent on January 1, 2016 so as to make the domestic business environment more competitive. The draft amended Corporate Income Tax Law says the current tax rate of 25 percent will [...]

Vietnamese individuals will be allowed to borrow loans from overseas as of next year, under an amended Ordinance on Foreign Exchange recently approved by the Standing Committee of the National Assembly. Specifically, individuals will be allowed to borrow foreign loans through their own initiative, and must be responsible for their debt. The amended ordinance will [...]

A proposal to reduce corporate income taxes was raised during a discussion about amendments in the Corporate Income Tax Law on March 18. Currently, a flat 25 percent income tax rate is applied to businesses of all types. The NA Finance and Budget Committee suggested that there be a tax reduction schedule through the year [...]

Reasoning economic difficulty, the National Assembly on March 18 agreed not to reduce the number of groups of goods that are entitled to the value added tax rate (VAT) of 0 percent and 5 percent. In the morning session, the National Assembly Standing Committee made comments on draft amendments to the Law on Value Added [...]

Majority of members of Budget & Finance Committee under the National Assembly agreed with cutting plan of corporate income tax (CIT) proposed by the government, the news provider CafeF.vn reported. On March 18, the National Assembly Standing Committee had its 16th meeting. Majority opinion of the Budget & Finance Committee agreed with the government’s proposal [...]

The Enterprise Law and relating laws stipulate that enterprises must not use the same names registered before by other enterprises. However, it does not mention how to punish the violators. Name disputes on the rise The HCM City People’s Court has decided that the Phuc Sinh Farm Produce Import-Export Trade JSC in Tan Phu district [...]