National Assembly delegates propose applying a 10% tax rate to all press agencies.

(CLO) Continuing the program of the Conference of full-time National Assembly deputies, on March 26, at the National Assembly House, full-time National Assembly deputies discussed the draft Law on Corporate Income Tax (amended).

Concerned about the tax rate for the press industry, delegate Thach Phuoc Binh, National Assembly Delegation of Tra Vinh province, said that the regulations on tax rates for press agencies in Article 10 and Point d, Clause 2, Article 13 show the contradiction between the practice of press activities and tax policy.

Delegate Thach Phuoc Binh, National Assembly Delegation of Tra Vinh province, speaking. Photo: Ph. Thang

Analyzing the current state of press activities, the delegate said that online newspapers are becoming the main form, while print newspapers are increasingly declining. However, print newspapers enjoy a preferential tax rate of 10%, while online newspapers are subject to a tax rate of 20%, although both serve the purpose of providing official information, orienting public opinion and carrying out the communication tasks of the Party and State.

In addition, online newspapers have a large source of revenue from advertising, content fees and digital services, but are still subject to higher tax rates than print newspapers. This negatively affects the press in the context of digital competition, when many online press agencies have difficulty maintaining operations due to declining advertising revenue, while still being subject to higher tax rates than print newspapers.

Current tax policies have not kept up with the trend of digital transformation of newspapers, creating financial barriers for electronic press agencies. Meanwhile, cross-border platforms such as Google and Facebook account for the majority of advertising revenue but are only subject to indirect taxes in Vietnam, causing disadvantages for domestic newspapers.

Delegates proposed applying a 10% tax rate to all press agencies, regardless of type, and emphasized that this regulation will help press agencies overcome financial difficulties, create fairness, encourage sustainable development, invest in technology and improve competitiveness with cross-border platforms. Maintaining a 20% tax rate for online newspapers is not suitable for reality, and tax policies need to be revised to support the press industry to develop in the digital age.

The National Assembly Standing Committee will coordinate with the Government to direct the agency in charge of appraisal, the agency in charge of drafting, and relevant agencies to seriously absorb the opinions of the National Assembly deputies and the opinions of the National Assembly delegations, relevant agencies and organizations to continue to complete the draft law and documents in accordance with regulations, and submit them to the National Assembly for discussion and consideration and approval at the 9th Session.

Source: https://www.congluan.vn/dai-bieu-quoc-hoi-de-nghi-ap-dung-thue-suat-10-cho-toan-bo-co-quan-bao-chi-post340147.html