The Ministry of Information and Communications has just sent an official dispatch to the Ministry of Finance to consider removing difficulties for the press in 5 groups of issues. The leader of the Press Department shared that the Minister of Information and Communications is very concerned when press units produce news articles according to the direction of the Party and State but do not receive any support.
Proposal for 10% tax incentive for press agencies
In the group of opinions on tax policy, according to the Ministry of Information and Communications, currently, print press agencies have been given corporate income tax incentives by the State with a tax rate of 10%. However, many agencies currently have two or more types of press (audio, visual, print, electronic), all serving political tasks and providing essential information.
Talking to Lao Dong Newspaper reporters, a financial accounting expert said: "Currently, due to high costs, most print press agencies are suffering losses, so the 10% tax rate does not actually bring much support. Meanwhile, other types of press such as radio, electronic, and television... can generate revenue, all serve political tasks, and provide essential information, but are still subject to the same tax rate as normal businesses. Thus, the support policy does not really focus on the core."
Currently, the Ministry of Information and Communications proposes that the State unify the application of preferential corporate income tax policies for all types of press, creating favorable conditions for press and facilitating tax accounting and management.
Confused about which came first, the chicken or the egg?
The hottest story right now is the inadequacies in implementing regulations issued by the Ministry of Finance.
Many press agencies are confused by the question of whether to set the unit price first or wait for the order to be placed. This story is no different from the question “Which came first, the chicken or the egg?”
The contradiction is that when ministries and branches order propaganda, they require a unit price for appraisal. But when press agencies themselves prepare unit prices and submit them to the governing body and functional units, they receive a request that they must place an order before the unit price can be appraised.
Talking to a reporter from Lao Dong Newspaper, an expert in the field of finance and accounting commented: “It is like a vicious circle that makes press agencies confused in building unit prices. For example, buyers always ask to know the price of a product before deciding to buy. If the product has a price available at that time, the buying and selling process will be smooth and convenient. However, currently, sellers are not allowed to arbitrarily set product prices, they are forced to ask for permission from their superiors before listing prices. When applying for unit price announcement, superiors require seeing the order before approving the product price. However, at this time, the seller does not have any orders in hand.”
Previously, determining the unit price only went through 3 steps: the Managing Agency assigned the task to the Press Agency and then bid for the agency in need of implementing the propaganda task. Currently, determining the unit price requires 7 steps including:
Step 1: Press agencies establish standards
Step 2: The competent authority establishes specific norms.
Step 3: Press agencies develop pricing plans
Step 4: Send to the Ministry of Information and Communications/Department of Finance for price appraisal
Step 5: Ministry of Finance/Provincial People's Committee sets maximum price
Step 6: The governing body gives a specific price
Step 7: Order execution agency
According to the representative of the Ministry of Information and Communications, the Ministry of Finance needs to cut down on intermediary steps to help speed up the implementation progress. In particular, it is necessary to reduce intermediary steps in the pricing process: Assign the competent authority to appraise the pricing plan and send it to the Ministry of Finance to decide on the maximum price (the maximum price can also be a specific price).
The Ministry of Information and Communications has sent an official dispatch to the Ministry of Finance requesting adjustments to a number of regulations on the financial autonomy mechanism of public service units, the ordering mechanism, and pricing of public service services using the State budget to remove difficulties for press agencies.
Accordingly, the Ministry of Information and Communications proposed that the Ministry of Finance consider five groups of issues: First, amend and supplement Decree 60 regulating the financial autonomy mechanism of public service units; Second, a group of opinions on the mechanism for assigning tasks, ordering or bidding for the provision of public service products and services using the state budget from regular expenditure sources; Third, a group of opinions related to the law on prices; Fourth, a group of opinions on tax policy; Fifth, opinions on the arrangement of operating funds, purchasing of means of operation for press agencies and instructions on the expenditure regime for press agencies.
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