"Two extremes" of Hoi An budget collection

Việt NamViệt Nam18/12/2024


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The urban area project of Dat Phuong Hoi An Joint Stock Company, when the land price is determined, will contribute a large amount of revenue to the local budget. Photo: QT

Budget revenue highlights

Due to the difficult situation of the real estate market as well as some procedural problems, Hoi An's revenue from land use fees in 2024 is estimated to reach only about 50 billion VND (about 6% of the assigned estimate) and only 25% compared to the same period in 2023.

The most notable revenue shortfall is from tickets to visit Hoi An Ancient Town and Cam Thanh Coconut Forest. It is estimated that up to 90% of domestic visitors do not buy tickets when visiting Hoi An Ancient Town.

However, the positive thing is that Hoi An's domestic revenue excluding land use reached more than 908 billion VND, reaching 119% of the assigned estimate and increasing by about 20% over the same period in 2023. Some large revenue items exceeded the estimate such as: Revenue from the non-state economic sector (reaching more than 311 billion VND), revenue from personal income tax (more than 138 billion VND), revenue from foreign-invested enterprises (more than 38 billion VND).

The fact that some large revenues related to businesses and the community exceeded estimates shows that the general "health" of the economy, especially the key economic sector of tourism and services in Hoi An, continues to recover.

Mr. Nguyen Phuc Hung - Head of Hoi An City Tax Department said that in 2024, Hoi An City Tax Department completed the budget collection task assigned by the City People's Council after several years of incompleteness, especially the collection of non-state tax. During the year, the department also promoted tax debt collection and achieved good results with more than 40 billion VND.

In 2025, the total estimated state budget revenue in Hoi An city is about 1,985 billion VND, of which the estimated revenue from land use fees is up to more than 1 trillion VND.

According to Mr. Nguyen Van Son - Chairman of Hoi An City People's Committee, the Provincial Land Valuation Council has held its final meeting on land prices of a number of large projects in Hoi An City, so it is expected that in January 2025, there will be land prices for a number of projects.

When land prices are available, the revenue from land use paid to the budget will amount to hundreds of billions of VND, so the local land revenue estimate in 2025 is quite feasible.

However, the leader of Hoi An City People's Committee also acknowledged that Hoi An's land resources are not much left, Hoi An's land revenue is forecasted to only serve public investment in the period of 2026 - 2030, and after that it will gradually run out, the future will be very difficult.

Slow planning approval

The project to adjust the General Planning of Hoi An City to 2035, with a vision to 2050, has not yet been approved. According to delegates of the Hoi An City People's Council, this will greatly affect the approval and implementation of lower-level planning as well as investment and development work in the city.

Tourists are gathering in large numbers in Hoi An Ancient Town, but authorities have yet to find an effective solution to disperse the crowds. Photo: Q.T
Hoi An Ancient Town will miss out on entrance fees in 2024 despite regularly welcoming a large number of visitors. Photo: QT

It is known that since the end of 2023, the People's Committee of Quang Nam province has repeatedly urged relevant parties to speed up the progress of the master plan for Hoi An city. In April 2024, the Standing Committee of the Provincial Party Committee also held a conference to give opinions on the project to adjust the master plan for Hoi An city to 2035, with a vision to 2050.

Explaining at the 15th Session of the Hoi An City People's Council, Chairman of the Hoi An City People's Committee Nguyen Van Son said that the project to adjust the general planning of Hoi An city in the past 2 years had to collect opinions and explain to 6 ministries with very strict requirements due to the special nature of the heritage city.

“Currently, the project still has an unfinished content related to 9 provincial departments, which is being further promoted. Overall, the project is almost completed in the final step before being submitted to the appraisal council, then reported to the Provincial Party Committee Standing Committee before being submitted to the Provincial People's Committee for approval,” said Mr. Nguyen Van Son.

According to Mr. Nguyen Van Son, because the project is approved by the provincial level, a specific time cannot be determined yet, however, the city is urgently completing all procedures to try to have this project approved by January 2025.

According to the vision of the draft planning project, Hoi An aims to become a type 2 urban area with a number of specific criteria, with the nature of a national specialized urban area; building Hoi An into an ecological - cultural - tourist city of international stature, harmonious and unified in economic, social and environmental aspects.



Source: https://baoquangnam.vn/hai-thai-cuc-thu-ngan-sach-hoi-an-3146121.html

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