Efforts to reduce tax arrears

Business representatives dialogue with the Provincial Tax Department.

Mr. Duong Duy Bay, Deputy Director of the Provincial Tax Department, said: Facing the general difficulties of the economy due to international conflicts, inflation, rising input material prices, rising interest rates, broken global supply chains, and the impact of the Covid-19 pandemic, the production and business activities of enterprises have been negatively affected. Many enterprises, cooperatives, and business households in the province have temporarily suspended operations or operated at a low level, so the amount of tax declared and payable monthly and quarterly has decreased. In addition, the support policy of the Socio-Economic Recovery and Development Program to remove difficulties and support taxpayers affected by the Covid-19 pandemic has significantly reduced revenue in the area.

In 2023, the Provincial Tax Department was assigned by the Ministry of Finance 1,575.3 billion VND; the Provincial People's Council and People's Committee assigned 2,420 billion VND, of which: Revenue from taxes, fees, and other budget revenues was 1,120 billion VND; land use fees were 1,300 billion VND. As of June 30, the tax debt in the whole province was 68 billion VND. The Provincial Tax Department issued 38 decisions to sanction administrative violations of late submission of tax declarations with an amount of over 179 million VND. Confirmed tax obligations electronically for 227 electronic taxpayers. Received and processed 274 sets of documents with a refund amount of 34.8 billion VND; 30 tax refund and overpaid fee refund dossiers with a total refund amount of 377.8 million VND. At the same time, 127 tax records were analyzed, with an increase in revenue and a fine of 32 million VND, and 3 businesses were transferred for inspection at the taxpayer's headquarters. The increase in revenue after inspection and examination was 10.3 billion VND, the deduction was reduced by 2.5 billion VND, and the loss was reduced by 37 billion VND; and the payment to the State budget after inspection and examination was 5.8 billion VND.

Up to now, the Provincial Tax Department has completed debt settlement according to the regulations of the General Department of Taxation and issued 90 debt settlement decisions with the amount of 1.5 billion VND. 8 debt settlement decisions were canceled with the amount of 563 million VND.

Regarding the state budget collection this year, Mr. Duong Duy Bay said that although the state budget collection in the first 6 months of the year has achieved quite good results, the collection task in the last months of the year is still very heavy, requiring great efforts and determination from civil servants and employees of the tax sector. The whole sector must continue to maintain and organize emulation movements well, striving to collect budget revenue to meet and exceed the estimate. The Tax Department will continue to promote tax administrative procedure reform; focus on removing, dialogue, promptly resolving difficulties and obstacles for businesses, improving the business environment, creating conditions for businesses to develop stably and firmly, attract investment, increase new production capacity, promote economic growth, create a premise to increase revenue for the state budget. Strictly implement the directives of the Ministry of Finance, the General Department of Taxation, and the Provincial People's Committee on directing, operating, and implementing budget collection. Promote and innovate forms of propaganda, support, and legal advice on tax, effectively carry out support work, and answer questions for taxpayers. Improve the efficiency of electronic tax declaration, payment, and refund. Focus on the target: 100% of operating enterprises perform electronic tax declaration, participate in electronic tax payment services, use electronic invoices and electronic invoices generated from cash registers. In particular, improve the quality of inspection and examination work; prevent tax loss; strive to check tax refund application files sent to tax authorities, pre-inspection files, post-refund. Review and collect arising taxes, limit tax debts to less than 90 days. Strengthen debt management and tax debt enforcement, urge taxpayers to pay tax debts to the State budget, ensure debt reduction to less than 5% of total budget revenue.

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