Son Hai Riverside was accused of owing nearly 1,300 billion in taxes, Son Hai Group said 'unsatisfactory'

Son Hai Riverside Company Limited owes taxes because it has not yet been handed over enough land to implement the Nam Cau Dai urban area project - Photo: QUOC NAM

The Quang Binh Provincial Tax Department has just published a list of enterprises owing taxes and other state budget revenues in the area. Surprisingly, Son Hai Riverside Company Limited ranked first with a total debt of nearly VND1,300 billion.

Son Hai Group believes that this is not satisfactory, because up to this point the province has not yet handed over enough land for the enterprise to implement the project.

Land tax debt is different from land use fee debt.

According to research, Son Hai Riverside Company Limited is the investor of the Nam Cau Dai urban area project, Phu Hai ward, Dong Hoi city. This project has a total investment capital of 2,200 billion VND.

This company was listed by the Quang Binh Tax Department as having tax debts and other debts to the state budget in the first position among a total of 47 units owing a total of VND2,371 billion. Of which, Son Hai Riverside Company Limited has a debt of nearly VND1,300 billion.

This list is as of 5-31-2024.

Quang Binh Provincial People's Committee has not relocated Nhat Le fishing port, causing difficulties for investors in implementing the project - Photo: QUOC NAM

However, speaking with Tuoi Tre Online , a representative of Son Hai Group said that in essence, the debt of nearly VND 1,300 billion that the Quang Binh Tax Department just announced that Son Hai Riverside Company Limited owed was land use fees, not tax fees.

And the reason why this company has not paid the land use fee for the above project is because up to this point, the Quang Binh provincial government has not yet handed over enough land for the enterprise to implement the project, including a fishing port and an old shipyard.

"There are objective reasons for this. The State has not yet handed over a very large area of ​​land located in the center of the project. Therefore, the project has not been able to use the land, so where will the enterprise get the obligation to pay land use fees for the project?", this leader said.

This person also said that Son Hai Riverside Company Limited has submitted a petition to the competent state agency requesting an adjustment in the time of payment of land use fees and land rent. However, it has not been approved for more than a year.

Fishing port will be relocated to hand over the site to businesses

Currently, the 2,200 billion urban area project has only been able to implement basic infrastructure in locations where land has been handed over - Photo: QUOC NAM

Responding to Tuoi Tre Online , the leader of the Quang Binh Provincial Tax Department confirmed that Son Hai Riverside Company Limited owes land use fees.

"According to Article 3 of the Law on Tax Administration, this money is generally called tax debt," this leader explained.

Regarding the objective reason why Son Hai Reverside Company Limited owes land rent, the leader of the Tax Department said that the Tax Department only bases on the initial decision of the Provincial People's Committee to calculate the annual tax, and does not grasp other related issues such as premises.

"The Tax Department only bases on the land allocation decision and specific land price decision of the Provincial People's Committee to issue land use fee notice to enterprises. If enterprises do not pay, they will be charged late payment penalty according to the Law on Tax Administration," he continued.

Mr. Doan Ngoc Lam, permanent vice chairman of the People's Committee of Quang Binh province, confirmed that the entire site of this project has not yet been handed over to the enterprise because of the Nhat Le fishing port and the old shipyard.

According to Mr. Lam, when the project was first implemented, the People's Committee had a plan to relocate Nhat Le fishing port to another location to hand over the land. But halfway through, this plan encountered problems and had to be suspended. "We will completely implement the relocation of this fishing port to hand over enough land for businesses to implement the project in the near future," said Mr. Lam.

Source: https://tuoitre.vn/son-hai-riverside-bi-neu-no-thue-gan-1-300-ti-tap-doan-son-hai-noi-khong-thoa-dang-20240707134540199.htm