The taxation sector collects more than 1.14 quadrillion VND (49.46 billion USD) in tax for the State budget.(Photo: VNA) Hanoi (VNA) – The taxation sector collected more than 1.14 quadrillion VND (49.46 billion USD) in tax for the State budget in 2018, equal to 107.2 percent of estimates and up 12.3 percent from 2017, as heard a conference of the Vietnam General Department of Taxation (GDT) on January 10. General Director of the GDT Bui Van Nam said 61 out of 63 localities in the country fulfilled and overfulfilled their tax collection targets, with 48 localities surpassing their targets by more than 7.3 percent. Deputy Prime Minister Vuong Dinh Hue highlighted that 2018 marked the first time tax collection surpassed the mark of 1 quadrillion VND, adding that the growth in domestic revenue was higher than the GDP growth plus inflation, which demonstrated the strength of the economy. The Government official attributed the achievements to the setting of high target, the … [Read more...] about Tax collection up 12.3 percent in 2018
Tax reform proposal
Britain to introduce new tax for tech giants from 2020
LONDON: Britain will introduce a new digital services tax aimed at tech giants from 2020, finance minister Philip Hammond said on Monday (Oct 29), responding to public outrage over low tax payments. Britain's Chancellor of the Exchequer Philip Hammond presents his budget statement in the House of Commons in London. (HO/PRU/AFP) "It is only right that these global giants with profitable businesses in the UK pay their fair share," Hammond told parliament as he outlined the government's annual budget. Hammond said the tax would be introduced from April 2020 and would apply only to profitable businesses that generate at least £500 million (US$640 million) a year in global revenues. The tax is expected to raise £400 million a year, he said, adding that more details would be revealed later while stressing that it would not be a tax on online sales. Hammond added that Britain would also continue to press for "international corporate tax reform for the digital age". He … [Read more...] about Britain to introduce new tax for tech giants from 2020
Finance Ministry seeks to raise personal income tax threshold
>> MOF considers tax reform in light of inflation The Ministry of Finance is seeking the prime minister’s approval for many changes in personal income tax laws. The changes in the tax law should reflect the increases in the consumer price index, the ministry said. The current law, which took effect in January, 2009, stipulates a personal income tax threshold of VND4 million (USD196), including deductions of VND1.6 million (USD78.49) for each dependent. The ministry said that Vietnam has seen sharp annual increases in the consumer price index. Last year’s increase was 11.75%, and in 2009 it rose by 6.88%. The changes in the tax law should reflect these increases, the ministry said. The proposed change is to raise the threshold to VND10 million (USD490.6). Since the minimum wage is expected to be raised to somewhere between VND830,000 (USD40.7) and VND1.35 million (USD66.23), the personal income tax threshold should be 8 to 10 times higher than the minimum … [Read more...] about Finance Ministry seeks to raise personal income tax threshold
Macron digital tax plan faces EU rebuff
French President Emmanuel Macron's ambitious plans for an EU digital tax targeting US tech giants such as Google or Facebook faced strong headwinds on Saturday (Apr 28), provoking anger from Paris. French Minister for the Economy and Finance Bruno Le Maire (left) and German Finance Minister Olaf Scholz speak to the press after a French plan to tax Silicon Valley tech giants in Europe got a muted response from EU ministers. (Photo: AFP/STR) Finance ministers from the EU's 28 member states discussed a controversial proposal aimed at claiming a bigger share of billions of euros from mainly US multinationals that shift earnings around Europe so as to pay lower tax rates. Many of the countries expressed caution out of fear of scaring off high tech investment, but also of provoking US President Donald Trump while the threat of a EU-US trade war still looms. "We are not putting on the brakes, but we do not want a stand alone solution that will not work," said Luxembourg Finance … [Read more...] about Macron digital tax plan faces EU rebuff
Forgiving tax debts must be done transparently
Viet Nam News Võ Trí Thành A recent proposal by the Ministry of Finance to clear over VNĐ26.5 trillion (US$1.16 billion) of tax arrears, accounting for more than a third of all tax arrears and irrecoverable fines, has raised public concern about the fairness and transparency of handling tax debts. The finance ministry’s statistics revealed that the total amount of tax debt, late payments and fines under the ministry’s management exceeded VNĐ73 trillion by the end of 2017. The amount of such funds under the management of the customs authority was more than VNĐ5.4 trillion. Over VNĐ35.5 trillion, or half of total tax debts owed to both customs and the finance ministry, was deemed irrecoverable. Facing a heavy burden of rising outstanding tax arrears and irrecoverable fines, the finance ministry has proposed to free and eliminate tax arrears for a number of select groups. The ministry plans to free tax debts – meaning it would … [Read more...] about Forgiving tax debts must be done transparently