Other sectors not covered by the reduced tax, which was agreed on Saturday and will take effect July 1, include telecommunications, information technology, finance, securities, insurance, metal products, mining products, refined petroleum, chemical products and items subject to special consumption tax.

Lawmakers vote at the National Assembly session in Hanoi, June 24, 2023.

The National Assembly has asked the government to implement the tax while ensuring that it does not affect 2023 budget revenue and the year’s overspending estimate.

The government is expected to report the results of the new tax rate to the assembly at another session at the end of the year.

In previous discussions, some lawmakers proposed that all sectors be eligible for the tax discount, as many were facing difficulties.

Others suggested that the tax be brought down to 3-5% and the reduction be applied throughout 2024.

But the National Assembly Standing Committee said the government has not fully evaluated the impact of the tax rebate, which is expected to cost the government $1.02 billion.

Global minimum tax application under consideration

The General Department of Taxation under the Ministry of Finance has said it will keep a close watch on the implementation of the global minimum tax in other countries, listen to opinions of firms impacted by the tax and study guidelines of the Organisation for Economic Cooperation and Development (OECD) to propose its application in Vietnam.

Vietnam adapts to global minimum tax

The Vietnamese Government has been closely following the reality and consulting the experiences from other countries on the implementation of the global minimum tax to soon make appropriate policies, towards creating opportunities for foreign enterprises to operate smoothly and make greater contributions to Vietnam without affecting the interests of investors.

Vietnam’s richest man launches electric taxi firm

Pham Nhat Vuong, Vietnam’s richest man, has established GSM, an all-electric taxi operator with a charter capital of VND3 trillion ($126.85 million).

9 out of 15 tax revenues increase year on year

(BGO) – According to the Taxation Department in Bac Giang province, till the end of February 2023, nine out of 15 tax revenues represented year on year increase.

Budget revenues from taxes up 16.7% in two months

The tax sector collected an estimated 325.78 trillion VND (13.73 billion USD) for the State budget in the first two months of 2023, a year-on-year rise of 16.7%, and equivalent to 23.7% of the yearly estimate, the General Department of Taxation has reported.

Source: VnExpress