Need a synchronized solution

(Baonghean) - Along with the socio-economic development, transportation business activities in Yen Thanh district have developed rapidly. However, the budget revenue in this field is not commensurate with the scale of revenue and the level of transportation activities...

Mr. Cao Van Lien, in Cau Thong hamlet, Lien Thanh commune, has more than 20 years of experience in the transportation business, transporting cement, agricultural materials and other goods for people in the district and province, but he has never once intended to avoid paying taxes. Every year, along with paying business license tax, he also pays 550 thousand VND/month. Mr. Lien shared: “With the guidance of tax officials on the form and procedures for paying taxes, my family always fully complies because this is an obligation to comply. However, I am also very concerned, currently paying transportation tax has not created fairness, many people do not pay and no one handles it...”.

Traffic Police of Yen Thanh District Police check tax obligations of vehicles operating in the transport business.

Concern is also the common sentiment of those who fulfill their tax obligations well, like Mr. Lien. The loss of transport business tax has significantly affected the budget collection work in localities. There are many communes where the number of tax-paying vehicles only accounts for a small portion of the total number of vehicles. The leaders of the communes have proposed to the Tax Department and related sectors to soon have a synchronous solution to implement and prevent loss of revenue because this is also a significant source of revenue for the State budget.

According to research, the above situation has many causes, due to the nature of the transportation business being mobile, the product is a service, so the Tax sector finds it difficult to determine specific figures on actual revenue to serve as a basis for tax calculation. In the case of freight transport, only some goods have transportation contracts, invoices and documents, the rest are verbal agreements between the shipper and the carrier, leading to very difficult tax management. On the other hand, the Tax sector and some functional agencies do not have effective solutions to manage taxes in this field, lack of inspection and supervision to find appropriate tax management measures for each subject, preventing revenue loss for the budget.

In particular, due to the limited awareness of tax law compliance of a number of taxpayers, tax evasion, tax arrears, procrastination, failure to voluntarily register and declare taxes, and non-compliance with the Tax Law. Mr. Duong Minh Duc, Head of the Yen Thanh District Tax Department, said: The current tax loss in the private transport business sector in the district is nearly 1 billion VND/year. We will strengthen coordination and collaboration with functional sectors such as the Police, the Procuracy, the Department of Industry and Trade, the Department of Finance, under the direction of the district to review, establish a tax system, and prevent tax loss. If transport businesses continue to refuse to pay or evade, a list will be made and sent to the Nghe An Tax Department for synthesis and submission to the Provincial People's Committee for solutions.

According to statistics, Yen Thanh district currently has about 450 households with means of transport for business, but only nearly half of the vehicle owners have registered to declare and pay taxes. Of which, only about 30% of the vehicles and vehicle owners have paid taxes to the State. This has caused discontent in society, not creating fairness in tax obligations among taxpayers. Currently, the Tax Department is coordinating with relevant sectors and commune authorities to promote propaganda, dialogue, and explanation for households with vehicles. At the same time, the review and inventory of vehicles and vehicle owners have been completed, the tax set has been established, and tax collection will begin in July 2015. After being piloted, Yen Thanh will resolutely deploy it to the entire district. However, there are currently some problems with State procedures, when vehicles are in circulation or are inspected, tax obligations are not checked, making it difficult to collect. Therefore, the district recommends that the Provincial Tax Department soon have effective solutions to collect taxes from vehicle owners.

Tax is the main source of revenue for the State budget, contributing significantly to regulating and stimulating economic development. In the immediate future, localities should promptly conduct inspections, reviews and collect complete information on the transport business activities of organizations and individuals in each locality. Periodically update the number of registered vehicles to serve the management of car business. Require vehicle owners to go directly to tax authorities to complete tax registration procedures, declare and pay business taxes fully and in accordance with tax laws. Resolutely not to miss any taxpayers, properly and sufficiently manage taxable revenue and promptly collect the tax payable to the budget, creating a healthy and fair environment among taxpayers to the State according to the provisions of the current Tax Law.

Mr. Tuan

(Yen Thanh Radio)