Vinh City's budget revenue exceeded the target.

(Baonghean) - The Vinh Tax Sub-department is a key unit of the Nghe An Tax Department. Despite the difficult production and business situation in the area in 2014, with a spirit of overcoming difficulties, proactively exploiting revenue sources, and strengthening the collection of outstanding debts, the city's budget revenue reached 1,064 billion VND, an increase of 37.3% compared to the previous year.

Officers from the Declaration Department of the Vinh Tax Sub-Department are handling year-end work.

Comrade Phan Van Viet – Head of the Vinh Tax Department – ​​happily reported that by November 2014, budget revenue managed by the Vinh Tax Department reached 934.7 billion VND, equivalent to 106% of the projected target, achieving the plan one month ahead of schedule. The total budget revenue for 2014 is estimated at 1,060 billion VND, reaching 117.5% of the target set by the City People's Council, an increase of 37.3% compared to 2013. Of this, revenue from land use rights reached 300 billion VND, reaching 102.2% of the projected target, an increase of 53.8% compared to the same period; regular revenue reached 760 billion VND, reaching 124.9% of the projected target, an increase of 31.7% compared to the previous year. All revenue items exceeded the plan and showed significant increases. Specifically: Revenue from the non-state industrial, commercial, and service sector reached 350 billion VND, achieving 114.9% of the plan, an increase of 20.9%; Non-agricultural land use tax reached 19 billion VND, an increase of 22.6%; Personal income tax reached 40 billion VND, an increase of 9%; Fees and charges increased by 70.4%…

To achieve these results, from the beginning of the year, the Vinh Tax Department advised the Party Committee and the local government to focus on directing budget revenue collection, especially in land exploitation. Detailed budget revenue targets were assigned to each unit and enterprise, and programs to combat revenue loss were implemented decisively. The city promptly adjusted and supplemented mechanisms to encourage wards and communes to strengthen land exploitation. Along with the direction and leadership of the Tax Department, the City Party Committee, and the City People's Committee, the Tax Department implemented decisive measures to recover outstanding tax debts; improved the quality of tax inspections; and reviewed the sanitation fee collection process in 25 wards and communes. The department continued to promote public awareness campaigns, support administrative reforms, and provide timely training to businesses on changes in tax policies, as well as directly advising businesses on any difficulties they encountered.

Each tax team of the Sub-department overcame difficulties and completed assigned tasks under pressure from revenue targets, high tax arrears, and insignificant new revenue sources. The Taxpayer Support and Propaganda Team intensified its efforts in disseminating information on new tax policies and laws. Currently, the team is focusing on publicizing new points regarding Law No. 71/2014 and Circular No. 1.7526 of the Ministry of Finance on the implementation of some contents of the Law amending and supplementing some articles of tax laws; the Personal Income Tax Law; and simultaneously organizing a business dialogue conference, issuing regulations on coordinating work between tax teams; and drafting directives for tax teams to establish stable business household tax records according to the new policy.

The Tax Debt Management and Enforcement Team is stepping up measures to collect and enforce tax debts. Team Leader Hoang Pham Quang stated: Tax debt management is becoming increasingly scientific, avoiding fictitious debts and newly arising debts. The team is implementing more accurate debt classification; urging businesses with tax debts to pay off the principal amount in order to be considered for the waiver of late payment penalties from June 2013 and earlier. In addition, each officer reviews debt collection targets, and the results of these targets are evaluated monthly and at the end of the year, with a competition launched for the final months of 2014.

Cityscape of Vinh. Photo: Phu Loc

The General Planning and Tax Accounting Team advises the Sub-Department's leadership on allocating the 2014 state budget revenue targets to wards, communes, and tax teams; coordinates with inspection teams to expedite the electronic tax payment process; assesses the impact of changes in personal income tax policy on business households; prepares a summary report on state budget revenue collection in 2014 and implements tasks and solutions for 2015; completes the entry of tax debt cancellation decisions for individual businesses incurred before July 1, 2007; strengthens business management; and handles cases of violations.

Tax inspection teams also actively implemented the 2015 budget allocation to each enterprise and branch; reviewed enterprises with changes in charter capital to request them to declare additional business license fees for 2015; reviewed enterprises applying land tax rates according to Decree No. 121 and enterprises whose price stabilization period has ended to guide them in completing procedures to apply land lease rates for 2015; strived to complete the targets assigned by the Tax Department, reviewed the management, compilation and processing of land tax exemption and reduction dossiers from 2010 to 2014; the tax teams in wards, communes and Vinh market closely followed the grassroots level and continued to vigorously implement Law No. 71/2014 and Circular No. 17526 of the Ministry of Finance on the implementation of some contents in the Law amending and supplementing some articles of the laws on taxation; Assessing the impact of changes in Personal Income Tax policy on business households; investigating and surveying revenue and income to establish a stable tax base for 2015; and processing applications for land rent exemptions and reductions. With a heavy workload and tight deadlines at the end of the year, many staff members had to work on Saturdays and Sundays to complete the workload and promptly set targets and plans for the new year.

In 2015, the revenue target assigned to the Tax Department by the City People's Council was 1,162 billion VND, including 862 billion VND in regular revenue and 300 billion VND in land use fees. Given the economic forecast for 2015 still presenting many difficulties and challenges, to ensure the completion of the budget revenue plan, the Vinh Tax Department is intensifying the implementation of comprehensive solutions. This includes focusing on the leadership and guidance of Party committees and authorities at all levels in budget revenue collection; strengthening propaganda and support for taxpayers; disseminating and educating on tax laws, focusing on newly amended and supplemented tax policies. The immediate priority is to implement the Law amending and supplementing several articles of tax laws effective from January 1, 2015; continuing to implement the mechanism to encourage land exploitation, approving starting prices in parallel with the construction of infrastructure in planned auction areas; and strengthening the management of land use fee collection for urban development projects. Strictly control tax exemptions, reductions, and refunds to ensure they are granted to the correct recipients and are transparent and open. Simultaneously, review and adjust taxable revenue to reflect actual business operations, and assess taxes for businesses that fail to declare or declare inaccurately. Strengthen the activities of the City's Tax Debt Collection Steering Committee, maintain continuous operation of inter-agency teams, and decisively implement debt management and enforcement measures. Intensify tax inspections, promptly recover outstanding amounts and penalties after inspections and audits. Continue implementing tax administration reforms; promote the use of electronic tax declarations and payments.

Pearl