More than 80,000 billion VND in taxes will be delayed due to Covid-19
Those affected by Covid-19 will have their tax and land rent payments of VND80,200 billion deferred.
This is one of the contents of the draft Decree that the Ministry of Finance has just consulted with the Prime Minister.
According to the report, the Ministry of Finance proposed an estimated amount of VND80,200 billion to defer tax and land rent payments, including VND61,600 billion in value-added tax for enterprises, more than VND11,100 billion in corporate income tax, VND3,000 billion in taxes for groups of individuals and business households, and VND4,500 billion in land rent tax.
The subjects eligible for the tax and land rent deferral policy are organizations, enterprises, individuals, and households engaged in production activities in the following fields.
| Agriculture and forestry | Aquaculture exploitation |
| Food production and processing | Weaving |
| Garment manufacturing | Shoe and sandal manufacturing |
| Manufacture of automobiles and motor vehicles (under 9 seats) | Manufacture of electronic, computer and optical products |
| Rubber products manufacturing | Rail transport |
| Passenger transport by bus | Road transport |
| Water transport | Air freight |
| Warehousing and support activities | Accommodation services |
| Food service | Travel agent, tour business |
| Education & Training | Health & social assistance |
| Creativity, Arts and Entertainment | Sports activities |
| Botanical garden activities... | Movie screening activities. |
The latest point of the draft, in addition to three types of taxes: value added tax, personal income tax and land rent, the Ministry of Finance has added corporate income tax to the list of taxes that can be deferred or postponed.
According to the draft, the deadline for late payment of value-added tax will be 5 months for the amount payable for the tax period of March, April, May and June 2020 (for cases of monthly VAT declaration) and the tax period of the first and second quarters of 2020 (for cases of quarterly VAT declaration).
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A series of restaurants, bars, beer clubs, and massage parlors on Bui Vien walking street closed on the evening of March 14. Photo:Quynh Tran. |
The VAT payable for May is delayed to September 20, for June to October 20... Meanwhile, the deadline for VAT payment for the first quarter is delayed to September 30, for the second quarter to December 30.
For corporate income tax, the time for enterprises to delay paying this tax is 5 months, from the end of the deadline for paying corporate income tax according to regulations. The remaining corporate income tax payable according to the tax settlement of 2019 is postponed to August 31 instead of March 31 as in previous years.
For households and individual businesses, the deadline for paying value-added tax and personal income tax arising in 2020 is before December 15.
In addition, the Ministry of Finance also proposed extending the deadline for paying land rent for businesses and business households by 5 months, starting from May 31.
The move by the Ministry of Finance was made after Covid-19 created a direct impact on many industries and production sectors, disrupted supply chains and indirectly affected the entire economy.
