PM asks to onreview tax and charge rates

In detail, the Prime Minister assigned the Ministry of Finance to take the lead and coordinate with relevant units to clarify the case that VOV and Vietnam Investment Review had reported on July 14.

According to VOV, the World Bank has recommended several tax reforms in Vietnam, such as boosting domestic resource mobilization, restructuring VAT, increasing special consumption tax rates, and expanding environmental protection taxes.

While other countries normally have only one VAT rate with few tax exemption cases, in Vietnam 26 lines of products and services are completely exempted from VAT, and 15 others enjoy a VAT rate of 5%.

The Vietnam Investment Review recently reported that the Vietnam Private Sector Forum (VPSF) and 5 associations (Young Entrepreneurs; Textile; Logistics Enterprises; Cotton; Vietnam Footwear, Leather and Handbag) proposed to hold a public-private dialogue to discuss charge and fee rates at Hai Phong seaport as they considered that the current high fee and charge rates in the port could reduce businesses’ competitiveness and opportunity.

Earlier, some international organizations also reported that taxes and fees in Vietnam are higher than regional countries.