Stores on Hanoi's Luong Van Can Street half close their doors, only serve take-aways or online orders due to the impact of COVID-19 (Photo: VNA)Hanoi (VNA)- Prime Minister Nguyen Xuan Phuc on April 8 approved Decree No 41/2020/ND-CPon the extension of deadlines for tax and land use fee payments to supportbusinesses suffering from the COVID-19 pandemic.
The decree took effectimmediately and the extension would be five months from the deadline forpayments.
Accordingly, businessesoperating in the agro-forestry-fishery, food processing, textile, garment andconstruction industries would enjoy the extension, besides those operating intransportation, warehouse, accommodation and catering, education, medical servicesand part-supply sectors.
Others subject to the extensionincluded small and micro-sized enterprises and credit institutions and branchesof foreign banks which provided support to their customers who were hit by theCOVID-19 pandemic following the requirements of the State Bank of Vietnam (SBV).
The SBV would be in charge ofannouncing the list of eligible banks for the extension.
The five-month extension wouldbe given to value added tax (VAT) of the assessment periods of March, April,May, June, the first quarter and the second quarter. As a result, the paymentof VAT of March assessment period would be extended to September 20 while ofsecond quarter assessment period to December 20.
For corporate income tax (CIT),the extension would be given to the remaining sums of 2019, provisional tax ofthe assessment period of the first and the second quarter.
For household and individualbusinesses, the deadlines for paying VAT and CIT will be extended to December31.
Payment of land use feeswould also extended five months from May 31.
The decree also allowedbusinesses operating in multiple sectors, one of which was subjected to theextension, would also enjoy the extension for all payable VAT and CIT.
The Ministry of Financeestimated that a total of 180 trillion VND (7.64 billion USD) worth of taxesand fees would be extended. Still, the sum would still be collected to theState budget within this year.
Taxpayers must submit aproposal to the tax management agencies before July 30 to be given theextension.
According to the ministry, morethan 700,000 enterprises or 98 percent of firms would be given the extension./.
The decree took effectimmediately and the extension would be five months from the deadline forpayments.
Accordingly, businessesoperating in the agro-forestry-fishery, food processing, textile, garment andconstruction industries would enjoy the extension, besides those operating intransportation, warehouse, accommodation and catering, education, medical servicesand part-supply sectors.
Others subject to the extensionincluded small and micro-sized enterprises and credit institutions and branchesof foreign banks which provided support to their customers who were hit by theCOVID-19 pandemic following the requirements of the State Bank of Vietnam (SBV).
The SBV would be in charge ofannouncing the list of eligible banks for the extension.
The five-month extension wouldbe given to value added tax (VAT) of the assessment periods of March, April,May, June, the first quarter and the second quarter. As a result, the paymentof VAT of March assessment period would be extended to September 20 while ofsecond quarter assessment period to December 20.
For corporate income tax (CIT),the extension would be given to the remaining sums of 2019, provisional tax ofthe assessment period of the first and the second quarter.
For household and individualbusinesses, the deadlines for paying VAT and CIT will be extended to December31.
Payment of land use feeswould also extended five months from May 31.
The decree also allowedbusinesses operating in multiple sectors, one of which was subjected to theextension, would also enjoy the extension for all payable VAT and CIT.
The Ministry of Financeestimated that a total of 180 trillion VND (7.64 billion USD) worth of taxesand fees would be extended. Still, the sum would still be collected to theState budget within this year.
Taxpayers must submit aproposal to the tax management agencies before July 30 to be given theextension.
According to the ministry, morethan 700,000 enterprises or 98 percent of firms would be given the extension./.
VNA
