World

Laos restores 10% headline rate of value-added tax

The President of Laos on March 19 signed a decree restoring the value-added tax (VAT) rate to 10% to support the country’s budget revenue and contribute to its socio-economic development.
Laos restores 10% headline rate of value-added tax ảnh 1Illustrative photo ( Photo: Vientiane Times)

Vientiane (VNA) – The President ofLaos on March 19 signed a decree restoring the value-added tax (VAT) rate to10% to support the country’s budget revenue and contribute to itssocio-economic development.

The rate was cut to 7% fromJanuary 1, 2022, aiming to boost the economy in response to the COVID-19 pandemic andto encourage more businesses to register for VAT.

The restoration of VAT from 7% to 10% has beenrecommended by many parties to the Lao Government as one of the measures toimprove budget collection ability to help solve the economic and financialdifficulties that Laos has faced in the last few years.

The Lao Ministry of Finance pointed out severalfactors backing an increase in VAT rates, including the fact that the currenttax rate is not as effective in stimulating the economy as predicted. Inaddition, the number of businesses registered under the VAT Law is lower than expected, so the government needs to increase revenue to reduce thebudget deficit and stabilise its domestic currency.

In addition to increasing the VAT rate, theministry is also considering other measures to improve the tax system. Thesemeasures include accelerating the construction of a tax refund mechanism tohelp reduce the government's financial losses through tax exemptions, whilealso supporting local businesses./.

  

VNA
#VietnamPlus#Vietnam News Agency#Laos#VAT#budget
Follow VietnamPlus

Related News

Vietnamese, Lao provinces foster friendship, cooperation

Vietnamese, Lao provinces foster friendship, cooperation

The authorities of the northern province of Nam Dinh on March 18 organised a ceremony to present Laos's friendship orders to local leaders of different periods and worked with a delegation from Laos’s Oudomxay province.
Hanoi, Vientiane expand business cooperation

Hanoi, Vientiane expand business cooperation

Hanoi and Vientiane have signed cooperation documents within the framework of the working trip by Politburo member, Secretary of the Party Committee and head of the National Assembly deputies' delegation of Hanoi Dinh Tien Dung to the capital of Laos in mid-March.
Vietnam, Laos to enhance social security cooperation

Vietnam, Laos to enhance social security cooperation

Deputy General Director of the Vietnam Social Security (VSS) Nguyen Duc Hoa chaired a working session with Deputy Director General of the Lao Social Security Organisation (LSSO) Bouahome Phommachane in Hanoi on March 19.

See more

At Pulau Seraya power station (Photo: Straitimes)

Singapore begins construction on hydrogen-fueled power plant

Singapore on October 23 began the construction of an 800 million USD power plant that has the capability to use hydrogen to generate electricity, as part of a push to utilise the fuel to reach Singapore’s net-zero carbon emissions target by 2050.

Delegates at the event (Photo: VNA)

125th anniversary of Permanent Court of Arbitration celebrated

The Permanent Mission of Vietnam to the United Nations and missions of the Philippines, Australia, Egypt, Guatemala, Hungary, Thailand, France, Eritrea and Austria, organised a ceremony on October 22 to celebrate the 125th anniversary of the Permanent Court of Arbitration (PCA), as part of the International Law Week at the UN General Assembly's Legal Committee (Sixth Committee).

CEO of the Malaysia Digital Economy Corporation Anuar Fariz Fadzil (Photo: focusmalaysia.my)

Malaysia continues placing emphasis on digitalisation

The Budget 2025 provides significant support to further accelerate Malaysia’s digitalisation, encourage adoption of artificial intelligence (AI) and drive inclusive growth, further positioning Malaysia as a leading digital hub within the ASEAN region, according to CEO of the Malaysia Digital Economy Corporation (MDEC) Anuar Fariz Fadzil.

Malaysia's economic reforms boost investment inflow (Photo: thestar.com.my)

Malaysia's economic reforms boost investment inflow

Malaysia has attracted substantial foreign investments, reaching 22.2 billion MYR (5.16 billion USD) in the third quarter of 2024, the highest level for the same period since 2012, according to UOB's Global Markets and Economics report.

Ambassador Dang Hoang Giang, Permanent Representative of Vietnam to the UN speaks at the debate (Photo: VNA)

Maintaining peace, stability a must for progress on human rights: Ambassador

Progress in human rights can only be achieved by maintaining peace and stability, respecting the rule of law at both the international and national levels, and ensuring respect for the principles of national sovereignty and non-interference in internal affairs, said Ambassador Dang Hoang Giang, Permanent Representative of Vietnam to the UN.

A visitor browses travel promotions at a travel fair in Nonthaburi province. (Photo: Bangkok Post)

Thailand plans enhanced support for domestic tourism

Thailand’s Ministry of Tourism and Sports is aiming to increase subsidy to local tourists in the upcoming stimulus scheme to 50% and would like to change the criteria for online travel agents, mandating them to register in Thailand to avoid losing income to foreign companies.

Oil field offshore Indonesia. (Photo: thejakartapost.com)

Indonesia begins major oil, gas exploration in Sulawesi

Indonesia's state-owned oil company Pertamina, along with foreign partners Sinopec from China and Kuwait’s Kufpec, has signed a contract to explore the Melati oil and gas block, located off the coast of Sulawesi. The block is estimated to contain trillions of cubic feet of gas reserves.