Adjustments to Vietnam’s tax policy have facilitated foreign businessinvestment in Ho Chi Minh City, a workshop in the city heard on January17.
At the dialogue between officials of theEuropean Chamber of Commerce (EuroCham) in Vietnam and the municipalDepartment of Tax, representatives cleared up inquiries related to taxlevied on cash payments, bank transfers, and tax incentives for firmsthat have expanded their investment between 2009 and 2014.
Thomas McCelland, tax consultant of EuroCham Vietnam, said corporateincome tax in the country has been reduced to 22 percent from 25percent, and will be 20 percent by 2016 (17 percent for small andmedium–sized enterprises). He said this is a positive signal toencourage foreign firms to enlarge their investment in the country.
However, the tax sector needs to offer vital assistance and specificguidance in order to help foreign investors grasp and comply with taxpolicy, the consultant advised.
Changes in valueadded tax and corporate income tax will create favourable conditions forenterprises, including those invested by foreigners, argued deputy headof the Tax Department Tran Thi Le Nga.-VNA
