Deputy Prime Minister Vu Van Ninh said every province strives toimplement an e-tax service to cut tax declaration procedural times to171 hours per year in 2015.
Under Ninh's instructions laid out ina recent tax review meeting, all tax departments must continuereviewing and minimising paperwork to create favourable conditions fortaxpayers.
The Government is strongly determined to implementonline tax declarations, as Vietnam is one of the countries that spendsthe greatest amount of time on tax procedures, with 872 hours spentannually for each small and medium-sized enterprise, according to NguyenThi Cuc, Chairwoman of the Vietnam Tax Consultancy Association (VTCA).
Thisfigure is four times higher than that of many other Southeast Asiancountries. Indonesia spends 259 hours, Thailand 264 hours, Malaysia 133hours and Singapore 82 hours.
Vietnam ranks 149th out of 189 nations in terms of time required to complete tax payments.
Accordingto Deputy Finance Minister Do Hoang Anh Tuan, before September 30 lastyear all businesses made e-tax declarations, and paid taxes online. Onthe other hand, tax departments are required to soon conduct pilotprojects on e-invoices nationwide.
At the same meeting, Tuanasked the Ho Chi Minh City tax department to spur administrative reformby imposing strict regulations that require businesses to implemente-tax services.
By the end of this year, the taxation sector willstrive to halve the amount of tax payment procedures businesses need tofollow, said the VTCA Chairwoman.
According to industryinsiders, the application of e-tax services will lead to effectiveresults for both tax departments and taxpayers. Taxpayers will be ableto save their time, expenses and minimise shortcomings in taxdeclaration.
Experts attributed the enormous time spent on tax procedures in Vietnam to the long time it takes to complete the paperwork.
Softwareerrors have stopped some businesses from successfully sending in theironline tax declarations. In addition, information technologyinfrastructure remains insufficient, which leads to internet congestion,further disturbing taxpayers.
Employees in tax departments also create extra difficulties.
Tosurmount these obstacles, the tax department in HCM City has petitionedthe General Department of Taxation and Ministry of Finance to expandthe network of banks that allow online tax payments. In addition,greater dialogues between taxpayers and tax departments will beconducted regularly to make it easier for businesses to pay taxes.
ThePrime Minister's Directive 24/CT-TTg, dated August 5, 2014, onenhancing the management and reforming administrative procedures fortaxation and customs hopes to get 95 percent of enterprises to maketheir payments online by the end of 2015.
Also under the directive, 63 cities and provinces nationwide will start offering e-tax services by late 2015.
TheGeneral Department of Tax reported that by the end of last year,462,391 enterprises had used e-tax services or 94.8 percent ofregistered businesses.
All customs departments across Vietnam have received and processed more than 19 million tax declaration dossiers.
PhamThi Hong, chairwoman of a business in Tuy Hoa city, Phu Yen province,said earlier her business needed at least two people involved in taxdeclaration, due to the high volume of invoices received. Now only oneperson is needed, and her business saves VND5 million per month.
VuThanh Danh, chief accountant for a joint stock company in Khanh Hoaprovince, said he is very pleased with the invoices on telecom, tapwater, electricity and public transport fares. A business now needs onlyto make a one-time tax declaration, instead of listing a series ofinvoices.
According to Tran Le Nga, deputy head of HCM City's taxdeparment, 98 of the 140,000 businesses operating in HCM City have usede-tax services and the remaining 2 percent have already stopped usingthe old system, or are yet to be equipped with additional software andtools they need to make tax declarations online.-VNA
Under Ninh's instructions laid out ina recent tax review meeting, all tax departments must continuereviewing and minimising paperwork to create favourable conditions fortaxpayers.
The Government is strongly determined to implementonline tax declarations, as Vietnam is one of the countries that spendsthe greatest amount of time on tax procedures, with 872 hours spentannually for each small and medium-sized enterprise, according to NguyenThi Cuc, Chairwoman of the Vietnam Tax Consultancy Association (VTCA).
Thisfigure is four times higher than that of many other Southeast Asiancountries. Indonesia spends 259 hours, Thailand 264 hours, Malaysia 133hours and Singapore 82 hours.
Vietnam ranks 149th out of 189 nations in terms of time required to complete tax payments.
Accordingto Deputy Finance Minister Do Hoang Anh Tuan, before September 30 lastyear all businesses made e-tax declarations, and paid taxes online. Onthe other hand, tax departments are required to soon conduct pilotprojects on e-invoices nationwide.
At the same meeting, Tuanasked the Ho Chi Minh City tax department to spur administrative reformby imposing strict regulations that require businesses to implemente-tax services.
By the end of this year, the taxation sector willstrive to halve the amount of tax payment procedures businesses need tofollow, said the VTCA Chairwoman.
According to industryinsiders, the application of e-tax services will lead to effectiveresults for both tax departments and taxpayers. Taxpayers will be ableto save their time, expenses and minimise shortcomings in taxdeclaration.
Experts attributed the enormous time spent on tax procedures in Vietnam to the long time it takes to complete the paperwork.
Softwareerrors have stopped some businesses from successfully sending in theironline tax declarations. In addition, information technologyinfrastructure remains insufficient, which leads to internet congestion,further disturbing taxpayers.
Employees in tax departments also create extra difficulties.
Tosurmount these obstacles, the tax department in HCM City has petitionedthe General Department of Taxation and Ministry of Finance to expandthe network of banks that allow online tax payments. In addition,greater dialogues between taxpayers and tax departments will beconducted regularly to make it easier for businesses to pay taxes.
ThePrime Minister's Directive 24/CT-TTg, dated August 5, 2014, onenhancing the management and reforming administrative procedures fortaxation and customs hopes to get 95 percent of enterprises to maketheir payments online by the end of 2015.
Also under the directive, 63 cities and provinces nationwide will start offering e-tax services by late 2015.
TheGeneral Department of Tax reported that by the end of last year,462,391 enterprises had used e-tax services or 94.8 percent ofregistered businesses.
All customs departments across Vietnam have received and processed more than 19 million tax declaration dossiers.
PhamThi Hong, chairwoman of a business in Tuy Hoa city, Phu Yen province,said earlier her business needed at least two people involved in taxdeclaration, due to the high volume of invoices received. Now only oneperson is needed, and her business saves VND5 million per month.
VuThanh Danh, chief accountant for a joint stock company in Khanh Hoaprovince, said he is very pleased with the invoices on telecom, tapwater, electricity and public transport fares. A business now needs onlyto make a one-time tax declaration, instead of listing a series ofinvoices.
According to Tran Le Nga, deputy head of HCM City's taxdeparment, 98 of the 140,000 businesses operating in HCM City have usede-tax services and the remaining 2 percent have already stopped usingthe old system, or are yet to be equipped with additional software andtools they need to make tax declarations online.-VNA
