FINANCE MINISTRY PROPOSES NEW TAX ON PICKUPS
The Ministry of Finance has proposed that the Government apply a special consumption tax on pickups to be set at 60 per cent of the tax on cars with nine seats or less with similar engine displacement, a move that would sharply increase their cost.
RATE CUT: FROM POLICY TO REALITY
The State Bank of Vietnam (SBV) has decided to cut regulatory interest rates, in stark contrast to concerns about the pickup of interest rates because deposit growth is lower than credit growth in the midst of bad debt anxiety.
AMENDING TAX ADMINISTRATION LAW IN 2018
To collect taxes in arrears, the General Department of Taxation has built and assigned tax debt collection tasks in 2017 to every unit from the beginning of 2017 and directed them to apply measures to coercively collect overdue taxes according to the law. 63 tax departments across the country collected VND22,076 billion of taxes in arrears in the year to May 31, equal to 46.7 per cent of tax debt as of December 31, 2016 and up 13.5 per cent over the same period in 2016.
VIETNAM CONSIDERS ALLOWING FOREIGNERS TO OPEN SAVINGS ACCOUNTS
The State Bank of Vietnam is drafting a new circular that will allow non-residents with presence in the country to make deposits in both the Vietnamese dong and foreign currency at local banks without residency requirement.
SBV CUTS INTEREST RATES BY 0.25-0.5 PERCENTAGE POINTS
The State Bank of Viet Nam (SBV) has cut several interest rates for the first time since 2014, in order to support businesses and boost economic growth.
TAX SUPPORT FOR START-UP BUSINESSES
In a bid to support start-up businesses, the Hanoi Taxation Department has deployed a tax agent coordination plan to provide tax procedure-related incentives. As of June 23, more than 10 tax agents registered to support newly established enterprises and those upgraded from business households.
VN BANKS STRUGGLE TO KEEP INTEREST RATES STEADY
From mid-March, Sacombank has been offering certificates of deposit (CDs) denominated in dong to individuals and companies. A sum of at least VND10 million (US$441) for five years plus one day carries a coupon of 8.48 per cent per annum while a seven-year CDs get 8.88 per cent for the first year.
CREDIT GROWTH SHOWS POSITIVE SIGNS
As of May 25, credit growth expanded 6.53%, higher than the rate of 5% in the same period in 2016 and 4% in 2015. The figure showed positive signs amidst unfavorable economic context and slow public investment disbursement, said a senior official.
