GOV’T EXTENDS DEADLINES FOR TAX AND LAND RENT PAYMENTS

The Government issued Decree No. 12/2023/ND-CP dated April 14, 2023 on time extension for payment of value-added tax (VAT), corporate income tax (CIT), personal income tax (PIT) and land rent in 2023.

Decree 12 targets to ease difficulties faced by businesses amid a plunge in new orders and shrinking markets.

According to the decree, the deadline for the VAT payable from March to May and in the first quarter should be extended by six months.

The extension period would be five months for businesses expected to pay the VAT in June and the second quarter, along with a delay of four and three months for those with their payment deadline in July and August, respectively.

Meanwhile, the payment of PIT of household businesses and individuals working in priority sectors would be delayed until December 31, 2023, at the latest.

The deadline for payment of CIT in the first and second quarters should be extended by three months.

Individuals, households, and businesses operating in priority sectors are entitled to a six-month deferral of land rent in 2023 from May 31.

Decree 12 takes effect from the date of issuance to December 31, 2023.

Last year, the Government offered tax deferrals and exemption worth of VND233.5 trillion, giving significant support to enterprises to overcome difficulties and recover production and business in the post-pandemic period.

Source: VCCI