HO CHI MINH CITY APPLIES NEW SUPPORT MEASURES FOR ENTERPRISES AFFECTED BY PANDEMIC

Ho Chi Minh City is implementing a series of solutions to support enterprises with capital, land rent, as well as electricity and water bills, helping them overcome the difficulties amid the pandemic.

On August 16, Nguyen Thanh Phong, Chairman of Ho Chi Minh City People’s Committee, signed a document on support enterprises affected by the COVID-19 pandemic.

Accordingly, the city directed banks to implement business support policies such as restructuring debt repayment terms, interest exemption and reduction, as well as reducing or waiving fees for certain debt groups.

The city proposed the government to provide higher support for bank loans and tax support for businesses operating under models approved by competent authorities.

The city assigned the Ho Chi Minh City branch of Vietnam Bank for Social Policies and districts to allow businesses to borrow at zero per cent interest to pay wages for workers.

Ho Chi Minh City will also extend the time to pay value-added tax, corporate income tax, personal income tax, and land rent in 2021. It also proposed the government to reduce land rent by 50 per cent during the period of business shutdown.

In addition, the city recommended the Ministry of Industry and Trade to reduce the cost of electricity for production enterprises and exempt workers in businesses operating under models approved by competent authorities from electricity bills.

The city has also exempted water bills for concentrated isolation areas from June to the end of 2021. A 10 per cent discount on water bills will be applied for all customers in Ho Chi Minh City from September to November 2021. Also, water bills for businesses operating under models approved by competent authorities will be exempted or reduced, while the payment of arrears will also be extended until December 31.

Source: VIR