The tax authorities conducted inspections and audits of 49.000 businesses in August 2017, resulting in a total increase in tax revenue of 9.000 billion VND, equivalent to 130% compared to the same period in 2016.
According to a report released by the Ministry of Finance on September 6th, in August 2017, the Tax authorities implemented measures to manage state budget revenue collection for 2017, focusing on tax inspections and audits, and strengthening inspections and audits of market prices for related-party transactions….www.expertis.vn
Specifically, the Tax Authority conducted inspections and audits of 49.000 businesses, achieving 54,2% of the 2017 plan, an increase of 125,34% compared to the same period in 2016. The total amount of additional tax collected through these inspections and audits was 9.000 billion VND, equivalent to 130,5% compared to the same period in 2016.
Specifically regarding inspection and verification of market prices for related-party transactions, authorities conducted inspections at 135 enterprises, collecting, refunding, and imposing fines totaling nearly 403 billion VND, reducing tax deductions by 6,7 billion VND, and adjusting taxable income upwards by more than 1.378 billion VND.
According to regulations, related-party transactions are transactions arising between related parties in the production and business process, including: buying, selling, exchanging, leasing, renting, borrowing, lending, transferring, assigning machinery, equipment, goods, providing services; borrowing, lending, financial services, financial guarantees and other financial instruments…
The report also stated that the Tax Authority has intensified efforts to combat tax evasion, focusing on handling outstanding tax debts, implementing measures to urge debt collection, and has collected 29.700 billion VND, reaching 63,1% of the total tax debt as of December 31, 2016, an increase of 13,4% compared to the same period in 2016. Of this amount, 21.700 billion VND was collected primarily through debt collection efforts, while the remainder was collected through coercive measures.
