Southern city calls tax reduction for businesses hit by COVID-19

Photo for illustration. (Source: plo.vn)

In a document it sent to the Government, it also suggested reducing corporate income tax, value added tax and land rents, extending tax payment deadlines and subsidising interest.

Specifically, the city authority proposed cutting corporate income tax by 50% for businesses with annual revenues of less than 200 billion VND (8.8 million USD) this year and by 30% for 2022 and 2023.

It called for waiving income tax, value added tax, natural resources tax, and environmental protection tax on household and individual businesses in the second half of 2021 and the next two years, and income tax for some employees.

The city also proposed reducing the VAT (value added tax) rate by 50% (or the percentage rate) of the last 3 months of 2021, and for 2022 and 2023. At the same time, it called to extend the tax payment extension until the end of the second quarter of 2022.

It suggested that the payable land rent should be cut by 50% for all businesses this year, and fully waived for tourism and related businesses./.