Forgiving tax debts must be done transparentlyA recent proposal by the Ministry of Finance to clear over VNĐ26.5 trillion (US$1.16 billion) of tax arrears, accounting for more than a third of all tax arrears and irrecoverable fines, has raised public concern about the fairness and transparency of handling tax debts. Over VNĐ35.5 trillion, or half of total tax debts owed to both customs and the finance ministry, was deemed irrecoverable. In many cases, the State owes so much money to enterprises that they lack enough cash to pay tax debts, leading to fines for late tax payment. Another proposal is to remove tax debts and fines originating before 2018 for taxpayers who were struck by natural disasters, fires, unexpected accidents or other force majeure circumstances. Clearing tax debts is a rational policy but it should be done in an objective and practical manner to ensure transparency and equality and avoid abuse, tax evasion and excessive power of interest groups.


Source:   VietNamNet News
April 03, 2018 06:22 UTC