The proposal aims to reduce the Value-Added Tax (VAT) by 2% for the last two quarters of 2024.

The government has submitted a proposal to the National Assembly, requesting consideration for the continuation of the 2% reduction in the Value-Added Tax (VAT) rate for the last six months of 2024. This reduction applies to certain groups of goods and services that have been benefiting from the 2% VAT cut under Resolution No. 110/2023/QH15, effective from January 1, 2024, to June 30, 2024.

Many consumer goods benefit from the VAT reduction. Photo: Ngoc Lien

Since 2020, the government has implemented various financial measures, including exemptions, reductions, and deferrals of taxes, fees, charges, and land rents. These include corporate income tax, personal income tax, value-added tax (VAT), special consumption tax, import tax, and environmental protection tax.

The implementation of these support policies has helped alleviate difficulties for businesses in production and operations, especially amid a slow economic recovery both domestically and globally.

Based on the positive impact of the previous 2% VAT reduction, the government has submitted a proposal to the National Assembly to continue this policy for the last six months of 2024.

According to projections, applying a 2% VAT reduction for the last six months of 2024 is expected to decrease state budget revenue by approximately 24 trillion VND.

In Đồng Nai, the implementation of the 2% VAT reduction policy from 2023 to the first four months of 2024 has resulted in tax reductions exceeding 7.5 trillion VND for more than 13,000 businesses. Đồng Nai continues to process and approve tax, fee, and charge exemption and reduction applications in accordance with government regulations, ensuring timely and accurate implementation.

Source: https://baodongnai.com.vn/ - Ngoc Lien

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