Vice Speaker: Vietnam NA Proposed to Delay 20 per cent Capital Gain Tax till End-2010

Under the proposal by the committee, the collection of payments of the 20 per cent capital gain tax imposed on capital transfers, stock transactions, copyright and franchising contracts, originally approved by lawmakers in the last session and effective from early 2009, is expected to be delayed from July 1 to the end of 2010.

 

The delay of personal income taxes will be part of the tax concessions the country’s general taxation department will put into place as part of the government’s stimulus packages to help spur the economy in the second half of this year, resulting in an estimated VND20 trillion remaining in the economy.

 

Chairman of the NA’s Committee for Finance and State Budget, Phung Quoc Hien estimated that the funds in the country’s coffers will be reduced by between VND6.5 trillion-VND6.8 trillion, to make up 45 per cent of the year’s tax concession plan.

 

The state-run Nhan Dan (People) newspaper, the mouthpiece of the Communist Party of Vietnam, also said Friday that the assembly will likely approve the delay of the personal income tax including the 20 per cent capital gain tax.

 

Also, the NA’s standing committee proposed a state budget deficit of 7 per cent of the country’s GDP value for this year, the Tuoi Tre newspaper added. (Youth, The People)