From July 1, 2015, the management, use and monitoring of State capital invested in production and business activities in enterprises will officially go into law.
The National Assembly of Vietnam formally adopted three important laws concerning tax and finance fields, namely Law on Management and Use of State Capital Invested in Production and Business, Law on Amendments and Supplements to a Number of Articles of Special Consumption Tax Law, and Law on Amendments and Supplements to Tax Laws.
With 10 chapters and 66 articles, the Law on Management and Use of State Capital Invested in Production and Business clearly specifies issues relating to investment and addition of State capital in business establishment, wholly or partially owned by the State, and to partial or entire acquisition of a company.
The law also stipulates capital mechanisms, capital mobilisation, power of capital use, investment decision-making, debt management, outward investment and capital restructuring in enterprises.
The law aims to renovate and improve the efficiency, management and use of State capital investment as well as enhance the efficiency of production and business activities in enterprises. The ruling also provides on State capital investment for the formation and maintenance of enterprises in key stages and steps in a number of sectors where other economic sectors do not engage in or the State must entirely hold. Agencies representing the ownership and State agencies shall not intervene directly in production and business activities of enterprises and management and executive operations of enterprise leaders.
The Law on Amendments and Supplements to a Number of Articles of Special Consumption Tax Law is set to take effect in early 2016. After discussion, the National Assembly decided not to add online gaming, vote-based and result-forest game business, lucky game via messaging and carbonated soft drinks to the subjects to be imposed the excise tax. Meanwhile, special consumption tax rates will be raised on tobacco, alcoholic drinks, beer and casino business, while reduced on biofuel.
The Law on Amendments and Supplements to Tax Laws is scheduled to take effect in early 2015. Comprising only six articles, the law amends a series of important contents in current Law on Corporate Income Tax (amending provisions on some incomes, expenditures, tax rates, tax incentives in certain areas of investment and business). The Law on Corporate Income Tax also changes regulations on individuals doing business with taxable incomes from capital transfer and real estate transfer and on value added tax on some products such as fertilisers, machinery and equipment exclusively used in agricultural production. In addition, agricultural companies will be granted more incentives if they are involved with farm and new countryside construction.
Thanh Nga
Vietnamese
