In 2015: 90 Pct of Taxpayers Go Online

12:48:35 PM | 9/1/2015

To further facilitate taxpayers and reduce costs for them, the General Department of Taxation launched and piloted the electronic tax payment programme from February 2014. According to the general department, it will be very hard to realise the target of at least 90 percent of taxpayers settling tax payments via electronic medium in 2015.
As of July 27, 2015, over 390,000 companies registered to pay taxes via electronic means, accounting for 76.2 percent of operating businesses. Specifically, 294,159 companies registered to use the service and successfully connected with commercial banks and 67,743 companies registered to pay taxes via the information portal opened by tax agencies and commercial banks. Pham Quang Toan, Director of the Information Technology Department under the General Department of Taxation, said these results came from the drastic engagement of tax authorities and commercial banking system, and the active support of the business community. Tax offices promptly upgraded their electronic tax payment system, including infrastructure, equipment and transmission lines, to ensure stable continuous operation, overcome problems of taxpayers, and facilitate taxpayers and tax officials when they use the service. Besides, tax authorities accepted tax payment via internet banking channels; built connection systems with T-Van units to enable enterprises to pay taxes via these units.
 
However, according to the General Department of Taxation, many companies do not have standard information technology equipment to smooth electronic tax payment processes. Micro and small enterprises do not have plus balances on accounts at commercial banks for electronic tax payment. Furthermore, micro businesses tend to minimise costs and a person can do many different works and their interest and concentration for electronic tax payment will be lessened. Some even show their concerns about security and safety of the new payment method. Moreover, as electronic documents are not legally accepted in some fields, companies must print electronic documents onto papers to provide third parties for new transactions. Meanwhile, the State Treasury of Vietnam has not opened accounts at all commercial banks, many money transfer deals will carry high service charges.
 
So far, only 15 commercial banks have completed connections with tax authorities and provided electronic tax payment services for enterprises. Although having agreements signed, other banks are slowing deploying electronic tax payment services because of legal, budget, technical and personnel difficulties.
 
The General Department of Taxation also admitted difficulties of tax agencies. Electronic tax payment application is built on the same tax declaration system; thus, it fails to meet convenience requirements of enterprises. Transmission line infrastructure and equipment only meet online tax declaration system; hence, it needs upgrading to be compatible with electronic tax payment system. "In August, the General Department of Taxation upgraded the infrastructure to serve 90 percent of taxpayers on electronic environment. From September to the end of 2015, the general department will upgrade the system to serve tax payment service for individuals and allow electronic tax refund. Tax authorities need to cooperate with commercial banks to inform and support enterprises to use electronic tax payment service,” said Mr. Toan.
 
According to the plan and guidance of the Government and the Ministry of Finance, 90 percent of electronic taxpayers must pay at least 90 percent of their taxes via electronic medium on the monthly basis and 90 percent of invoices and tax documents will be made via electronic means. This is a quantum leap of the tax sector when it has to complete the above target.
 
Hien Hung