4:54:05 PM | 31/10/2008
The State Securities Commission (SSC) is planning to ask the National Assembly to delay imposing the personal income taxes on securities trading until the end of 2009, the Vietnam News Agency reported Wednesday citing SSC senior official as saying.
“Tax delay is not a direct measure to support the market, but it will calm down securities investors’ psychology which has governed market development,” Head of the SSC’s Market Development Department Nguyen Son said.
Income taxes on securities trading, which were originally planned for early next year, would not make a significant contribution to the state budget, Son said, explaining that with the current market trends, investors could not even earn enough money to reinvest, let alone pay taxes.
“China, for example, has lifted taxes on stock trading to encourage investment. This shows that there’s no reason for us to impose taxes right now,” Son noted.
The commission continues to have a close watch on the market to make sure that they can intervene in case of emergency, but Son said now is not a right time to make any intervention.
The official also said despite the global financial turmoil, the domestic economic sectors are doing well and to help recover the economy soon. Lower input costs of some materials like steel, cement, petroleum, and lower lending interest rates among commercial banks will help boost production, he said.
“Investors should rely on the real performance of the national economy and enterprises to make investment decisions rather than following herd mentality”, Son said.
(News, VNS)
Vietnamese
