HCMC’s budget revenue estimated at VND 183, 000 billion in first 6 months of 2018 - HCMC’s budget revenue estimated at VND 183, 000 billion in first 6 months of 2018 - Website Ho Chi Minh City
According to HCMC Department of Finance, in the first 6 months of 2018, total State’s budget revenue reached VND 183, 465 billion, equal to 48.69% of the estimate and up 8% as of the same period, including VND 121, 439 billion from domestic revenue, equal to 47.4% of the estimate and up 11.7% as of the same period. While revenue from crude oil reached VND 11, 944 billion, equal to 95.02% of the estimate, up 38.57% as of the same period; revenue from import-export activities reached VND 50, 020 billion, equal to 46.31% of the estimate and down 4.8% as of the same period.
As estimated by Department of Finance, domestic revenue in the first 6 months of 2018 rose by 11.7% compared to the same period thanked to its focus on debt collection and compulsory debt collection in early 2018 with VND 2.780 billion. At the same time, HCMC has strengthened propaganda activities and supported taxpayers.
Specifically, group of taxes related to business and production activities increased as of the same period including corporate income tax (up 15.22%), VAT (up 16.7%), special consumption tax (3.04%). Besides, other taxes also increased in comparison to the same period including personal income tax (up 23.63%), fee and charges (up 11.1%), etc. The amount collected from land use surpassed the estimate and increased by 8.13% as of the same period.
In term of import tax, budget revenue reached VND 50.020 billion, equal to 46.31% of the estimate, down 4.8% as of the same period. The reasons are due to implementation of Decree 116 of the Government which came into effect on January 1 2018 that tightens control over imported autos and Decree 156 of the Government on implementation of Vietnam’s special preferential import tax commitments in FTAs, of which cars under 9 seats enjoy a Zero percent tax duty from ASEAN.
In addition, revenues from petrol and gas products have dropped. The freedom of registering customs procedures at any customs sub-departments at the most convenient place has taken away advantages of HCMC Department of Customs. Convenient traffic system, logistics cost reduction has promoted development of neighbouring provinces including Ba Ria Vung Tau Department of Customs with Cai Mep International Terminal.
In order to complete the target of State’s budget revenue at the highest possible rate and ensure the balance of budget spending and collection in 2018, in the rest of 2018, Department of Finance will continue coordinating with Departments of Tax, Customs, State Treasury of HCMC to closely monitor the State’s budget spending and collection activities in 2018 and report to HCMC People’s Committee for consideration to work out solutions related to budget management activities. At the same time, Department of Finance will coordinate with related departments and agencies to implement contents of Resolution 54 on fees and charges.