According to the Ho Chi Minh City Department of Taxation, state budget revenue sources increased most from Foreign Direct Investment (FDI) sector in Ho Chi Minh City in the first nine months this year, thanks to a reduction in the number of enterprises declaring loss.
Besides strong export growth, loss reduction and cut by FDI enterprises was considerably improved compared to the same period in previous years.
This year, the department has inspected large companies in garment and textile and footwear fields, especially those regularly declare loss. As a result of, in the first nine months, the department inspected 11,999 businesses, collected taxes and issued penalties totaling VND3,281 billion and reduced VND6,101 billion loss.
Several textile and garment and footwear companies declaring losses for many consecutive years have declared profit.
In the first nine months, the tax department collected VND120,913 billion, accounting for 79.8 percent of the year’s estimates and increasing 10.7 percent over the same period last year.
Of these, revenue collected from state business sector reached VND17,556 billion, up 1.3 percent. It hiked 9.8 percent from the private sector.
FDI sector generated VND27,436 billion, accounting for 80.3 percent of 2014 estimates and up 27.3 percent from a year ago.
All 24 districts in the city fulfilled their budget collection plans for the last several years thanks to an increase in land use fee.
This year, HCMC budget revenue source is expected to exceed 3.5 percent as compared with its plan for domestic revenue predicting to hit VND158,900 billion.