The Decree on tax and land rent extension in 2023 was signed and issued today by Deputy Prime Minister Le Minh Khai. It is the 5th time the Government has introduced this policy in the context of businesses facing difficulties when the market shrinks and orders drop. Accordingly, organizations that declare value-added tax (except for import VAT) monthly will be entitled to an extension of the tax amount incurred in the tax period from March to August 2023. Enterprises declaring this tax quarterly will be extended with the tax amount arising in the first and second quarters.
The tax extension period is 6 months with taxes arising in March-May 2023 and the first quarter of 2023. The arising tax paid in June 2023 and the second quarter will be extended for 5 months. In case the enterprise incurs tax in July, the extension is 4 months; If tax is incurred in August, the extension will be extended for 3 months.
Also concerned: Vietnam is short of high-qualified Ai expertsIndividuals and households doing business in priority fields such as agriculture - forestry, fisheries, food processing, textiles, construction, transportation and warehousing, real estate, crude oil, and natural gas extraction, etc also extended the deadline for paying value-added tax and personal income to December 31, 2023. Corporate income tax will be extended for 3 months with the tax payment deadlines of the first and second quarters. In case an enterprise has a branch or affiliated unit that is subject to a separate tax declaration with the tax authority, this tax payment time is also extended. Branches and units of enterprises that do not have production or business activities will not be eligible for the tax extension.
With land rent, enterprises, business households, and individuals in priority fields will be extended to pay 50% of the rental amount arising in 2023. The extension period is six months from May 31, 2023.
The total amount of tax and land rent postponement and delay this year is estimated more than 112,000 billion VND, equal to 4.776.620,80 USD (last year was over 233,000 billion VND, which is equal to 9.937.077,20 USD).
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