State budget collection will likely be difficult this year and theGovernment needs to outline effective measures to ease difficulties inproduction and recover economic growth.
This opinion wasshared by economists at a seminar held on May 10 in Hanoi by theNational Assembly's Finance and Budget Committee.
According toNguyen Minh Tan, deputy director of the National Assembly Office'sDepartment of Finance and Budget, the amount collected for the budget inthe first four months was far lower than that collected in previousyears.
Tan attributed the decline to the slow recovery of the economy and State measures on tax reduction and tax deferral.
Sanjay Kalra, resident representative of the International MonetaryFund in Vietnam, said that the economic growth of Vietnam thisyear would remain low, so the GDP growth rate would be similar to 2012or even lower. This would put tremendous pressure on the State budgetcollection.
Nguyen Hong Son, Rector of the University ofNational Economics, agreed, emphasising that the process of economicrestructuring in Vietnam would be difficult, as it required a hugebudget. Economist Tran Du Lich, a deputy of the National Assembly (NA),said that despite the fact that tax collection remained difficult,solutions were needed to promote business and production and support themarket.
Lich noted that reducing the corporate income tax to20 percent would further decrease the State budget, but said that thiswas a "necessary measure to spur economic development in the mid-termperiod", adding that he "persistently insisted on reducing it to 20percent instead of the current 23 percent".
In addition, theeconomist said, the State also needed to ensure that taxes werecollected from other business sectors such as import and export as wellas individuals.
The National Assembly's Resolution on the StateBudget targets an increase of 10 percent for the total State budgetrevenue in 2013 and estimates that State budget spending will increase 8percent over the estimated spending in 2012.-VNA
This opinion wasshared by economists at a seminar held on May 10 in Hanoi by theNational Assembly's Finance and Budget Committee.
According toNguyen Minh Tan, deputy director of the National Assembly Office'sDepartment of Finance and Budget, the amount collected for the budget inthe first four months was far lower than that collected in previousyears.
Tan attributed the decline to the slow recovery of the economy and State measures on tax reduction and tax deferral.
Sanjay Kalra, resident representative of the International MonetaryFund in Vietnam, said that the economic growth of Vietnam thisyear would remain low, so the GDP growth rate would be similar to 2012or even lower. This would put tremendous pressure on the State budgetcollection.
Nguyen Hong Son, Rector of the University ofNational Economics, agreed, emphasising that the process of economicrestructuring in Vietnam would be difficult, as it required a hugebudget. Economist Tran Du Lich, a deputy of the National Assembly (NA),said that despite the fact that tax collection remained difficult,solutions were needed to promote business and production and support themarket.
Lich noted that reducing the corporate income tax to20 percent would further decrease the State budget, but said that thiswas a "necessary measure to spur economic development in the mid-termperiod", adding that he "persistently insisted on reducing it to 20percent instead of the current 23 percent".
In addition, theeconomist said, the State also needed to ensure that taxes werecollected from other business sectors such as import and export as wellas individuals.
The National Assembly's Resolution on the StateBudget targets an increase of 10 percent for the total State budgetrevenue in 2013 and estimates that State budget spending will increase 8percent over the estimated spending in 2012.-VNA
