More than 70,000 small- and medium sized enterprises (SMEs) in the capital have benefited about 5.15 trillion VND (245 million USD) from the Government's tax relief policy this year.

The package included the extension and reduction of land use fees and corporation income tax payments, according to the deputy director of the city's Tax Department Thai Dung Tien.

"It will help ease the financial burden on enterprises as well as maintain and develop production to overcome tough economic times while boosting recovery of the city's economy," Tien said.

Economic difficulties have forced more than 7,740 city firms to shut down during the first five months of this year, more than 80 percent higher than the quarterly average figure of last year and equal to 68 percent of last year's total number of bankruptcies.

Tien stressed that his department has enhanced inspections to ensure the efficiency of the tax policy and prevent tax fraud.

As a result, from the beginning of this year, the Hanoi Tax Department collected 472 billion VND (22.47 million USD) in arrears for the State budget while preventing the loss of hundreds of billions of dong in revenues, he added. -VNA