The Minister of Finance has sent a document to agencies, departments and People's Committees of provinces and cities to coordinate in implementing a number of solutions to support businesses and people affected by the Covid-19 epidemic.

Review and support businesses and people affected by the Covid-19 epidemic

On October 19, 2021, the National Assembly Standing Committee issued Resolution No. 406/NQ-UBTVQH15 on a number of solutions to support businesses and people affected by the Covid-19 epidemic (hereinafter referred to as: Resolution). On October 27, 2021, the Government issued Decree No. 92/2021/ND-CP detailing the implementation of the Resolution.

In order to promptly and effectively implement the above Resolution, the Ministry of Finance and the General Department of Taxation have issued many documents to the ministries and agencies. At the same time, it is requested that the People's Committees of provinces and cities pay attention to coordinate in directing a number of key tasks as follows:

Request ministries to direct specialized units and agencies to implement measures so that consumers can benefit from the value-added tax reduction specified in Clause 3, Article 1 and Clause 1, Article 2 of the Resolution.

Request ministries to direct specialized units and agencies to implement measures so that consumers can benefit from the value-added tax reduction specified in Clause 3, Article 1 and Clause 1, Article 2 of the Resolution.

The People's Committees of the provinces and cities urgently proactively review, notify and make a list of units, areas and people affected by the Covid-19 epidemic in 2021 as a basis for tax exemption. personal income tax, value added tax and other taxes payable to households and individuals according to the provisions of Clause 2, Article 1 of the Resolution.

Directing relevant agencies in the locality to propagate, guide, inspect and supervise so that consumers understand and benefit from the value-added tax reduction; focus on measures to stabilize the supply and demand of goods and services subject to VAT reduction in order to stabilize the market price level.

Need to create favorable conditions for people and businesses

In addition, in order to promptly and effectively implement the Resolution, following the Official Dispatch No. 08/CD-TCT dated October 22, 2021, the General Department of Taxation requested Tax Departments of provinces and centrally run cities. Implement some of the following:

In the process of implementing the Resolution, the Decree needs to create favorable conditions for businesses, organizations and people, and at the same time have the responsibility to check and supervise the selling prices of goods and services (prices exclusive of VAT). ) from November 1, 2021 of businesses and organizations in the area to achieve the goal of consumers enjoying benefits from the reduction of VAT according to the provisions of Clause 3, Article 1 and Clause 1, Article 2 of this Law. Resolution.

In case of detecting the phenomenon of taking advantage of the State's policies to increase the selling price of goods and services eligible for VAT reduction, it is necessary to promptly advise the People's Committee of the province and city to handle them.

Regarding the making of invoices for goods and services subject to VAT reduction: Clause 3, Article 3 of Decree No. 92/2021/ND-CP stipulates the order and procedures for VAT reduction as follows:

For enterprises and organizations specified at Point a, Clause 2, Article 3 of Decree No. 92, when making value-added invoices to provide goods and services subject to value-added tax reduction, at the tax rate line: value added tax write "the prescribed tax rate (5% or 10%) x 70%"; value added tax; the total amount to be paid by the buyer.

Based on value-added invoices, enterprises and organizations that produce and trade in goods and services declare output value-added tax, and enterprises and production and business organizations purchase goods and services and declare Deduct input value-added tax according to the reduced tax amount written on the value-added invoice.

For enterprises and organizations specified at Point b, Clause 2, Article 3 of Decree No. 92, when making sales invoices for the provision of goods and services subject to value-added tax reduction, in the column "Total money" fully write down the money for goods and services before the reduction, in the line "Adding money for goods and services" write the number that has decreased by 30% of the percentage of revenue, and at the same time note: "reduced... (amount of money) ) equivalent to 30% of the rate for calculating value-added tax according to Resolution No. 406/NQ-UBTVQH15".

The General Department of Taxation requires Tax Departments to thoroughly understand and strictly implement the above-mentioned contents. In the course of implementation, if difficulties and problems arise, the Tax Departments are requested to report to the General Department for timely handling.