Lawmakers support extending VAT cut to boost consumption
(VOVWORLD) - National Assembly deputies agreed on Monday that the current 8% VAT rate should be maintained until next year to boost consumption and economic recovery.
The Government has cut VAT from 10% to 8% since July of this year and has now proposed the National Assembly extend this rate until the middle of next year instead of the end of this year as planned.
Tran Hoang Ngan, a deputy from Ho Chi Minh City, said VTA reduction will support people and businesses as a way to develop the economy and increase State revenue.
"As budget collection has consistently exceeded projections over the past 3 years, there is ample room for such support,” said Ngan.
The same day, lawmakers also discussed a draft resolution on the application of additional corporate income tax in accordance with regulations to prevent global tax base erosion.