Prime Minister Pham Minh Chinh has ordered the Ministry of Finance (MOF) to streamline value added tax refund procedures to aid enterprises and residents.

In his document sent to authorities, the MOF was tasked with urging the General Department of Taxation to draw up guidelines on reviewing value added tax refund applications before May 28,

PM Chinh also told ministries and localities to remove hurdles for enterprises and households.

According to him, complicated and unpredictable global economic developments have adversely impacted the recovery pace and economic growth prospects worldwide. Vietnam is no exception, as it is facing various internal and external challenges and economic shortcomings.

With main markets such as the U.S., Europe, Japan and Korea experiencing economic contraction, consumer demand would remain weak in the short term, leading to a plunge in exports or supply chain disruptions of electronics, footwear, wooden and apparel products, and minerals.

PM Chinh assigned the Ministry of Industry and Trade to leverage free trade agreements (FTA) that Vietnam had entered into and step up negotiations and signing of new agreements to diversify two-way trade markets.

He prompted the central bank to cut interest rates further to enable manufacturers to prop up production and accelerate the disbursement of two credit packages worth VND40 trillion and VND120 trillion

The MOF was asked to carry out policies on extension, exemption, and reduction of taxes, fees, charges, and land rent that had been approved and to continue coming up with new approaches to support the economy wherever possible.

The prime minister also stressed the need to cut red tape and reduce the regulatory burden for businesses and individuals.

Saigon Times