Minister talks about concerns about 'excessive' incentives for business households and small and medium enterprises

Regarding the draft Resolution of the National Assembly on mechanisms and policies for private economic development, discussed at the National Assembly on the afternoon of May 15, Minister of Finance Nguyen Van Thang said that the resolution of the National Assembly as well as the resolution of the Government both aim to institutionalize Resolution 68 of the Politburo on private economic development.

According to Minister Thang, the subjects of the National Assembly 's draft Resolution are businesses, business households, and other relevant organizations and individuals.

The drafting committee pays special attention to designing mechanisms and policies to harmonize the interests of businesses, people and different target groups.

Mr. Nguyen Van Thang gave an example of the behavior between business households and small and medium enterprises (SMEs). The drafting agency has calculated and researched this very carefully.

Minister of Finance Nguyen Van Thang. Photo: QH

With the goal of ensuring that each subject has support programs and policies, so that all business households can "grow" and be ready to switch to an enterprise model, SMEs develop and are ready to become medium and large enterprises.

“Therefore, this policy also includes support for medium and large enterprises. We are also very worried that if we give too much favor to business households and SMEs, they will not want to grow anymore,” the Minister of Finance stated.

Therefore, the Ministry of Finance wants to "pull" preferential policies between business households and SMEs together in the direction of giving preferential treatment to larger SMEs.

“There must be clear regulations on dealing with business households to avoid being taken advantage of and to operate more transparently. For example, removing the lump-sum tax mechanism for business households does not create additional burdens for them but also ensures transparency in tax payment,” said Mr. Nguyen Van Thang.

Along with that, the Ministry of Finance has directed the creation and issuance of invoices through cash registers. After the pilot period, the amount of tax collected has increased significantly. This is also a measure to ensure transparency for business households.

“We have preferential policies for business households in converting to an enterprise model, from financial support for renting or purchasing digital platforms, training support software... The Ministry of Finance will amend regulations on conditions related to accounting and bookkeeping; simplify conditions to avoid causing difficulties for business households when converting, and at the same time provide tax support, especially exemption from income tax,” informed Mr. Nguyen Van Thang.

If we do not boldly assign key projects, it will be difficult for businesses to do it.

Discussing the draft Resolution, Deputy Prime Minister Nguyen Chi Dung emphasized that the policy design research process must be carefully considered, so that the policies put forth ensure the principle of maximum support for private enterprises, but do not cause inequality with other economic sectors, and do not violate international commitments.

Deputy Prime Minister Nguyen Chi Dung. Photo: QH.

Regarding creating conditions for private enterprises to participate in major national projects, Deputy Prime Minister Nguyen Chi Dung said that if we do not boldly assign projects, it will be difficult for enterprises to do so. For example, investing in high-speed railways, if we do not place orders with enterprises, meaning there is not enough market capacity, they will not dare to invest in technology and production lines.

According to the Deputy Prime Minister, choosing which content to include in the draft resolution is a difficult issue, typically regulations on criminal liability, inspection...

Regarding regulations on handling violations, the Deputy Prime Minister reiterated the viewpoint of separating legal and individual responsibilities, and not criminalizing economic relations.

Including these contents in the draft Resolution may not be more specific than what was stated in Resolution 68 of the Politburo, but "it is a major policy that the business community is looking forward to" and reflects the message of the National Assembly and the direction for implementing and amending the following laws.

Source: https://vietnamnet.vn/bo-truong-noi-ve-noi-lo-khi-uu-dai-qua-muc-cho-ho-kinh-doanh-dn-nho-va-vua-2401513.html