Proposal to reduce value added tax on electricity bills

Voters of Co Do district requested the relevant authorities to consider reducing the value added tax rate on the monthly electricity bills of households. The response of Can Tho City Electricity Company is as follows:

Can Tho City Power Company is a unit providing special services and goods that are entitled to value-added tax (VAT) reduction according to the provisions of Decree No. 15/2022/ND-CP dated January 28, 2022 of the Government promulgating the policy of tax exemption and reduction according to Resolution No. 43/2022/QH15 of the National Assembly on fiscal and monetary policies to support the program of economic and social recovery and development. The VAT reduction period is from February 1, 2022 to December 31, 2022, with a VAT rate of 8%.

After the VAT reduction period expires as prescribed, the VAT rate currently applied to Can Tho City Power Company in particular and other businesses in general is 10% as before according to the Government 's regulations. Can Tho City Power Company is a unit under the Southern Power Corporation, performing the task of selling electricity in Can Tho City according to the functions and duties of the Corporation. The Company does not have the function of reducing the VAT rate on the monthly electricity consumption of households. The VAT reduction issued by the Government, Can Tho City Power Company will implement in accordance with the provisions of law.

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