Administrative reform in taxation and customs

Administrative reform in taxation and customs Related image(s)

(CPV) - Vietnam Finance, leading credible information and technology forum in the public finance sector, opened in Hanoi on September 17th with the theme “Administrative reform in taxation and customs”. Under the endorsement of Finance Ministry, the Conference & Exhibition Vietnam Finance 2015 event is organized in collaboration between the General Department of Taxation, General Administration of Customs, Department of Instamatics and Statistics Finance, Strategic and International Data Group (IDG Vietnam). According to the PAR Index 2014 (Par Index 2014) of the Ministries and Ministerial-level agencies announced by the Ministry of Home Affair, the Ministry of Finance ranked No. 2 out of 19 sets with 81.54%, just below the Ministry of Transport headed by 0.29%. Deputy Minister of Finance Tran Van Hieu delivered his speech at the event. (Photo: ATP) In order to enhance national competitiveness as well as support for business development, the Ministry of Finance has conducted numerous administrative reforms, especially in the field of taxation and customs. Hence, the positive changes in implementing the reform of administrative procedures for taxation and customs sectors meaning significance to the development of the financial sector in particular and Vietnam’s economy in general. In the field of taxation, its reform roadmap has been implemented since 2011 by now and there have been positive signs. Currently, there are more than 510,000 (98%) businesses have electronic tax filling and more than 25 million online records. Taxation says that they will strive to achieve over 90% of companies implementing electronic tax filing. In 2014, as reported by the World Bank, the taxpaying hours in Vietnam is 872 hours, including 537 hours of paying tax and 335 hours of paying social insurance. As of the moment, after the implementation of solutions within the jurisdiction of the Ministry of Finance, Government, National Assembly, tax compliance has dropped 370 hours from 537 hours/year to 167 hours/year. Gaining electronic filling tax of over 90% of enterprises around the country will contribute to reducing the additional hours of business taxpayers, which help achieving the goal of the reduction of taxpaying hours to 121.5 hours in 2015. Along with tax, there have been positive signs in accelerating the application of IT in the reform of administrative procedures in the customs sector. Implementation of the general policy of the Government to promote the reform of administrative procedures aims to create advantages for business in import and export. In recent years, customs has promoted the reform of administrative procedures; including the application of information technology plays an important driving force of this process. Currently, the state management of customs has been moved completely from manual management methods into methods of modern customs management based on the application of information technology. The application of automated customs clearance system (VNACCS/VCIS) and singer window system marked an important milestone in the process of reform and development of the customs service. So far the system has been implemented at all 34 stabilize local customs Departments and all 171 Departments nationwide. VNACCS/VCIS stable operation has contributed to trade facilitation in Vietnam, more than 99.65% of the export declarations have been completed through VNACCS. In the first year of implementation (from April 1st, 2014 to March 3rd, 2015), a total of 56,000 companies have filed declarations via the system, with the total return is of about 6.74 million, and total revenue is approximately 271.5 million. Along with the successful deployment of the automated customs clearance system VNACCS/VCIS and IT applications in the core areas, customs has strengthened deploying single-window system in the country as well as in the ASEAN. To date, customs has officially connected with the Ministry of Industry and Trade, Ministry of Transport, Ministry of Health, Ministry of Natural Resources and Environment, Ministry of Agriculture and Rural Development, and Ministry of National Defense. Besides, the customs is preparing to connect with the Ministry of Culture, Sports and Tourism, Ministry of Information and Communication and the Ministry of Science and Technology. Customs is also preparing various technical conditions and ensure legal in order to make the connection with at least one ASEAN country in May 9th, 2015. The results of modernize and reform of IT has helped businesses more favorable in the clearance process, especially in the timesaving goods across borders. Specifically, the present time for customs clearance of goods on average decreased from 21 days to 14 days for exports and 13 days for imports, which also help reducing by 10% to 20% the cost as well as 30% clearance time of exporting and importing goods for businesses. With the above results, the reform of administrative procedures in the field of customs has brought tangible benefits to businesses as well as enhancing effectiveness and efficiency of State management over customs. In particular, the reform of administrative procedures helped shorten the time of customs clearance, reduce paperwork and simplify the records of businesses, reducing the stages in customs procedures, inspection, supervision and transparency. By deploying technological solutions mentioned above, it has helped cutting the compliance costs for VND705 billion per year for import and export businesses. Understanding the current situation, the two-day Vietnam Finance 2015 event with 01 keynote and 02 thematic sessions will provide practical topics as well as presentations from leading experts, in order to share experiences related to reform administrative procedures of custom and tax, thus finding solutions to improve efficiency in the management of public finances. The Keynote will give a big picture of the current situation of IT application in finance sector in general, and especially in taxation and customs in particular in Vietnam. Some outstanding keynotes include: Administrative reform in finance sector in order to improve business environment, strengthen national competitive capability, strategic program for administrative reform and IT application in customs in the period of 2016 – 2020, orientation of administrative reforms in taxation in Vietnam, incorporating big data into financial services risk manager analytics, keep your mobile device safe for mobile finance trend. Session 1 will discuss main topics including administrative reform in Vietnamese taxation, implementing information connection and exchange between tax agency and land registration agency, budget collection via banks management software, solution for personal income tax and household business income tax collection, security solutions in development and deploying of e-taxation, and constructing & applying the integrated data base enabling data utilization. While participants will focus on implementing national single – window mechanism: an effective way to simplifying administrative procedure in customs with the following topics: Measure the time required for the release of goods: a solution to push administrative reform in customs; deployment e-customs and national single – window mechanism; private terminal software for enterprises processing in e-customs; build the self- defense capability for your data center; and collecting state budget via Vietinbank complying with the modernization standard of Ministry of Finance in the Session 2. Together with the conference, the exhibition will excite visitors with hands-on experience and great showcase of the latest technology solutions, products and services for financial industry from leading technology and consulting corporations./.