MoF makes Suntory Pepsi tax ruling

May 31st at 10:15
31-05-2017 10:15:25+07:00

MoF makes Suntory Pepsi tax ruling

The branch of Suntory Pepsico Viet Nam Beverage Company in Can Tho City is subject to taxes as an expansion but not as a new investment, the Ministry of Finance has announced.

 

The decision was published in a recent document sent to the alliance between PepsiCo Inc. and Suntory Holdings Limited to respond to the company’s proposal for tax incentives as a new investment.

The ministry said that the branch of Suntory Pepsico in Can Tho City must be taxed as an expansion following the Law on Corporate Income Tax.

In 2008, HCM City–based Suntory Pepsico Viet Nam invested in a new a plant in Can Tho City’s Tra Noc Industrial Zone, which was granted an investment certificate. Under the certificate, the plant in Can Tho would enjoy tax incentives as a new investment, including a corporate income tax rate at 15 per cent for 12 years of operation, exemption from the corporate income tax for three years and 50 per cent discount in payable for the seven following years.

However, after an inspection in 2012, the General Department of Taxation said that the plant in Can Tho was the subject to tax as an expansion investment. Accordingly, the plant must pay an additional VND18 billion (US$789,500) in corporate income tax for 2012 and 2013 and a fine of VND3.5 billion for late payment.

In April, the company sent a document to propose taxation as a new investment, as per the investment certificate.

bizhub



NEWS SAME CATEGORY

Bank for Social Policies’ capital rises 6.7%

The Bank for Social Policies’ total capital at the end of the first quarter rose 6.7 per cent against December 2016 to VND173.34 trillion (US$7.6 billion), its...

Ministry proposes green protection fuel tax hike

The Ministry of Finance wants to increase environmental protection tax on petrol and oil to ensure sufficient budget collection, as the country has to cut import...

Regulations drafted for non-banking financial companies

Non-banking financial companies (NBFC) may be allowed to set up a maximum three branches in a fiscal year.

Overnight rate at three-month low, courtesy good liquidity

Inter-bank interest rates last week slipped 0.83-1.03 percentage points against the previous week because of good liquidity, pushing Friday’s overnight rate to a...

Central bank maintains flexible forex regime

In the first four months of the year, the trade deficit was at quite high at around US$2.8 billion.

Maritime Bank listing rejected

Vietnam Maritime Commercial Joint Stock Bank (Maritime Bank) has failed to get approval from shareholders to trade its shares on the stock exchanges.

OCB puts into operation anti-money laundering system

The Orient Joint Stock Commercial Bank (OCB) officially announced on Thursday it has put an anti-money laundering system meeting international standards into...

Short-term deposit rates forecast to reduce in 2017

The market research company Market Intello forecast that the average interest rate this year would reduce by 0.5 percentage points compared with 2016.

Fitch rates 3 Viet Nam banks' outlooks as positive

Fitch Ratings on Wednesday revised the outlooks on the long-term issuer default ratings (IDRs) of three State-owned Vietnamese banks – Vietinbank, Vietcombank and...

ADB links up with VN banks

An Binh Joint-Stock Bank (ABBANK) and Tien Phong Commercial Joint-Stock Bank (TPBank)

Bank stocks

Insurance stocks


MOST READ


Back To Top