State domestic revenue rises 14% to US$34.8 billion in eight months
State domestic revenue rises 14% to US$34.8 billion in eight months
The State budget’s domestic revenue in the first eight months of 2019 is estimated at VND808.8 trillion (US$34.8 billion), according to the Ministry of Finance.
The figure is equal to 68.9 per cent of the full-year plan and up 13.9 per cent year on year.
The domestic revenue is made up of a variety of taxes and charges, and collected from different sources such as State-owned, FDI and private enterprises, agricultural land use, personal income and vehicle registration.
It is also estimated that domestic revenues collected by 55 of all 63 provinces and cities have beat the full-year target, which is set at 65 per cent. Of the figure, 46 provinces and cities recorded that their domestic revenues fulfilled 68 per cent of the year’s target.
Besides domestic revenue, State budget collection from exports rose 10.3 per cent year on year to VND147.2 trillion in the first eight months, fulfilling 77.8 per cent of the full-year target. Tax deduction is estimated at VND85.9 trillion, equal to 77.2 per cent of the year’s plan.
However, revenue from oil production and exports in January-August fell 6.8 per cent yearly to VND38.78 trillion, which accounts for 87 per cent of the 2019 target.
As of the end of August, it was recorded that eight of 12 State budget revenue items had fulfilled at least 68.9 per cent of their full-year plans. The items with high State budget revenues were land and housing (88 per cent of the year’s target), lottery (83.9 per cent), and licensing of mining and water businesses (126.6 per cent).
State budget revenue in four of the 12 items was less than expected, which were State-owned enterprises, FDI companies and private firms with fulfilment rates of 62.1 per cent, 64.9 per cent and 66.2 per cent, respectively.
According to the Ministry of Finance, the general tax department pushed its agencies to improve tax collection, monitor local tax payers and administrate businesses over their tax payments.
In addition, the General Department of Customs worked closely with local authorities and other Government agencies to fight State budget losses, smuggling, trade fraud and fake goods. The customs office also modernised its administrative system to speed up the processing of customs procedures.
In the eight month period, total State spending was up 2.8 per cent yearly to VND901.35 trillion, equal to 55.2 per cent of the year’s plan.
The figure included spending for investment and development (VND161.27 trillion), interest payments (VND76.76 trillion) and regular spending (nearly VND645 trillion).
As of August 31, the State Treasury had settled VND570.8 trillion worth of State regular spending, 54.7 per cent of the full-year target, and disbursed VND153.8 trillion worth of procurement, 41.5 per cent of the plan.
In addition, total VND152 trillion worth of Government bonds were raised in the first eight months with average maturity of 13.48 years and average per-annum yield rate of 4.89 per cent.
Total State budget collection in the first eight months reached nearly VND1 quadrillion, up 12.4 per cent year on year and equal to 71 per cent of the year’s plan.
