Tax management system needs modern redesign: experts

Tax management system needs modern redesign: experts

The tax system should continue to build a comprehensive support ecosystem that reduces compliance costs for both taxpayers and the entire society.

A  man paying tax via e-Tax Mobile app. Redesigning a modern tax management system integrated with digital infrastructure and data system is a crucial step to improve efficiency and tax compliance. — VNA/VNS Photo Quang Thái

Redesigning a modern tax management system integrated with digital infrastructure and data system is a crucial step to improve efficiency and tax compliance.

That was the message from Mai Sơn, Deputy Director of the General Department of Taxation, speaking at a conference on Thursday.

"The ultimate goal is to foster a fair and transparent business environment and build a sustainable revenue base that supports the country’s priorities, including social welfare, infrastructure development and national defence," Sơn said at the event jointly held by the Việt Nam Chamber of Commerce and Industry and Lao Động (Labour) newspaper on promoting tax compliance.

According to Nguyễn Thị Cúc, President of the Tax Consultants Association, the tax system should continue building a comprehensive support ecosystem that reduces compliance costs for both taxpayers and the entire society.

Despite significant achievements in digital transformation, the tax system still needs further improvements. A fair system with low compliance costs and convenient payment will promote tax compliance.

Nuguchi Daisuke, Chief Advisor of the JICA Tax Project, outlined three recommendations for Việt Nam to increase tax compliance.

First, tax agencies should enhance access to information for taxpayers as many non-filers may simply lack awareness rather than intentionally evade taxes. Second, it was necessary to develop a simple and easy-to-use system for taxpayers. Third, he recommended incentives be provided for compliant taxpayers.

Globally, businesses were shifting from legal compliance to transparent and responsible tax behaviour, said Bùi Ngọc Tuấn from Deloitte Việt Nam.

“Businesses must view tax data as a strategic asset,” he said, adding that those that leverage analytics and automation can make faster, more accurate decisions to boost both compliance quality and long-term corporate value.

With regards to e-commerce tax, Việt Nam should leverage technology and transparent data-sharing to make e-commerce tax compliance easier and more inclusive, Hoàng Duy Chính, from logistics company Viettel Post told the conference.

He said communication should be enhanced to increase awareness and understanding of taxpayers. It was also necessary to develop mechanisms to share transaction data between sellers, tax authorities and e-commerce platforms to enhance transparency, while offering incentives for logistics companies and platforms that actively support tax collection, he said. 

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