Hanoi will implement many programs to increase turnover from tourism, agriculture, information technology and businesses in order to achieve the tax revenue target in 2021, according to Secretary of the Hanoi Party Committee Vuong Dinh Hue.

The achievement of the city’s tax revenue target is of great importance to the country’s total. Photo: Cong Hung

Speaking at a recent meeting with the Hanoi Tax Department, Hanoi Party Chief Vuong Dinh Hue said that the city’s tax revenue last year was excellent. Notably, the collection from 30 districts achieved and exceeded the 2020’s estimate, of which nearly 93% came from the domestic revenue.

In 2020, the city’s total tax revenue reached VND265.9 trillion (US$11.5 billion), or 102.1% of the estimate, up 5.9% compared to 2019, according to data from the municipal Tax Department.

“Hanoi's domestic revenue alone accounts for 21% of the country's total domestic revenue. Therefore, the achievement is of great importance to the country’s state budget revenue,” said Deputy Minister Ha.

Overcoming the difficulties caused by Covid-19, in 2020, the tax collection of Hanoi exceeds the assigned estimate. 

In 2021, the Hanoi Tax Department is assigned to collect VND216.8 trillion (US$9.3 billion) worth of tax revenue, a number which is lower compared to the realized figure in 2020. The Deputy Minister set out a request to the municipal Tax Department in 2021 to strive to exceed the 2020 estimate.  

This year, the Covid-19 pandemic is forecast to continue expanding; tax evasion, smuggling and commercial fraud will be increasingly sophisticated, requiring the Hanoi tax authority to continue promoting the reform, modernization and application of information technology, creating all favorable conditions to increase revenue sources and find solutions for budget revenue loss.

According to Mr. Mai Son, Director of the Hanoi Tax Department, in 2021, the department is determined to deploy eight groups of solutions to well perform six key tasks and strive to successfully complete the task of tax collection.

In particular, the tax authority will also continue to deal with tax arrears, ensuring that the tax arrears ratio will not exceed 5% of total budget revenue.