The State budget deficit in the first eleven months of this year stood at VND172.9 trillion ($7.6 billion), according to the latest figures from the General Statistics Office (GSO).

State budget revenue and spending during the period were VND851.8 trillion ($37.5 billion) and VND1 trillion ($45.1 billion), respectively.

For 2016, State budget revenue had been forecast at VND1,100 trillion ($46.3 billion) while State budget spending had been forecasted at VND1,300 trillion ($56.1 billion).

The State budget deficit therefore came in at VND172.9 trillion ($7.6 billion) for the first eleven months of the year. Tax revenue from imports and exports reached VND131.3 trillion ($5.8 billion), which is 76.3 per cent of the annual plan.

Some tax revenue from domestic business activities saw handsome growth, with land use fees reaching VND68.8 trillion ($3 billion), or 137.6 per cent of the annual plan. Meanwhile, industry and trade activities, excluding State-owned enterprises (SOEs), contributed VND135 trillion ($5.9 billion), or 94.1 per cent of the annual plan.

Environmental taxes reached VND35.2 trillion ($1.6 billion), or 91.5 per cent of the annual plan, while personal taxes reached VND57.3 trillion ($2.5 billion), or 90 per cent of the annual plan. Tax payments from foreign-invested enterprises (excluding crude oil) reached VND137.3 trillion ($6 billion), or 86.4 per cent of the annual plan.

Notably, tax revenue from SOEs remained low, reaching VND176.6 trillion ($7.8 billion), or 76.3 per cent of the annual plan.

Budget spending stood at VND1,000 trillion ($45.1 billion), or 80.5 per cent of the annual plan. Spending on investment and development was VND167.7 trillion ($7.4 billion), or 65.8 per cent of the annual plan.

Spending on socioeconomic, national defense and security, and administrative management was VND713.9 trillion ($31.4 billion), or 86.6 per cent of the annual plan. Spending on debt repayments and donations reached VND136 trillion ($6 billion), or 87.7 per cent of the annual plan.

The deficit for the year as a whole has been forecast at VND222.8 trillion ($9.8 billion). Forecasts for debt repayments and donations are VND155 trillion ($6.8 billion) and investment and development VND264.95 trillion ($11.7 billion).

Slow tax settlement and slow customs clearance are just some of the problems that businesses face. According to figures from international organizations, reducing tax payment times will save an annual VND7 trillion ($308.4 million) for businesses and society.

Authorities have made a lot of effort to streamline the tax system. Tax procedures have already been reduced in number from 385 to 300. E-tax declarations and payments have been applied nationwide, which helped cut tax payment times from 537 hours in 2013 to 117 hours in 2016. Online tax refunds were previously under a pilot scheme but will soon be widely applied.

VN Economic Times