In a draft report to the Prime Minister about enterprise development in 2020 and the first five months of 2021, the Ministry of Planning and Investment (MPI) summarized 12 groups of solutions that the business community has suggested.

First, procedures on access to government support policies. Enterprises have asked to amend some requirements which they believe are too strict and not feasible. For example, companies are only eligible if more than 50 percent of workers have lost jobs.

Enterprises say the regulations need to be compiled in a clear and realistic way so as to exactly identify the subjects that need support, and to make it easier and quicker to access support.

The Government has been asked to extend support packages for businesses until the end of 2021, including the corporate income tax and land rent payment extension, the 50 percent reduction for payments for social insurance, and health insurance and unemployment insurance premiums for 2020 and 2021; and to continue the 50 percent automobile registration tax reduction.

Enterprises want the delay of the 2 percent payment for the trade union fee or a fee reduction of 1 percent.

They have asked to review and clarify the regulation on fees for using infrastructure works, public works and utilities in seaport border gate areas in HCM City (which is expected to take effect on July 1); and the Ministry of Transport’s regulation on installing cameras on transport automobiles prior to July 1.

The business community said that the Government needs the same regulations on fighting Covid-19 across the country to ensure that accurate and transparent information is provided.

Cities and provinces should be prohibited to independently apply their own pandemic fighting measures, because the arbitrary application of different measures has caused problems for enterprises when distributing their products.

They have also proposed speeding up vaccinations for workers at enterprises. Enterprises should be allowed to vaccinate their staff in accordance with the Ministry of Health (MOH) instructions.

They should also be allowed to take the initiative in negotiating with vaccine suppliers to buy vaccines based on the list of vaccines accepted by the MOH. It is also necessary to expand the vaccination force to satisfy the needs of a large-scale vaccination program.

The force should include not only vaccination centers but also hospitals and medical centers satisfying the requirements set by MOH.

Enterprises want to speed up the vaccination process and are willing to support and accompany the Government.

It is necessary to set universal regulations on issuing vaccination certificates, including the form of certificate. There should be a QR Code on the certificates to better control and create favorable conditions for people to travel within Vietnam and abroad.

The Government should develop nationwide universal regulations on Covid-19 prevention and control, and provinces and cities should not be allowed to arbitrarily apply anti-epidemic measures on their own, officials have proposed.

Enterprises have asked to amend some legal documents that have caused difficulties for their production and business activities.

They want the Government to apply the sandbox mechanism to help technology startups to develop; and set a transparent mechanism on open data sources of the public sector so that technology firms can access digital resources to develop innovative products and services.

Enterprises said that the improvements caused by administrative reform remain unsatisfactory and uneven at all levels.

In the draft, the Ministry of Planning and Investment (MPI) asked the Prime Minister to assign ministries and branches and related organizations to continue joining forces to reach the dual goals of fighting Covid-19 and ensuring economic development.

MOH has been asked to issue instructions on classification rules for the application of measures throughout the country, so as to avoid excessive local-only rules which hinder enterprises’ operation.

MOH has been asked to work out on a plan to speed up the vaccination program, with priority given to workers in Industrial Zones, foreign specialists, and workers in enterprises who regularly have to go abroad for business and meet foreigners.

MPI has asked the Prime Minister to assign ministries and branches to propose cuts in tax, fee and land rent.

It proposed that the Ministry of Finance (MOF) should compile the draft resolution on cutting the 2021 Corporate Income Tax by 30 percent, to be applied to enterprises, cooperatives, public non-business units and other organizations that had 2020 total revenue of no more than VND200 billion.

MOF was asked to cut the VAT by 50 percent in 2021, to be applied to the business fields most seriously hit by Covid-19, such as tourism and hospitals. This would help cut service fees, stimulate demand, and support domestic travel.

A zero percent VAT for six months for transport firms, a 50-percent registration tax reduction for autos that newly register for transport service, and an air-fuel cut from VND2,100 to VND1,000 for 2021 have also been suggested.

In addition, MPI has also suggested that the Vietnam Labor Federation ask the Government and National Assembly (NA) to allow the delay of trade union fee payment and 50 percent fee reduction in 2020 and 2021; and that MOT exempt tolls for transport firms. 

Luong Bang

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