VietNamNet Bridge - While the Binh Duong provincial tax inspectors concluded that Dai Nam Company broke tax laws and had to pay tax arrears of VND99 billion, the Ministry of Finance (MOF) said the company had not committed any violation.

The Dai Nam Tourism Complex run by Dai Nam

The Binh Duong provincial People’s Committee on August 19 organized a press conference announcing the result of the inspection conducted at Dai Nam Company. 

The owner of Dai Nam is Huynh Uy Dung, known as ‘Dung lo voi’ (Dung lime kiln) because he started his business with building materials. 

At the press conference, Nguyen Thi Tuyet Mai, chief inspector, stated that Dai Nam broke tax laws, which led to a lower tax amount it had to pay.

The inspectors decided to impose a fine on Dai Nam and forced the company to pay the tax arrears of VND99 billion.

Dung, Dai Nam CEO, paid the tax arrears of VND99 billion just within 24 hours after the decision was released to the Binh Duong provincial treasury. 

However, Dung stated it would make an appeal to claim innocence.

According to Dung, Dai Nam has been strictly following MOF’s Circulars No 130 and 123 on business expense allocations. 

In 2009-2014, Dai Nam received three delegations of inspectors from the General Department of Taxation, State Audit and Binh Duong provincial taxation body, which all accepted Dai Nam’s method of allocating business expenses.

However, Mai did not recognize the conclusions made by the three delegations of inspectors. She even threatened to ask the provincial people’s committee to discipline the individuals and agencies who “loosened management and did not recognize the violations made by Dai Nam”.

In an unexpected move, MOF has defended Dai Nam. In a dispatch dated August 20, Phi Van Tuan, deputy general director of the General Department of Taxation, affirmed that Dai Nam did not break the laws when allocating business expenses in the asset assignment case.

Meanwhile, MOF pointed out that the Binh Duong provincial inspectors violated the Inspection Law, which stipulates that the inspections by different agencies must not coincide in terms of time, subject, content and scope.

In this case, Binh Duong’s inspectors re-examined the issues inspected before by three other delegations of inspectors. Binh Duong inspectors thus were wrong when inspecting Dai Nam and releasing the decision on collecting VND99 billion in tax arrears. 

Unlike other businesses, Dai Nam’s case has caught the special attention from the public. Dai Nam’s name has appeared repeatedly in local newspapers in recent years. Its owner Huynh Uy Dung once sued provincial authorities in a lawsuit relating to land allocation.

Pham Huyen