Bac Ninh Customs: Loss in revenue collection is come from many key commodities

Leader of Bac Ninh Customs Department answered questions of business community via conference. Photo: Quang Hùng

In recent times, Bac Ninh Customs Department has tried to deploy many solutions to increase revenue collection, especially searching and exploiting revenue source such as

mobilising and attracting enterprises operating export and import activities in the province to implemente customs procedures in localities where managed by the unit. At the same time, it has been developing and implementing working plans with enterprises to grasp information and remove difficulties for enterprises. Besides that, administrative procedure reform has contributed to facilitating enterprises in implementing customs procedures, as well as strengthening inspection and checking to fight the loss of State revenue.

As a result, by the end of November 19, Bac Ninh Customs Department collected and contributed more than VND 9,950 billion to the State revenue, reaching 82.11 percent of the current appropriation and the target in 2019 (VND 10,900 billion). Compared to the same period in 2018, revenue collection through this area increased by 0.73 percent, equivalent to VND 65 billion.

However, the export and import of goods of enterprises has faced many fluctuations and the leaders of Bac Ninh Customs Department are concerned this situation would cause a decrease in revenue collection compared to previous years.

Specifically, the production and business activities of a number of enterprises carrying out customs procedures in the management areas of Bac Ninh Customs Department have decreased compared to 2018. For example, Samsung Electronic Vietnam Co., Ltd., Ho Chi Minh City Branch decreased by 6 percent (equivalent to VND 127 billion), Thai Hung Trading Joint Stock Company decreased by 48 percent (equivalent to VND 79 billion), Honda Trading Vietnam Co., Ltd decreased by 50.7 percent (equivalent to VND 66 billion), Hanacans Joint Stock Company decreased by 38.3 percent (equivalent to VND 81 billion).

Explaining this, Deputy Director of Bac Ninh Customs Department Nguyen Bac Hai said that in previous years, the unit's revenue collection was mainly dependent on the import of machinery and equipment to create fixed assets (including VAT). So far most of the projects have been completed. On the other hand, although there were many new enterprises investing in the area, they were granted business licenses as export processing enterprises, thus they were not subject to tax. They include businesses with investment projects which have enjoyed an increase in the number of declarations but tax revenue did not increase. Along with that, goods under the form import for export production, processing accounts for a large proportion of import and export but it did not generate tax. In addition, some goods that contributed a large amount of revenue also tend to decrease.

For example, in Thai Nguyen, minerals, steel billets, tablets and mobile phones are the exported items that contribute greatly to revenue collection but have decreased, especially tablets and cell phones dropped by VND 400 billion.

Facing the fluctuations of import-export activities, with determination to achieve the highest revenue, recently, the Director of Bac Ninh Customs Department Tran Thanh To signed a decision to adjust and assign targets of revenue collection in 2019 for its Customs Branches. Accordingly, Bac Ninh Customs Branch would strive to collect VND 2,425 billion; Tien Son ICD Customs Branch would strive to reach VND 3,040 billion; Yen Phong Industrial Park Customs Branch would strive to collect 750 billion VND; Bac Giang Industrial Park Customs Branch would aim to collect VND 1,300 billion and Thai Nguyen Customs Branch would strive to collect VND 3,350 billion.

Therefore, to collect revenue (VND 10,900 billion), Bac Ninh Customs must complete VND 1,950 billion, equivalent to VND 48.75 billion/day. Therefore, besides continuing to implement solutions to increase State revenue, according to Nguyen Bac Hai, in the last months of 2019, following the directives of the General Department of Vietnam Customs, the unit continued to check HS code and value for goods items subjected to tax, as well as strictly control origin of imported goods to combat revenue losses, contributing to collect with the right amount to the State budget.