Tax sector deploys decision on merger of regional tax branches

	Tax sector cuts 211 tax branches
	The tax sector continue cutting down 93 tax branches
	Tax sector reduces 30% focal points at team level

The conference. Photo. T.L

Regional tax branches operate stably

Implementing Resolution No. 18-NQ/TW dated October 25, 2017 of the Central Executive Committee of the 12th term, on April 13, Minister of Finance issued Decision 520 approving the plan on merging tax branches of districts, towns and cities into regional tax branches under tax departments of provinces and centrally run cities. Accordingly, the organisational structure must comply with Resolution No. 18-NQ/TW, ensuring the streamlining, efficiency and stability and not affecting work efficiency and complying with assigned tasks.

To accomplish this task, the General Department of Taxation issued a detailed implementation plan on establishing a Steering Committee at the General Department of Taxation and tax departments. It also requested tax departments develop a scheme to establish regional tax branches; perform tasks from apparatus organisation, rearrangement of human resource to streamline staff and reduce administrative cost of tax authorities but ensuring the more efficiency of newly established regional tax branches and creating more favorable conditions for taxpayers to fulfill their obligations with the State budget.

In 2018, the General Department of Taxation piloted regional tax branches at six localities. Accordingly, 34 tax branches were merged to establish six regional tax branches and 18 tax departments were reduced.

From the beginning of 2019 to the present date, the General Department of Taxation has implemented two arrangements to establish regional tax branches of 25 provinces. Accordingly, 160 tax departments were merged to establish 76 regional tax branches.

In August and September 2018, Minister of Finance signed 35 decisions to establish regional tax branches under 35 provincial and municipal tax departments.

Currently, the General Department of Taxation has merged 401 tax branches of 61 provincial and municipal tax departments to establish 190 tax branches, cutting 211 tax branches. The number of tax branches in the country reduced from 711 to 500.

At the conference, Nguyen Thi Thu Ha, Vice Woman of Bac Giang People's Committee, said Bac Giang province agreed with the policy of merging the district tax branches into regional tax branches. This shows the seriousness of the Ministry of Finance and localities in the implementation of Resolution No. 18. For Bac Giang, to implement the Minister of Finance's Decision on rearranging taxbranches, provincial leaders directed specialised agencies and tax departments to plan arrangement and requested the Tax Department to well implement propaganda and stabilize the organisational structure. Thanks to the efficiency of propaganda, the deployment is quite favourable.

“Streamlining and consolidating the apparatus is difficult task, affecting the interests as well as in performing specialised tasks. However, by implementing professional methods, the merging has been conducted stably and effectively. The key task of State revenue collection 209 has been done well. It is estimated that by the end of September 2019, revenue will be higher than the estimate," Ha said.

At the conference, Cao Ngoc Tuan, Director of Quang Ninh Tax Department, said the Tax Department established a steering committee and a working team. In the first phase, the department merged seven tax branches into three regional tax branches.

“Thanks to the effective and transparent propaganda and apparatus arrangement, regional tax branches have operated stably and there is no complaint. The revenue of 2018 of Quang Ninh Tax Department exceeded VND 1,000 billion,” Tuan said.

Striving to complete the revenue collection task 2019

Director General of the General Department of Taxation Cao Anh Tuan said to implement Decision 520 of the Minister of Finance, the General Department of Taxation provided detailed guidelines on the arrangement as well as listened to the aspirations of officials. Before each implementation period, the General Department of Taxation has held meetings with tax departments to share experience of tax departments which have successfully deployed for reference. Besides, training courses were also held for localities which are preparing for the organisation.

“Although there are still many difficulties, especially for units with large geographical areas, the collection management at these units is stable and does not cause obstacles for taxpayers. Due to the reduction of focal points, the arrangement still faces many difficulties, but with the criteria of transparent and clear selection and effective propaganda, the arrangement of working position is consistent with criteria and officers are assured of their work,” Tuan said.

According to Tuan, this arrangement is implemented in a larger scale than the two previous phases with coordination contents, at present date, the General Department of Taxation held training courses in all localities. However, because at the end of the year, the tax sector is focused on key tasks, so tax departments have to comply with the directions of the Minister of Finance and of the leadership of the committee level to coordinate and complete the mergers effectively. The leader of the General Department of Taxation has also required departments that if there are any difficulties, they must immediately report them to the General Department.

Tuan requested some localities implement the arrangement but their State revenue has not reached 50 percent of the estimate, they need to strive to surpass the plan in 2019.

In the coming time, the tax sector will review and propose tax departments to complete projects on setting up regional tax branches for the General Department of Taxation to submit to the Ministry of Finance, ensuring that in the first quarter of 2020, the arrangement will be completed and at least 147 tax branches of districts towns and cities under the tax departments to set up 67 regional tax branches, minimising 80 tax branches.