Decree No. 52 helps businesses overcome difficulties

​Timely support policies

According to the announcement of the Vietnam Chamber of Commerce and Industry (VCCI), the Government's support policies in the past time have had a positive impact on businesses, especially the policy of tax extension, postponement, and land rent has been more easily to access compared to other policies such as loans, zero interest rates, insurance, etc. Decree No. 51 with its policy of extension, tax deferral, and land rent also has a beneficial impact on business activities of enterprises, helping enterprises to manage and balance their finances during the period of suspension or reduction in production and business productivity due to the impact of the epidemic.

The 4th outbreak of Covid-19 has been around for nearly 3 months with complicated developments that have seriously affected the socio-economic situation. More serious when the disease spreads to businesses, working residential areas, or places with high risk of infection with thousands and tens of thousands of people working and communicating. Many businesses have had to temporarily suspend operations because there have been cases of infection, cases of contact with patients to ensure epidemic prevention. Operating enterprises must strengthen measures, build control and disinfection systems, and change production methods to ensure maintenance of operations and disease prevention. All these changes affect the productivity, revenue, and finance of enterprises. Therefore, as soon as Decree No. 52 has just been issued, many businesses have actively registered to benefit from the policy.

Timely remove difficulties for businesses

Be an enterprise operating in the field of tourism, since the Covid-19 epidemic appeared in early 2020, Suoi Mo Tourism Investment Co., Ltd (Suoi Mo Tourist Area, Tan Phu District) had to struggle with the regular expenses, while at many times, the revenue of enterprises is only zero VND. This is also the general situation of the tourism industry, the economic sector that is the first affected, causing many people to become unemployed and switch jobs to earn the living. Mr. Pham Chau An, Deputy General Director of Suoi Mo Tourism Company, said that although the resort has to temporarily close, it still has to take care of and maintain the landscape to maintain it until the opening day. In order to reduce financial restraints, his company registered a policy of reducing taxes and land rent from Decree No. 41 to Decree No. 52. According to Mr. An, those Decrees have helped businesses promptly reduce difficulties. However, with current complications, especially for the tourism sector, it is unlikely to recover by the end of this year while Decree No. 52 is only extended until the end of 2021. With the difficulties of the industry, Mr. An hopes the province has its own policies to support tourism businesses to extend the time to pay taxes.

Mr. Phan Hoang An, CEO of NFC Food Company Limited (Nhon Trach Industrial Zone 1) said that during the 2020 epidemic, although the Government had Decree No. 41 to support businesses, Mr. An thought that the company could be able to overcome difficulties and ensure the tax payment time as prescribed, so he did not participate in the benefits of the policy from Decree No. 41. However, this outbreak of the disease with a more dangerous level had affected a lot to enterprises. The NFC company must build a disinfection system, check body temperature as well as adjust working and resting time to limit crowding and reduce the risk of the disease spreading. NFC company has maintained its operation so far, however, labor productivity has decreased, raw material supply has been more difficult to access while having to increase funding for epidemic prevention, so Mr. An has actively registered to benefit from the preferential policies under Decree No. 52. Mr. An shared, with the policy of extending the payable taxes under Decree No. 52, his business will reduce the financial burden during the current epidemic prevention period. Along with tax support policies, Mr. An wants businesses to soon buy vaccines to vaccinate their employees as soon as possible.

Dong Nai Tax Department said that in 2020, the tax authority has extended the extension for 2,394 cases where taxpayers are businesses, organizations and households according to Decree No. 41 of the Government. In which, the extended amount is VND852 billion (including VAT, CIT, VAT and PIT of business households and land rent). By the end of 2020, the tax authority has taken measures to urge and recover 96% of the tax and land rent that has been extended into the state budget. Currently, the tax sector is gathering a list of units registered to receive preferential policies under Decree No. 52 to continue supporting taxpayers in 2021.

                                                                                                Phan Anh​