Tax Case Study in Vietnam

She has won the second prize In the competition ” Creative day for Vietnam” supported by World Bank with the project “creating job for the blind”. With the money given by the competition she opened her first shop “Van Thou” in An Aging. Then she opened the second shop in Can Thou at Mongo Duck Eke Street. The problem is that when opening the second shop, she is asked to pay the excise tax (massage business is one of the taxable objects).

However, she Is not asked to do that at An Aging and even be exempt from eying any tax except the license tax because of the characteristic of her business (business for society, specifically the blind).

So, does the action of taxing on her business -a business for the blind-against or according to the law? Solution: Actually, massage business is the taxable object according Chapter l, Article 2. 2.

However according to article 22 of Ordinance On Disabled Persons published in 1 998: “Production and business establishment reserved for disabled persons shall be exempted from tax and can borrow capital at low Interest rate proportionally with the reject of production and business development, are considered for capital loans or financial support from the Fund reserved for disabled persons, are eligible for assignment or rent of land by the locality at a place convenient for their production and business activities. (http://moos. Gob.

Van/VBG/Lists/Van banhpH/20therefore, the action of taxing Mrs ThMrs. Thrustess is against the law. CASE 2 Four helicopters are Imported Into Vietnam. Do these four helicopter be taxed (excise tax) given that they are gift from Green Planet to Northern Aviation Club which elongslongslitary Aviation Air force? These four helicopters are disposable and controlled by Department of Control. Extracted from NguoilInaugurationaper) Solution: The department of Defense has sent document to the government to ask for the tax exempt for their four helicopters Is The objects (helicopters) In this case are exempt from tax according to Chapter l, Article 3. 2: “Goods as humanitarian ald orladn-refundable aid: gifts for state agencies, polltlpoliticalizations, socio-political organizations, socio-political-professional organizations, social organizations, socio- rofessrepressionsizations or people’s armed forces units; and donations or gifts for individuals in Vietnam within the quotas prescribed by the Government”.

Because these helicopters are under control of the armed forces units and they are also gifts from the other organization to an Individual In Vietnam (the Northern Aviation Clubb Clubshould not be taxed. CASE 3 Calculate the excise tax amount that Company A has to pay for a period, given the following information.