Vietnam - Tax authorities to ramp up tax and transfer pricing audits

Tax Insights ()

The General Department of Taxation of Vietnam ("GDT") in its half yearly 2011 report has indicated that reported tax revenue losses has decreased by USD107 million (VND2.3 trillion) as a result of its recent audits on 107 Foreign Invested enterprises (FIEs).

The GDT has instructed provincial tax offices to conduct tax audits on 870 FIES which reported consecutive losses for financial years 2008 to 2010 and companies that report very low profitability. In addition, GDT will also carry out inspection on 40 FIEs and 82 other local conglomerates based on a list furnished by the Ministry of Finance.