Reply voters Tien Giang Province, the Ministry of Finance said that, next time, the Ministry of Finance will continue to implement synchronous measures to limit prevents the abuse of transfer pricing to evade state taxes. One of them is the Government issued a decree on transfer pricing, to reduce losses to the state budget.
Inspect, check 420 enterprises associated transaction activity in 2015, the tax office has arrears, reimbursement and fines 4895.16 billion. Photo: internet.
According to the Ministry of Finance, in order to strictly control the transfer pricing situation, reported losses, profit transfer abroad of venture enterprises, foreign enterprises, the Ministry of Finance has implemented many effective solutions.
Institutionally, the Ministry of Finance issued Circular No. 66/2010 / TT-BTC guiding the determination of the market value of business transactions between affiliated parties; Circular No. 201/2013 / TT-BTC guiding the application of prior agreement on the method of determining the taxable price (APA) in tax administration in order to prevent, curb transfer pricing, but at the same time avoiding corporate income tax has created the initiative for FDI enterprises in the business planning and implementation of tax obligations.
On organization, the Minister of Finance has established 4 Inspection transfer price of 4 Administration of Taxation (HCMC, Hanoi, Dong Nai, Binh Duong) have a large number of joint ventures, domestic enterprises frequently arise beyond the associated transactions and Inspection 1 transfer price of Inspector General Department of Taxation.
Database system in service of the tax administration on transfer pricing has gradually built up a database to serve the inspection of transfer prices for high-risk trades in CIT as yarn production, weaving; apparel; Footwear; drinks,...
The inspection of transfer prices also reached certain results, some companies after inspections transfer price was adjusted down losses and arrears relatively large CIT.
Inspection results, inspection of 420 enterprises associated transaction activity in 2015, the tax office has arrears, reimbursement and fines 4895.16 billion; 3104.11 billion loss reduction; reduced withholding 206.81 billion and adjusted taxable income increased 801.7 billion.
Inspect, examine and determine the market price for transactions associated with arrears result in inspection, testing has created a strong effect, the number of enterprises with foreign investment capital losses decreased declaration markedly.
At this point, the Ministry of Finance will continue to implement synchronous measures to limit prevents the abuse of transfer pricing to evade state taxes.
In the immediate future, the Finance Ministry will prepare and submit to the Government issued a decree on transfer pricing, to reduce losses to the state budget as directed by the Government in Resolution No. 19-2016 / NQ-CP on the task , key measures to improve the business environment, enhance national competitiveness.
Along with that, the whole sector will focus on training the knowledge, capacity building for civil servants in charge of tax administration for transfer pricing management skills transfer prices, technical inspection transfer price , equipped with industry knowledge economy, improve computer skills and foreign languages.
The construction and finishing database system margins of independent firms in each high-risk trades on the transfer price will also be deployed to create a more positive general basis for the classification risk management in service tax on transfer pricing.
Besides stepping up inspection, test for transfer pricing, the immediate focus of inspection, checking transfer prices for corporate members and more enterprises; the business has operated for several years have not been inspected test, are enjoying tax privileges .., companies have been implementing restructuring is capable of taking advantage of transfer pricing to avoid tax.
Particularly the exchange of information will be strengthened, not only between tax agencies and organizations serving overseas risk analysis and inspection transfer price; negotiations with foreign tax authorities concerned; but also with the industry to determine the value of machinery, equipment and materials at the import stage, prevent higher now declared import price with the aim of increasing input costs, reduced profits, causing losses State budget.