Haven’t collected money from 2 winning businesses in Thu Thiem land auction

The Tax Department of Ho Chi Minh City said that as of May 17, that is, 10 days after the Thu Duc Tax Department issued a decision to enforce tax by deducting money from the account, freezing the account with 2 companies. The company won the land auction for Thu Thiem Urban Area (Dream Republic Joint Stock Company and Sheen Mega Joint Stock Company), the tax authority has not yet collected the money.

The reason is that both the bank accounts of these two businesses have no money.

The city tax authority said that after the account enforcement measure, it will implement other enforcement measures such as withholding part of wages or income; stop using invoices; asset distraint, auction; collect money and other properties of taxpayers held by other agencies, organizations and individuals…

In case the enterprise has not yet paid in full, the Tax Department of Ho Chi Minh City will apply coercive measures to revoke the certificate of business registration; investment registration certificate; establishment and operation license; license.

Previously, on May 6, due to the 90-day deadline, but both Dream Republic and Sheen Mega companies had not paid as prescribed, the Tax Authority of Ho Chi Minh City took a coercive measure to enforce the executive decision. Tax policy for these two companies by deducting money from accounts, freezing bank accounts.

Specifically, the Tax Department of Thu Duc City decided to coerce 1,794 billion VND taxes with Dream Republic Company and 1,796 billion VND with the Sheen Mega Company.

Mr. Thai Minh Giao, Deputy Director of the Tax Department of Ho Chi Minh City, said that in case the balance in the deposit accounts of the two companies is less than the coercive amount, the tax authorities still deduct and transfer that amount to the budget. The deduction will not need the consent of the subject of tax enforcement, while other transactions of these two companies will still take place normally.

Of the four businesses that won the land auction for Thu Thiem Urban Area in December 2021, Dream Republic and Sheen Mega are the two remaining businesses that have not yet applied for a deposit.

In which, Dream Republic Company won the auction of land lot 3-5, area 6,446m2 with the price of 3,820 billion VNDand Sheen Mega Company won the auction of plots 3-8, area 8,568m2 with the price 4,000 billion VND.

On January 6, the Tax Department of Ho Chi Minh City announced that the winning businesses of Thu Thiem land must pay the registration fee and 50% of the land use fee within 30 days from the date of notification. The remaining land use levy must be paid within 90 days at the latest, ie until April 6.

By April 7, these two companies had made a written request to pay the money in six installments, from April to September. However, the tax agency then said the reasons why these two businesses had raised. to postpone tax payment not in the case of being extended as prescribed.

Dream Republic and Sheen Mega then commit to paying in advance 100 billion VND into the budget by April 30. However, up to now, the tax authorities have not collected money from these two businesses.

According to the regulations, these two businesses will be charged a fine for late payment of the first installment from February 6 and from April 7 will be charged an additional penalty for late payment of the second installment. In which, the penalty for late payment is 0. 03%/day. With an amount of approx 8,000 billion VNDthe total amount of fines for late payment of the above 2 enterprises is about 70 billion VND.

If the time limit is over 180 days (until July 6), if these two businesses have not yet paid, the deposit will be forfeited according to the contract signed with the People’s Committee of Ho Chi Minh City.