Protecting decent and transparent businesses

Đặng Chung |

An honest business environment does not accept fraud, but protects decent and transparent businesses.

During the dinner of Mr. Nguyen Huu An's family (Hanoi), the story revolved around information that a multinational business operating in Vietnam was taxed by functional agencies for detecting incorrect declaration and transfer pricing. Hearing adults discuss, Mr. An's 13-year-old son suddenly said: "Then I will not use their products anymore. They make money in Vietnam but refuse to pay taxes.

The instinctive reaction of a child who has never studied tax policy or corporate financial management suggests something to ponder. That is a very clear sense of fairness and responsibility.

In that simple thought, exploiting the market and making profits must have the obligation to contribute back to society. That is the core of the spirit of integrity that any healthy business environment needs to be built.

In fact, most businesses operating in Vietnam have been and are making efforts to comply with the law, fully fulfill tax obligations, considering it a social responsibility and a foundation for sustainable development.

Because taxes are not only a mandatory payment, but a resource for the State to invest in infrastructure, education, health, and social security - factors that businesses and workers directly enjoy.

However, what is alarming is that besides transparent businesses, there are still many cases of trying to circumvent regulations to evade taxes, avoid taxes, and even evade taxes.

Recent statistics show a paradox that is hard to ignore: More than 56% of businesses report consecutive losses over many years, while many of them still maintain stable operations, even expand production and business, and increase their presence in the market. That is, they are "losing in books but still growing out of reality".

Tax evasion behavior today is no longer rudimentary, but is often hidden under complex financial structures and transactions such as transfer pricing, internal trading, service fees, copyright fees or interest rates between related parties. If not effectively identified and controlled, these behaviors will not only cause budget revenue loss, but also distort the competitive and unfair environment for legitimate businesses.

In the context of Vietnam's efforts to attract resources for development, the role of the business community is extremely important. The Party and State consistently advocate creating all favorable conditions for business development, from incentives on taxes, land, credit to administrative procedure reform. But support does not mean tolerance. The stronger investment attraction, the more the requirement for compliance with the law, information transparency and corporate social responsibility must be prioritized.

Building a transparent business environment has therefore become a mandatory requirement.

To do this, first of all, it is necessary to strengthen propaganda so that businesses understand clearly that compliance with tax obligations is not about "losing", but about investing in long-term stability. When awareness is correct, compliance will be self-conscious.

Next is to support businesses to comply with regulations, especially in the context of increasingly complex policies. In parallel, remind and warn early of violation risks.

And finally, for cases of deliberately avoiding, strict inspection and handling are necessary to maintain discipline, contributing to building a clean business environment, for the sustainable development of the business community itself.

Đặng Chung
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