On the afternoon of November 27, the National Assembly discussed in the hall the draft Law on Special Consumption Tax (amended).
Delegate Ha Sy Dong (Quang Tri Delegation) said that air conditioners have been subject to Special Consumption Tax since 1998 at a rate of 20%, and were reduced to 10% in 2008. According to the delegate, in the past, air conditioners could be considered a luxury, but now, with the development of society, air conditioners have become an essential need in work and life.
“Vietnam is probably the only country in the world that imposes a special consumption tax on air conditioners,” said the delegate.
The Quang Tri delegation said that other countries control air conditioners in two ways: Controlling refrigerant solvents and energy efficiency. Currently, Vietnam has regulations to control refrigerant solvents in the direction of reducing import quotas of refrigerants that have negative impacts on the ozone layer and the greenhouse effect.
According to businesses, import quotas have decreased, and the cost of purchasing refrigerants has increased continuously in recent years (an average increase of about 15-20% per year). Vietnam also has regulations on energy efficiency for air conditioning, increasingly moving towards increasing minimum energy efficiency.
“Therefore, the Special Consumption Tax on air conditioners is no longer necessary and should be abolished,” the delegate concluded.
Regarding gasoline, the delegate said that many countries tax gasoline, usually countries tax Special Consumption Tax or Environmental Protection Tax on gasoline, "but I have not found any country that taxes Special Consumption Tax and Environmental Protection Tax", the delegate said. Currently, gasoline is subject to two types of taxes with the same nature of restricting consumption: Special Consumption Tax and Environmental Protection Tax.
Delegates proposed to study the removal of the Special Consumption Tax on gasoline; if necessary, adjust the Environmental Protection Tax to match the objectives of this tax.
Delegate Truong Trong Nghia (Ho Chi Minh City Delegation) also opposed the inclusion of air conditioners in the Special Consumption Tax because the air conditioners are not at fault.
"Air conditioning helps people have better living conditions. It is better to instruct them on how to use air conditioning, when to use it and how to use it, rather than imposing special consumption tax," said the delegate.
