A customer chooses Sabeco beer in a supermarket. Sabeco’s market capitalisation has been evaporated more than 14 trillion VND (606.7 million USD) after its shares lost over 8 percent in the last two days. (Photo: enternews.vn) Hanoi (VNS/VNA) - Prime Minister Nguyen Xuan Phuc has asked the TaxDepartment of Ho Chi Minh City to hold back on enforcing a tax decision oncollecting 3.14 trillion VND (some 136.1 million USD) from Sai GonBeer-Alcohol-Beverage Corporation (Sabeco) for violations on special sales tax.
Thisrequest was made in an express document of the Government Office signed byMinister-Chairman Mai Tien Dung on January 2.
“ThePrime Minister is directing ministries and agencies to review the petition ofthe State Audit Office and the Government Inspectorate regarding the tax penalty for Sabeco. The PrimeMinister ordered the Ministry of Finance and the HCM City People’s Committee toask the municipal Tax Department not to compel Sabeco to pay this payment,” thedocument said.
Accordingto the minister, tax enforcement on Sabeco involves foreign investment factorso the Prime Minister is very cautious, and during the time of considering thisissue, there is no tax enforcement for the company.
“Ifhandled quickly, it can affect the general investment environment of thecountry,” he told the media.
OnDecember 28, Sabeco sent a document to the Prime Minister to call for helpafter receiving five decisions of the HCM City Tax Deparment to compel thecompany to pay the tax fines by taking money from the Sabeco’s bank accounts.
Sabecohas been requested to pay a total 3.14 trillion VND for its monetary penaltiesand overdue payment for administrative violations on special sales tax duringthe 2007-2015 period.
Accordingto the company, without the Prime Minister’s conclusion and a validadministrative decision, such an enforcement action contradicts the law.
Dungsaid after the Government Office collected the opinions of relevant ministriesand agencies, the Prime Minister would preside over the meeting for advisorybodies to make proposal to deal with this case.
Themarket reacted negatively to this dispute.
Sabeco’scapitalisation has been evaporated by more than 14 trillion VND (606.7 millionUSD) in the last two days after its shares, coded SAB on the Ho Chi Minh StockExchange, plunged by more than 8 percent from 267,500 VND per share by the endof 2018 to 245,500 VND on January 3.
VietnamBeverage Co Ltd, a business related to ThaiBev’s billionaire Charoen Sirivadhanabhakdi,lost about 7.5 trillion VND (325 million USD) as it owns more than 343 millionshares, equivalent to 53.59 percent of Sabeco’s capital.
EndingSeptember 2018, Sabeco reported net revenues of 25.54 trillion VND (1.1 billionUSD), up 8 percent year-on-year, of which beer sales accounted for 85 percentof total revenues. However, its net profit declined 6 percent to 3.3 trillionVND (143 million USD).
Sabeco’stotal assets increased by 4 percent to more than 23 trillion VND (996.7 millionUSD).-VNS/VNA
Thisrequest was made in an express document of the Government Office signed byMinister-Chairman Mai Tien Dung on January 2.
“ThePrime Minister is directing ministries and agencies to review the petition ofthe State Audit Office and the Government Inspectorate regarding the tax penalty for Sabeco. The PrimeMinister ordered the Ministry of Finance and the HCM City People’s Committee toask the municipal Tax Department not to compel Sabeco to pay this payment,” thedocument said.
Accordingto the minister, tax enforcement on Sabeco involves foreign investment factorso the Prime Minister is very cautious, and during the time of considering thisissue, there is no tax enforcement for the company.
“Ifhandled quickly, it can affect the general investment environment of thecountry,” he told the media.
OnDecember 28, Sabeco sent a document to the Prime Minister to call for helpafter receiving five decisions of the HCM City Tax Deparment to compel thecompany to pay the tax fines by taking money from the Sabeco’s bank accounts.
Sabecohas been requested to pay a total 3.14 trillion VND for its monetary penaltiesand overdue payment for administrative violations on special sales tax duringthe 2007-2015 period.
Accordingto the company, without the Prime Minister’s conclusion and a validadministrative decision, such an enforcement action contradicts the law.
Dungsaid after the Government Office collected the opinions of relevant ministriesand agencies, the Prime Minister would preside over the meeting for advisorybodies to make proposal to deal with this case.
Themarket reacted negatively to this dispute.
Sabeco’scapitalisation has been evaporated by more than 14 trillion VND (606.7 millionUSD) in the last two days after its shares, coded SAB on the Ho Chi Minh StockExchange, plunged by more than 8 percent from 267,500 VND per share by the endof 2018 to 245,500 VND on January 3.
VietnamBeverage Co Ltd, a business related to ThaiBev’s billionaire Charoen Sirivadhanabhakdi,lost about 7.5 trillion VND (325 million USD) as it owns more than 343 millionshares, equivalent to 53.59 percent of Sabeco’s capital.
EndingSeptember 2018, Sabeco reported net revenues of 25.54 trillion VND (1.1 billionUSD), up 8 percent year-on-year, of which beer sales accounted for 85 percentof total revenues. However, its net profit declined 6 percent to 3.3 trillionVND (143 million USD).
Sabeco’stotal assets increased by 4 percent to more than 23 trillion VND (996.7 millionUSD).-VNS/VNA
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