Illustrative image (Source: VNA)
In the month, Vietnam saw 8,233 new enterprises established, with a total registered capital of VND108.6 trillion (US$4.77 billion) and 58,800 laborers, up 111.2 percent in quantity, 73.9 percent in capital, and 17.9 percent in the number of employees compared to those of September.
However, the figures were still down 32.5 percent in quantity, 34.4 percent in capital, and 18.8 percent in the number of laborers compared to those of the same period last year.
In October, 3,492 firms suspended operations, up 55.9 percent month-on-month; 3,048 stopped operation pending completing dissolution procedures, up 21.5 percent; and 806 units completed dissolution procedures, up 33 percent.
In the first ten months of 2021, 93,700 new companies were set up, with a combined capital of nearly 1.3 quadrillion VND and 707,700 employees, down 15.7 percent in the number of firms, 18.2 percent in capital and 16.8 percent in the number of laborers year-on-year.
In the period, 35,300 firms resumed operations, down 6.3 percent year-on-year. Meanwhile, 48,500 companies temporarily ceased operation for fixed period; 35,000 others stopped operation awaiting to complete dissolution procedures; and 13,600 firms dissolved, up 16 percent, 15.7 percent and 0.8 percent year-on-year, respectively.
To help businesses overcome difficulties, the Government issued Decree No. 92/2021/ND-CP dated October 27 detailing the implementation of Resolution No. 406/NQ-UBTVQH15 of the National Assembly Standing Committee on solutions to support businesses and people affected by the Covid-19 pandemic.
The decree outlines four groups of tax exemption and reduction measures, including reducing corporate income tax payable in 2021 for businesses , organizations with a revenue of no more than VND200 billion and a decrease in revenue in 2021 compared to 2019; tax exemption (personal income tax, value-added tax and other taxes) in the third and fourth quarters of 2021 for business households and individuals that have production and business activities in district-level localities affected by the pandemic in 2021; reductions in value-added tax rates for groups of goods and services in various industries; and exempting late payment interest arising in the 2020 and 2021 for businesses and organizations that saw losses in 2020.
