The special consumption tax is intended for luxury goods and items discouraged for consumption. — VNA/VNS
HANOI: The special consumption tax should be lifted for petrol and air conditioners since they are not luxury products, according to some National Assembly (NA) deputies.
Regarding the revision of the draft amended Law on Special Consumption Tax, Le Thi Nga, permanent deputy chair of the NA’s Committee for Judicial Affairs, said that the tax is intended for luxury goods and items discouraged for consumption. However, in Vietnam, petrol is an essential commodity.
“Imposing a special consumption tax on an essential product of the people is not in line with the tax’s purpose,” she said.
Commenting on the draft, Nga pointed out that it doesn’t provide any explanation that can justify the need to continue imposing a special consumption tax on petrol.
The drafting agency needs to review this point, otherwise the tax should be abolished for this product, she said.
Nga held the same opinion for air conditioners. They were considered “luxury items” 10 years ago, but now they are not, she said.
“We propose abolishing the special consumption tax for petrol and air conditioners with normal capacity,” Nga said.
“If the tax is not abolished, then there needs to be a clear explanation as to why such essential goods are included in the list of items subject to this tax,” she added.
Hoang Thanh Tung, chair of the NA’s Committee on Legal Affairs, had the same opinion.
“Petrol is an essential product and a key product of the economy that is used by everyone,” Tung said. — Viet Nam News/ANN
