For the first time, domestic tax collection hit the VND1 quadrillion (US$43.9 billion) milestone this year, according to statistics of the General Department of Taxation.

The total collection surpassed the target set by the Government by some 5 per cent.

According to Deputy Minister of Finance Do Hoang Anh Tuan, the total State budget collection was estimated to reach some VND1.3 quadrillion, exceeding the target by nearly VND70,000 trillion, or more than 5 per cent.

Tuan said the private economic sector and foreign direct investment sector contribute significantly to the State budget collection. Tax collection from the non-state sector rose by 23 per cent, FDI sector increased by 20 per cent over the previous year and collection of personal income tax went up by 22 per cent.

Besides this, enhanced tax management also helped increase revenue by more than VND17 trillion.

Tuan said the development of businesses and higher-than-target economic growth of 6.81 per cent together with hastened reform of the tax authorities boosted tax collection.

Ha Noi and HCM City both fulfilled the target of tax collection in 2017. Budget collection estimate of Ha Noi in 2018 was VND218.2 trillion and that of HCM City was VND376,78 trillion, rising 10 per cent and 8.3 per cent over 2017, respectively. — VNS