Vietnam’s name-and-shame corporate tax list enjoys success
Vietnam has found an effective way to crack down on tax laggards as it struggles to fund infrastructure projects and curb rising debt: make the names of the offending businesses public to shame them into paying up.
The Ministry of Finance published a first-ever list of about 600 companies that owe taxes overdue by more than 121 days on its website July 21. Tax authorities vowed to freeze bank accounts of offending companies and deduct past taxes.
“They don’t want to end up like Greece,” said Fred Burke, managing partner of Baker & McKenzie (Vietnam) Ltd. in Ho Chi Minh City.
