Banks dominated the list of biggest tax payers on Vietnam’s bourses in 2021, while the champion is Vingroup, the country’s largest listed company by market cap.
Vingroup’s consolidated after-tax loss mounted to VND7.52 trillion (nearly $330 million) last year, but the conglomerate’s corporate income tax (CIT) payment ranked first at nearly $434 million, down 3.7 percent year-on-year.
Most of Vingroup’s tax payment came from its subsidiary Vinhomes - the most profitable business among listed firms last year. The number 1 real estate developer in Vietnam gained after-tax profit of $1.72 billion and paid $393 million in CIT, up 2.1%.
Next to Vinhomes are banks, with Vietcombank leading the pack ($239 million), followed by Techcombank ($212 million), Vietinbank ($148 million), MBBank ($145 million), VPBank ($128 million), BIDV ($119 million), ACB ($105 million), HDBank ($71 million) and VIB ($70 million).
While the net profit of leading steel-maker Hoa Phat also topped $1 billion, its CIT payment in 2021 was only $125 million, 68 percent less than Vinhomes, given the tax incentives it has enjoyed for many years.
In 2020, the CIT incentive for Hoa Phat’s member companies was up to $53.5 million, a 3.3-fold rise against 2019.
Though the after-tax profit of Vinamilk, Vietnam’s leading dairy company, decreased 5.4% to $466 millionin 2021, its CIT payment increased slightly by 0.4% to $102 million.
Two companies having a significant reduction in CIT payment against 2020 are Sabeco and Vietnam Rubber Industry Group, with a decrease of 15.1% and 20.9%, respectively.
The after-tax profit of Sabeco, Vietnam’s biggest brewer, declined 20.4 percent year-on-year to $172 million.
Vietnam Rubber Industry Group, the country’s top rubber maker, achieved an after-tax profit of $245 million, up 10% compared to 2020 and 23% higher than its year plan.