Vietnam could get rid of its most large tax incentives without harming its growth or competitiveness, said an Oxfam expert.

The declining trend in revenue collection is a source of concern as it has serious consequences for the fiscal policy conducted by the government, especially on its investment program.

The figure is more than double the estimated losses from the municipal tax authority in its extreme scenario at VND16.6 trillion (US$712 million) where the pandemic lingers to the fourth quarter.

In this year's state budget plan, revenue from crude oil is predicted at VND35.2 trillion (US$1.5 billion), accounting for 2.3% of the total.

Multinational companies have more favorable conditions in exercising tax avoidance, and to a larger extend, tax evasion, compared to their peers in the state and private sectors.