CenLand stock no longer up for margin tradinng due to tax evasion

The HSX suspended the margin trading of CenLand stocks due to tax issues

CenLand closed yesterday's trading session (January 21, 2021) at VND24,800 ($1.08), down 14 per cent compared to the first days of the year.

The Ho Chi Minh City Stock Exchange (HSX) has just announced that CenLand's ticker CRE is not eligible for margin trading due to tax evasion and fraud.

According to the Hanoi Tax Department, after a tax inspection at CenLand, significant arrears were uncovered as a result of undeclared revenues and incorrect tax returns. CenLand also committed several violations including using invalid tax invoices and adding the wrong date and time on tax invoices.

Thereby, the real estate company was fined to VND369 million ($16,040) and was charged VND1.8 billion ($78,260) for value-added tax and corporate income tax (in 2018-2019), and VND605 million ($26,300) for late payment.

In total, CenLand was sent a bill for VND2.75 billion ($119,570), which the Hanoi Tax Department said the company has already paid out in full.

CenLand was established in 2001. With three subsidiaries, the company specialises in real estate including brokerage, research, marketing, and consultancy services.

The financial statement of the company from the fourth quarter of 2020 stated a net revenue of VND2.113 trillion ($91.87 million) for 2020, down 8 per cent on-year, while after-tax profit dropped 23 per cent to VND302 billion ($13.13 million). The total assets of CenLand (at the end of 2020) increased by 45 per cent to VND3.892 trillion ($169.2 million).