Chapter III TAX DECLARATION, TAX CALCULATION

1. Taxpayers shall accurately, honestly and fully fill in their tax returns set by the Ministry of Finance, and submit all required vouchers and documents in tax declaration dossiers to tax administration agencies.

2. Taxpayers shall calculate by themselves payable tax amounts, except when the tax calculation is conducted by tax administration agencies according to the Government’s regulations.

Article 31.- Tax declaration dossiers

1. For taxes which are declared and paid on a monthly basis, a tax declaration dossier comprises:

a/ Monthly tax return;

b/ List of invoices for goods and services sold;

c/ List of invoices for goods and services purchased;

d/ Other documents related to the payable tax amount.

2. For taxes calculated on an annual basis, a tax declaration dossier comprises:

a/ Annual tax declaration documents, including the annual tax return and other documents relevant to the determination of the payable tax amount;

b/ Quarterly declaration documents for the temporarily calculated tax amount, including the temporarily calculated tax return and other documents relevant to the determination of the temporarily calculated tax amount;

c/ Year-end tax finalization declaration documents, including the tax return for annual finalization, the annual financial statement and other documents relevant to tax finalization.

3. For taxes which are declared and paid for each time of arising of tax liability, a tax declaration dossier comprises:

a/ Tax return;

b/ Invoices, contracts and other vouchers relevant to the tax liability according to the provisions of law.

4. For imported goods and exported goods, customs dossiers may be used as tax declaration dossiers.

5. For the case of termination of operation, termination of contract, transformation of corporate ownership or corporate reorganization, a tax declaration dossier comprises:

a/ Declaration for tax finalization;

b/ Financial statement as of the time of termination of operation or contract, transformation of corporate ownership or corporate reorganization;

c/ Other documents relevant to tax finalization.

6. The Government shall stipulate taxes subject to monthly or annual declaration, declaration for quarterly temporary calculation or declaration for each time of arising of tax liability, declaration for tax finalization, and tax declaration dossiers for each particular case.

Article 32.- Deadlines and places for submission of tax declaration dossiers   

1. For taxes which are declared and paid on a monthly basis, the deadline for submitting tax declaration dossiers is the twentieth day of the month following the month in which the tax liability arises.

2. For taxes with annual taxation periods:

a/ For annual tax declaration dossiers, the submission deadline is the thirtieth day of the first month of the calendar year or the fiscal year;

b/ For quarterly declaration dossiers for temporarily calculated taxes, the submission deadline is the thirtieth day of the quarter following the quarter in which the tax liability arises;

c/ For annual tax finalization dossiers, the submission deadline is the ninetieth day from the end of the calendar year or the fiscal year.

3. For taxes which are declared and paid for each time of arising of tax liability, the deadline for submitting tax declaration dossiers is the tenth day from the date the tax liability arises.

4. For imported goods and exported goods, the deadline for submitting tax declaration dossiers is that for submitting customs declarations:

a/ For imported goods, tax declaration dossiers shall be submitted before the goods arrive at the border gate or within thirty days after the goods arrive at the border gate. Customs declarations are valid for carrying out tax procedures within fifteen days from the date of registration;

b/ For exported goods, tax declaration dossiers shall be submitted at least eight hours before the means of transport leave the country. Customs declarations are valid for  carrying out tax procedures within fifteen days from the date of registration;

c/ For dutiable accompanying luggage of persons on entry or exit, customs declarations shall be submitted upon the arrival of means of transport at the border gate, or before carriers complete the procedures for embarkation of passengers onto means of transport on exit. Luggage sent before or after the trips of persons on entry is subject to  the provisions of Point a of this Clause.

5. For the termination of operation or contracts, transformation of corporate ownership or corporate reorganization, the deadline for submitting tax declaration dossiers is the forty fifth day from the date of termination of operation or contracts, transformation of corporate ownership or corporate reorganization.

6. The Government shall specify places for submission of tax declaration dossiers for each particular case.

Article 33.- Prolongation of time limit for submitting tax declaration dossiers        

1. Taxpayers who are unable to submit their tax declaration dossiers on time due to natural disasters, fires or accidents will enjoy a prolongation of the time limit for submission of tax declaration dossiers given by heads of tax agencies directly managing them.

2. The prolongation does not exceed thirty days for the submission of dossiers of monthly or annual tax declaration, temporarily calculated tax declaration or tax declaration for each time of arising of tax liability; or sixty days for the submission of dossiers of declaration for tax finalization, from the original deadline for submission of tax declaration dossiers.

3. Taxpayers shall send written requests for prolongation of the time limit for submission of tax declaration dossiers to tax agencies before the submission deadline, clearly stating the reasons for the prolongation requests certified by People’s Committees or police offices of communes, wards or townships where the events specified in Clause 1 of this Article occurred.

4. Within five working days after receiving written requests for prolongation of the time limit for submission of tax declaration dossiers, tax agencies shall reply in writing to taxpayers on whether they approve the prolongation.

Article 34.- Making additional declarations in tax declaration dossiers   

1. Before tax agencies announce tax examination or tax inspection decisions at offices of taxpayers, if taxpayers detect errors in the submitted tax declaration dossiers which affect their payable tax amounts, they may make additional declarations in their tax declaration dossiers.

2. For imported goods and exported goods, additional declaration in tax declaration dossiers may be made in the following cases:

a/ Before customs offices inspect goods or decide to waive this inspection, persons who made customs declarations detect errors in the submitted tax declaration dossiers;

b/ Taxpayers detect by themselves errors which affect their payable tax amounts within sixty days after they register customs declarations but before customs offices conduct tax examination or tax inspection at the offices of taxpayers.

Article 35.- Responsibilities of tax administration agencies and tax administration officers in receiving tax declaration dossiers

1. If tax declaration dossiers are submitted directly at tax agencies, tax officers shall receive and affix the seal of receipt of the dossiers, indicating the time of receipt and the number of documents included in the dossiers.

If tax declaration dossiers for imported goods or exported goods are submitted directly at customs agencies, customs officers shall receive, check and register those dossiers; if refusing to register dossiers, customs officers shall promptly notify taxpayers of reasons for refusal.

2. If tax declaration dossiers are sent by mail, tax officers shall affix the seal showing the date of receipt of the dossiers and record the receipt of the dossiers in the incoming mail books of tax agencies.

3. If tax declaration dossiers are electronically submitted, the receipt, checking and acceptance thereof shall be conducted by tax administration agencies through electronic data processing systems.

4. If tax declaration dossiers are incomplete according to regulations, tax agencies shall, within three working days after receiving those dossiers, notify in writing to taxpayers for completion thereof.

1. Tax assessment shall be made in an objective and fair manner and in compliance with tax law.

2. Tax administration agencies shall determine payable tax amounts or each factor related to the determination of payable tax amounts.

Article 37.- Tax assessment for taxpayers that pay taxes by the declaration method in case of violation of tax law

1. Taxpayers that pay taxes by the declaration method are subject to tax assessment in the following cases:

a/ They fail to make tax registration;

b/ They fail to submit their tax declaration dossiers; or  submit their dossiers ten days after the deadline for submission of tax declaration dossiers or the date of expiration of the prolonged time limit for submission of tax declaration dossiers;

c/ They fail to make tax declaration, or fail to submit additional tax dossiers upon request of tax agencies, or they declare tax bases inaccurately, dishonestly and inadequately;

d/ They fail to record or inadequately, untruthfully and inaccurately record figures in accounting books for determining the tax liability;

e/ They fail to produce accounting books, invoices, vouchers and other necessary documents related to the determination of payable tax amounts within the set time limit;

f/ They purchase, sell, exchange, and account values of, goods or services not in accordance with common transaction values in the market;

g/ There are signs that they flee away or disperse their assets in order to shirk their tax liability.

2. Bases for tax assessment include:

a/ Databases of tax agencies;

b/ Payable tax amounts of business establishments dealing in the same goods item, business line, profession, or of the same business scale, for comparison purposes;

c/ Valid documents and conclusions of examination or inspection.

3. Tax assessment for imported goods and exported goods is defined in Article 39 of this Law.

1. Tax agencies shall assess tax amounts by the tax presumption method (hereinafter referred to as presumptive tax amounts) for the following cases:

a/ Business households and individuals that fail to implement or inadequately implement the accounting, invoice and voucher regulations;

b/ Business households and individuals without business registrations and tax registrations.

2. Tax agencies shall determine presumptive tax amounts on the basis of written declarations of business households and individuals, databases of tax agencies and opinions of tax consulting councils of communes, wards or townships.

3. Presumptive tax amounts are calculated according to the calendar year and shall be publicized in communes, wards or townships. In case of change of their business lines, sectors or business scale, taxpayers shall declare such change to tax agencies for adjustment of presumptive tax amounts.

4. The Ministry of Finance shall guide in detail the determination of presumptive tax amounts for business households and individuals.

Article 39.- Tax assessment for imported goods and exported goods            

1. Customs offices shall assess taxes on imported goods and exported goods in the following cases:

a/ Taxpayers use unlawful documents to declare tax bases, calculate and declare their payable tax amounts; fail to declare or declare inadequately and inaccurately tax bases to serve the tax calculation;

b/ Taxpayers refuse, delay or prolong beyond the set time limit the supply of relevant documents to customs offices for the accurate calculation of payable tax amounts;

c/ Customs offices have sufficient evidence that the declared values are not true to the actual transaction values;

d/ Taxpayers are unable to calculate by themselves their payable tax amounts.

2. Customs offices shall determine payable tax amounts on the basis of the actual state of imported goods or exported goods; tax bases and methods; and other relevant documents and information.

Article 40.- Responsibility of tax administration agencies in tax assessment

1. Tax administration agencies shall notify in writing taxpayers of reasons for tax assessment, bases for tax assessment, assessed tax amounts and the time limit for tax payment.

2. If tax amounts assessed by tax administration agencies are larger than payable tax amounts, tax administration agencies shall refund overpaid tax amounts and pay damages under complaint settlement decisions of competent state agencies or court judgments or rulings.

Article 41.- Responsibility of taxpayers to pay assessed tax amounts 

Taxpayers shall pay the assessed tax amounts according to notices of tax administration agencies. If disagreeing with tax amounts assessed by tax administration agencies, taxpayers shall pay those tax amounts but can request tax administration agencies to explain or lodge complaints or initiate lawsuits about the tax assessment.

1. If taxpayers conduct tax calculation, the deadline for tax payment is the last day of the time limit for submission of tax declaration dossiers.

2. If tax administration agencies conduct tax calculation or tax assessment, the time limit for tax payment is stated in notices of tax administration agencies.

3. The time limit for tax payment for imported goods and exported goods is as follows:

a/ Thirty days from the date of registration of customs declarations, for exported goods;

b/ For imported consumer goods, taxes shall be fully paid before receipt of the goods; in case payable tax amounts are guaranteed the time limit for tax payment is thirty days from the date of registration of customs declarations;

c/ For imported supplies and raw materials for manufacture of goods for export, the time limit is two hundred and seventy five days from the date of registration of customs declarations; in special cases, the time limit for tax payment may be longer than two hundred and seventy five days so as to suit the enterprises’ cycle of production and stockpiling of supplies and raw materials according to the Government’s regulations;

d/ For goods traded by mode of temporary import for re-export or temporary export for re-import, the time limit is fifteen days from the expiration of the time limit for temporary import for re-export or temporary export for re-import;

e/ For other goods, the time limit is thirty days from the date of registration of customs declarations;

f/ If imported goods or exported goods are temporarily seized pending the handling by customs offices or competent state agencies, the time limit for tax payment specified at Points a, b, c, d and e of this Clause shall be counted from the date of issuance of handling decisions.

4. To enjoy the time limit for tax payment specified at Points c, d and e, Clause 3 of this Article, taxpayers must satisfy either of the following two conditions:

a/ Having conducted import or export activities for at least three hundred and sixty five days up to the date of registration of customs declarations without committing acts of trade fraud, tax evasion, owing overdue tax or fines, and having strictly observed the financial statement regulations in accordance with law;

b/ Having their tax payment obligation guaranteed by credit institutions or other organizations operating under the Law on Credit Institutions.

If failing to satisfy either of the above conditions, taxpayers shall pay taxes before receiving goods.

5. If taxpayers are provided guarantees for payable tax amounts by credit institutions or other organizations operating under the Law on Credit Institutions, the time limit for tax payment is the guarantee duration which must not exceed the tax payment time limit specified in Clauses 1, 2 and 3 of this Article. Upon the expiration of the guarantee duration or the tax payment time limit, if taxpayers still fail to pay taxes, guaranteeing organizations shall pay tax amounts and fines for late payment on behalf of taxpayers.

Article 43.- Currency for tax payment                            

Currency for tax payment is Vietnam dong, except for cases of tax payment in foreign currencies according to the Government’s regulations.

1. Taxpayers shall pay taxes into the state budget:

a/ At the State Treasury;

b/ At tax administration agencies where tax declaration dossiers are submitted;

c/ Through organizations authorized by tax administration agencies to collect taxes;

d/ Through commercial banks, other credit institutions and service organizations defined by law;

2. The State Treasury shall arrange places, facilities and personnel to collect taxes to facilitate the timely tax payment by taxpayers into the state budget.

3. When receiving or withholding tax amounts, agencies and organizations shall issue to taxpayers tax receipts.

4. Within eight working hours after collecting tax amounts from taxpayers, agencies and organizations that receive tax amounts shall transfer those amounts into the state budget.

For taxes that are collected in cash in deep-lying or remote areas, islands and areas difficult to access, the time limit for transferring collected tax amounts into the state budget shall be specified the Ministry of Finance.

If a taxpayer concurrently has tax arrears, tax amount subject to retrospective collection, amount of tax due and fine, the payment of these amounts shall be made in the following order:

1. Tax arrears;

2. Tax amount subject to retrospective collection;

3. Amount of tax due;

4. Fine.

The tax payment date is determined to be the date on which:

1. The State Treasury, commercial banks, other credit institutions or service organizations give certification on tax payment vouchers of taxpayers, in case of tax payment by account transfer;

2. The State Treasury, tax administration agencies or tax-collecting organizations authorized by tax administration agencies issue tax receipts, in case of tax payment in cash.

1. Taxpayers who have paid tax amounts larger than payable tax amounts for a certain kind of tax may have the overpaid amounts cleared against subsequent payable tax amounts or refunded.

2. If taxpayers request refund of overpaid tax amounts, tax administration agencies shall issue decisions on refund of overpaid tax amounts within five working days after receiving written requests.

Article 48.- Tax payment in the course of settlement of complaints or institution of lawsuits

1. In the course of settlement of complaints or institution of lawsuits of taxpayers about tax amounts calculated or assessed by tax administration agencies, taxpayers shall fully pay these tax amounts, unless competent state agencies decide to temporarily suspend the execution of tax calculation or tax assessment decisions of tax administration agencies.

2. If the paid tax amounts are larger than tax amounts determined under complaint settlement decisions of competent agencies or court judgments or rulings, taxpayers will be refunded the overpaid tax amounts together with interests thereon.

Article 49.- Prolongation of the tax payment time limit

1. Prolongation of the tax payment time limit shall be considered upon request of taxpayers who fall into one of the following cases:

a/ They suffer from material damage caused by or their production or business is directly affected by natural disasters, fires or accidents;

b/ They are unable to pay taxes on time due to other exceptional difficulties according to the Government’s regulations.

2. Taxpayers entitled to prolongation of tax payment time limits under the provisions of Clause 1 of this Article will enjoy prolonged time limits for payment of part or the whole of payable tax amounts.

3. The tax payment time limit may be prolonged for no more than two years as from the date of its expiration specified in Article 42 of this Law.

The Government shall specify the prolonged duration of the tax payment time limit for each specific case.

4. No late payment fines shall be imposed on taxpayers for unpaid tax amounts within the prolonged tax payment time limit.

Heads of tax administration agencies that directly manage taxpayers shall, on the basis of dossiers for tax payment time limit prolongation, decide on tax amounts for which the payment time limit is prolonged and the prolonged duration.

1. Taxpayers entitled to tax payment time limit prolongation as defined in Article 49 of this Law shall compile and send tax payment time limit prolongation dossiers to tax administration agencies directly managing them.

2. A tax payment time limit prolongation dossier comprises:

a/ Written request for tax payment time limit prolongation, clearly stating the reason, tax amount and proposed payment time;

b/ Documents proving the reason for prolongation;

c/ Report on the payable tax amount arising in the period and the outstanding tax amount.

1. If tax payment time limit prolongation dossiers are submitted directly to tax administration agencies, tax administration officers shall receive and affix the seal of receipt of the dossiers, indicating the date of receipt and the number of documents included in the dossiers.

2. If tax payment time limit prolongation dossiers are sent by mail, tax administration officers shall affix the seal of receipt, indicating the date of receipt and record the receipt of dossiers in the incoming mail books of tax administration agencies.

3. If tax payment time limit prolongation dossiers are electronically submitted, the receipt, examination and acceptance thereof shall be conducted by tax administration agencies through electronic data processing systems.

4. Tax administration agencies shall notify in writing taxpayers of their permission for tax payment time limit prolongation within ten working days after receiving complete dossiers.

If tax payment time limit prolongation dossiers are incomplete according to regulations, tax administration agencies shall, within three working days after receiving those dossiers, notify such in writing to taxpayers for completion of their dossiers. Taxpayers shall complete their dossiers within five working days after receiving tax administration agencies’ notices requesting dossier supplementation. If taxpayers fail to complete their dossiers upon request of tax administration agencies, they will not be entitled to tax payment time limit prolongation under the provisions of this Clause.