Are imports that are grant aid subject to customs procedures suspension in Vietnam?

If the taxpayer fails to pay tax by the extended deadline in Vietnam, shall the tax enforcement measures be imposed?

Pursuant to the provisions of Clause 1, Article 124 of the Law on Tax Administration 2019 stipulating cases of tax enforcement as follows:

Cases of tax enforcement

1. Taxpayers who have tax arrears exceeding 90 days from the expiration date of payment as regulated.

2. Taxpayers who have tax arrears when the tax payment extension period expires.

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Pursuant to the provisions of Clause 1, Article 125 of the Law on Tax Administration 2019 stipulating measures for enforcement of administrative decisions on tax management as follows:

Measures for Enforcement of Administrative Decisions on Tax Management

1. Measures for enforcement of administrative decisions on tax management include:

a) Deductions from bank accounts of the entity subject to enforcement of administrative decisions on tax management at the State Treasury, commercial banks, or other credit institutions; account freeze;

b) Garnishment of a portion of wages or income;

c) Suspension of customs clearance procedures for export and import goods;

d) Suspension of invoice use;

dd) Seizure of assets, auction of seized assets in accordance with the law;

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Thus, it can be seen that, according to the above regulations, the expiration of the tax payment extension period will be one of the cases subject to the enforcement of administrative decisions on tax management.

Are imports that are grant aid subject to customs procedures suspension in Vietnam? (Image from Internet)

Are imports that are grant aid subject to enforcement by suspension of customs procedures in Vietnam?

Pursuant to the provisions of Clause 2, Article 131 of the Law on Tax Administration 2019 stipulating enforcement by enforcement by suspension of customs procedures for export and import goods as follows:

Enforcement by enforcement by suspension of customs procedures for Export and Import Goods

1. The head of the customs authority where the taxpayer has overdue tax must notify no later than 5 working days before the date of application of the enforcement by suspension of customs procedures for export and import goods.

2. The enforcement by suspension of customs procedures does not apply in the following cases:

a) Export goods exempt from tax, not subject to tax, or with a tax rate of 0%;

b) Export and import goods serving directly for defense, security, disaster prevention, epidemic control, emergency rescue; humanitarian aid, non-refundable aid.

3. The Government of Vietnam stipulates the details of this Article.

The measure of suspending customs procedures is not applied in the following cases:

- Export goods exempt from tax, not subject to tax, or with a tax rate of 0%;

- Export and import goods directly serving defense, security, disaster prevention, epidemic control, emergency rescue; humanitarian aid, non-refundable aid.

Thus, it can be seen that non-refundable aid goods are not subject to the enforcement by suspension of customs procedures.

Does the tax enforcement decision specify the reason for the decision in Vietnam?

Pursuant to the provisions of Clause 1, Article 127 of the Law on Tax Administration 2019 stipulating the tax enforcement decision as follows:

Tax enforcement decision

1. The tax enforcement decision includes the following main contents:

a) Date, month, and year of the decision issuance;

b) Grounds for the decision;

c) Person making the decision;

d) Name, address, tax identification number of the taxpayer subject to enforcement of administrative decisions on tax management;

đ) Reason for enforcement of administrative decisions on tax management;

e) Measure for enforcement of administrative decisions on tax management;

g) Time and place of implementation;

h) Presiding agency, coordinating agency to implement the tax enforcement decision.

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According to the regulations, the tax enforcement decision includes the following main contents:

- Date, month, and year of decision issuance;

- Grounds for the decision;

- Person making the decision;

- Name, address, tax identification number of the taxpayer subject to enforcement of administrative decisions on tax management;

- Reason for enforcement of administrative decisions on tax management;

- Measure for enforcement of administrative decisions on tax management;

- Time and place of implementation;

- Presiding agency, coordinating agency to implement the tax enforcement decision.

Thus, in the content of issuing the tax enforcement decision, the reason for enforcement must be clearly stated.