Are the documents proving dependants for personal exemption authenticated in Vietnam?

Are the documents proving dependants for personal exemption authenticated in Vietnam?

Based on Subsection 3, Section 3, Official Dispatch 883/TCT-DNNCN 2022 from the General Department of Taxation guiding the finalization of personal income tax, the documents for personal exemptions for dependants are stipulated as follows:

III. Personal exemptions

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3. Documents for personal exemptions for dependants

a) For individuals submitting dependant registration documents directly at the tax office, the documents include:

+ dependant registration form according to form 07/DK-NPT-TNCN issued along with Appendix II of Circular No. 80/2021/TT-BTC dated September 29, 2021, by the Ministry of Finance.

+ Documents proving dependency as guided in point g, Clause 1, Article 9 of Circular No. 111/2013/TT-BTC dated August 15, 2013, by the Ministry of Finance.

+ In the case where dependants are directly supported by the taxpayer, confirmation from the People's Committee of the commune/ward where the dependant resides is required, according to form 07/XN-NPT-TNCN issued along with Appendix II of Circular No. 80/2021/TT-BTC dated September 29, 2021, by the Ministry of Finance.

b) In case individuals register for personal exemptions for dependants through organizations or individuals paying income, the individual submits the dependant registration documents as guided in point a, clause 3, Section III of this document to the income-paying organization or individual. The income-paying organization or individual will compile the registration according to Appendix Summary Table of dependant Registrations for personal exemptions, form 07/THĐK-NPT-TNCN issued along with Appendix II of Circular No. 80/2021/TT-BTC dated September 29, 2021, by the Ministry of Finance, and submit to the tax office as stipulated.

Simultaneously, referring to the provisions at point g, clause 1, Article 9 of Circular 111/2013/TT-BTC, regulating documents proving dependency, there is no case requiring the authentication of proof documents.

Thus, personal exemption documents for dependants do not need certification; only a copy of the proof documents needs to be submitted.

Are the documents proving dependants for personal exemption authenticated in Vietnam? (Image from the Internet)

How many sets of dependant registration shall be prepared by a personal income taxpayer in Vietnam?

Based on sub-item h.2.1.1, point h, clause 1, Article 9 of Circular 111/2013/TT-BTC regarding the number of sets of documents when registering dependants as follows:

- First-time dependant registration:

+ Personal income taxpayer registering through income-paying organizations or individuals: Prepare and submit 02 sets of dependant registration documents to the income-paying organization or individual to serve as a basis for deduction calculation for dependants (01 set retained by the income-paying organization or individual and 01 set retained by the directly managing tax office).

+ Personal income taxpayer directly filing taxes with the tax office: Prepare and submit 01 set of documents to the directly managing tax office for retention.

- Registration when there is a change in dependants: Personal income taxpayers must supplement information changes of dependants according to the form issued along with the guidance documents on tax administration and submit to the income-paying organization, individual or the tax office for those taxpayers subject to direct tax filing with the tax office.

What are the regulations on the deadline for submitting documents proving dependants in Vietnam?

Based on sub-item h.2.1.2, point h, clause 1, Article 9 of Circular 111/2013/TT-BTC regulating the deadline for submitting documents proving dependants of a personal income taxpayer as follows:

- Deadline for submitting documents proving dependants: Within three (03) months from the date of submitting the dependant registration declaration (including cases of registering dependant changes).

- If the taxpayer fails to submit the proof documents within the aforementioned deadline, the taxpayer will not be eligible for dependant deductions and must adjust the payable tax amount.

What are the principles for calculating personal exemptions for dependants for personal income taxpayers in Vietnam?

Based on sub-item c.2, point c, clause 1, Article 9 of Circular 111/2013/TT-BTC regulating the principle of calculating personal exemptions for dependants of personal income taxpayers as follows:

- Taxpayers are entitled to calculate personal exemptions for dependants if they have a taxpayer registration and are issued a tax code.

- When taxpayers register personal exemptions for dependants, the tax office will issue a tax code for the dependants and allow provisional personal exemptions within the year from the registration date. For dependants registered for personal exemptions before the effective date of Circular 111/2013/TT-BTC, deductions continue until a tax code is issued.

- If the taxpayer has not calculated personal exemptions for dependants during the tax year, they may be calculated from the month the obligation to support arises when the taxpayer settles taxes and registers personal exemptions for dependants. For other dependants as guided in sub-item d.4, point d, clause 1, Article 9 of Circular 111/2013/TT-BTC, the latest deadline for registering personal exemptions is December 31 of the tax year; failure to register by this deadline will result in no deductions for that tax year.

- Each dependant is only accounted for once into one taxpayer in the tax year. If several taxpayers share dependants, they must mutually agree to register personal exemptions to one taxpayer.