Do tax authorities in Vietnam have the right to access personal accounts?

Do tax authorities in Vietnam have the right to access personal accounts?

Currently, according to the law, in certain cases, tax authorities have the right to request information related to the finances of individuals or businesses. Specifically, Article 98 of the Law on Tax Administration 2019 stipulates the responsibility of organizations and individuals involved in providing taxpayer information to tax authorities as follows:

(1) The following agencies have the responsibility to provide taxpayer information to tax management agencies:

- The agency issuing the investment registration certificate, enterprise registration certificate, or operation license is responsible for providing information on the content of the investment registration certificate, enterprise registration certificate, cooperative registration certificate, business registration certificate, practice license, establishment and operation license, and certificate of change in business registration content of the organization or individual to the tax management agency within 07 working days from the date of issuance and providing other information as required by the tax management agency;

- The State Treasury provides information on the taxes already paid or refunded by the taxpayer.

(2) The following agencies, organizations, or individuals have the responsibility to provide information upon request from the tax management agency:

- Commercial banks provide account transaction details, account balance of the taxpayer within 10 working days from the date of receiving the request from the tax management agency;

- State management agencies for housing, land provide information on the current state of land use, home ownership of organizations, households, business households, individuals, business individuals;

- The police provide and exchange information related to the fight against tax-related crimes; provide information on emigration, immigration, and information on registration and management of vehicles;

- Organizations, individuals paying income are responsible for providing information on income payments and withheld taxes of the taxpayer upon request from the tax management agency;

- State management agencies in commerce have the responsibility to provide information on the management policy of exported, imported, transited goods of Vietnam and foreign countries; information on market management.

(3) The relevant ministries and sectors have the responsibility to provide taxpayer information to the tax management agency through online network connections, electronic data exchanges daily via the taxpayer information system or through the national single-window portal.

(4) Other agencies, organizations, or individuals related to taxpayers have the responsibility to provide information in writing or electronic data of taxpayers upon the request of the tax management agency.

Additionally, according to Item 1 of Official Dispatch 2535/TCT-TTKT in 2023 on strengthening cooperation in tax management by the General Department of Taxation, further guidance includes:

On providing transaction information through accounts, account balances, transaction data.

- Commercial banks and other credit institutions provide transaction information through accounts, account balances, transaction data upon the request of the Director of the Tax Department to serve the purpose of auditing, inspection to determine tax obligations and enforce the implementation of administrative decisions on tax management as per tax laws, within 10 working days of receiving the tax agency's written request. If commercial banks and other credit institutions do not provide data as required by the Tax Management Agency, they will be administratively sanctioned as per Article 19 of Decree Number 125/2020/ND-CP dated October 19, 2020, by the Government of Vietnam, regulating administrative sanctions on taxes and invoices.

- Tax Departments, when requiring information, should send written requests to the head offices of commercial banks and other credit institutions to implement. The content of the request should include full, detailed identification information and content for commercial banks and other credit institutions to implement. For complex and important content, meetings between the Tax Department and commercial banks, other credit institutions may be organized; or coordinate, collaborate with the Tax Department managing those commercial banks, credit institutions under legal regulations. Tax Departments directly managing commercial banks and credit institutions are responsible for cooperating with other Tax Departments when requested.

- Tax Departments have the responsibility to keep information confidential, use the information for the correct purpose, and are entirely responsible for the information's safety according to the Law on Tax Administration and other relevant legal provisions.

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Thus, the tax authority does not have the right to access citizens' personal accounts but is entitled to check information, account balances, transaction data, etc., upon the request of the competent authority or for tax management purposes.

Do tax authorities in Vietnam have the right to access personal accounts? (Image from the Internet)

How do tax authorities ensure taxpayer information security in Vietnam?

Based on Article 99 of the Law on Tax Administration 2019, it stipulates the confidentiality of taxpayer information as follows:

(1) Tax management agencies, tax officials, persons who have been tax officials, information-providing or exchanging agencies, tax procedure service business organizations must keep taxpayer information confidential as stipulated by law, except for cases specified in (2) and Article 100 of the Law on Tax Administration 2019.

(2) To serve litigation, inspection, examination, or audit activities when required in writing, the tax management agency is responsible for providing taxpayer information to the following agencies:

- Investigation agencies, Procuracies, Courts;

- State Inspectorate, State Audit;

- Other State management agencies as stipulated by law;

- Foreign tax management agencies in accordance with international tax treaties that the Socialist Republic of Vietnam is a member.

When do tax authorities publicly disclose taxpayer information in Vietnam?

According to Article 100 of the Law on Tax Administration 2019, tax management agencies are permitted to publicly disclose taxpayer information in the following cases:

- Tax evasion, delay in paying taxes and other amounts due to the state budget on time; owing taxes and other amounts due to the state budget;

- Violations of tax laws that affect the tax obligations and rights of other organizations or individuals;

- Non-compliance with requests from tax management agencies as stipulated by law.