How long can tax be overdue before customs procedures are suspended in Vietnam?

How long can tax be overdue before customs procedures are suspended in Vietnam?

Based on the provisions of Clause 1, Article 124 of the Law on Tax Administration 2019 regarding cases subject to enforcement of administrative decisions on tax management as follows:

Cases subject to enforcement of administrative decisions on tax management

1. Taxpayers with tax debts exceeding 90 days from the deadline for payment as stipulated.

2. Taxpayers with tax debts when the extended deadline for tax payment has expired.

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Based on the provisions of Clause 1, Article 125 of the Law on Tax Administration 2019 regarding 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) Deducting money from accounts of those subject to enforcement of administrative decisions on tax management at the State Treasury, commercial banks, and other credit institutions; freezing accounts;

b) Deducting a portion of salary or income;

c) Suspending customs procedures for export and import goods;

d) Halting the use of invoices;

đ) Seizing assets, auctioning seized assets in accordance with the law;

....

According to the regulations, taxpayers with tax debts exceeding 90 days from the deadline for payment may be subject to enforcement of administrative decisions on tax management.

Additionally, measures for enforcing administrative decisions on tax management include suspending customs procedures for export and import goods.

Therefore, based on the above regulations, it can be seen that tax debts exceeding 90 days from the payment deadline will result in a suspension of customs procedures.

How long can tax be overdue before customs procedures are suspended in Vietnam? (Image from the Internet)

Vietnam: Does the tax enforcement decision include the name of the decider?

Based on the provisions of Clause 1, Article 127 of the Law on Tax Administration 2019 regarding the tax enforcement decision as follows:

tax enforcement decision

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

a) Date of issuance of the decision;

b) Basis for decision issuance;

c) decider;

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

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

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

g) Time and place of implementation;

h) Lead agency and coordinating agency for implementing the tax enforcement decision.

....

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

- Date of issuance of the decision;

- Basis for decision issuance;

- decider;

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

- Reason for enforcement of administrative decisions on tax management;

- Measures for enforcement of administrative decisions on tax management;

- Time and place of implementation;

- Lead agency and coordinating agency for implementing the tax enforcement decision.

Accordingly, within the content of issuing the tax enforcement decision, the name of the decider will be included.

Is tax-exempt export goods subject to suspension of customs procedures in Vietnam?

Based on the provisions of Clause 2, Article 131 of the Law on Tax Administration 2019 regarding enforcement by suspending customs procedures for export and import goods as follows:

Enforcement by suspending customs procedures for export and import goods

1. The head of the customs office where the taxpayer has overdue tax debt must notify no later than 5 working days before applying the measure of suspending customs procedures for export and import goods.

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

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

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

3. The Government of Vietnam specifies details of this Article.

The measure of suspending customs procedures does not apply in the following cases:

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

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

Thus, it can be seen that tax-exempt goods are not subject to the suspension of customs procedures.