How long does it take for the tax authority to send a notice if a taxpayer has tax debts in Vietnam?

How long does it take for the tax authority to send a notice if a taxpayer has tax debts in Vietnam?

Pursuant to Article 131 of Law on Tax Administration 2019, the regulations are as follows:

Enforcement by the measure of halting customs procedures for export, import goods

1. The head of the customs authority where the taxpayer has overdue tax debts must notify no later than 5 working days before the date of applying the measure to halt customs procedures for export, import goods.

2. The measure to halt customs procedures shall not be applied to the following cases:

a) Export goods subject to tax exemption, not subject to tax, or have an export tax rate of 0%;

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

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

Accordingly, based on the above regulation, a taxpayer with tax debts will be notified by the tax authority no later than 5 working days before the date of applying the measure to halt customs procedures.

How long does it take for the tax authority to send a notice if a taxpayer has tax debts in Vietnam?(Image from the Internet)

How does the customs authority handle post-clearance tax assessments for export goods exceeding 90 days in Vietnam?

Pursuant to Article 33 of Decree 126/2020/ND-CP, the regulations are as follows:

Enforcement by the measure of halting customs procedures for export, import goods

1. Subjects of application

a) Enforcement by the measure of halting customs procedures for export, import goods is applied when other enforcement measures for implementing administrative decisions on tax administration prescribed at points a, b, clause 1 of Article 125 of the Law on Tax Administration cannot be applied or have been applied but still lack full collection of tax debts into the state budget, or fall within the cases prescribed in clause 3 of Article 125 of the Law on Tax Administration, or at the request of the tax authority.

b) Administrative decisions on tax administration include: Decisions on administrative sanctions for tax administration violations; notices of tax assessment, tax assessment decisions; notices of tax debts; decisions to revoke refunds; decisions on extensions; decisions on installment payments; decisions to terminate the effect of the decision on suspending tax debts; decisions on applying remedial measures according to the law on handling administrative violations in tax administration; decisions on compensation for damages; other administrative decisions on tax administration as prescribed by law.

c) In cases where the customs authority conducts post-clearance tax assessments for export, import goods, if more than 90 days from the expiration date of the application of the tax assessment decision and the taxpayer or guarantor does not voluntarily comply with the tax assessment decision, the customs authority shall apply enforcement measures to execute the administrative decision on tax administration as prescribed.

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Accordingly, based on the regulation, if the customs authority performs post-clearance tax assessments for export goods exceeding 90 days, it shall apply enforcement measures to execute the administrative decision on tax administration as prescribed.

What are regulations on tax enforcement decisions in Vietnam?

Pursuant to Article 138 of Law on Tax Administration 2019, the regulations are as follows:

- Forms of administrative sanctions for tax administration violations include:

+ Warning;

+ Fine.

- The fines in administrative sanctions for tax administration violations are prescribed as follows:

+ The maximum fine for acts prescribed in Article 141 of this Law follows the law on handling administrative violations;

+ A 10% fine calculated on the declared underpaid tax amount or the declared increased tax amount in cases of exemption, reduction, refund, or non-collection of tax for acts prescribed in point a, clause 2, Article 142 of this Law;

+ A 20% fine calculated on the declared underpaid tax amount or the declared increased tax amount in cases of exemption, reduction, refund, or non-collection of tax for acts prescribed in clause 1 and points b, c, clause 2, Article 142 of this Law;

+ Fines ranging from 1 to 3 times the evaded tax amount for acts prescribed in Article 143 of this Law.

- Remedial measures in administrative sanctions for tax administration violations include:

+ Compulsory payment of full evaded or underpaid tax amounts;

+ Compulsory payment of fully exempted, reduced, refunded, or non-collected tax amounts incorrectly.

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