How much is the fine for late taxpayer registration for household businesses in Vietnam? What is the first-time taxpayer registration deadline for household businesses in Vietnam?

How much is the fine for late taxpayer registration for household businesses in Vietnam?

Pursuant to Article 10 of Decree 125/2020/ND-CP which stipulates the penalties for violations of taxpayer registration deadlines as follows:

Penalties for violations of taxpayer registration deadlines; notifications of temporary business suspension; notification to resume business ahead of time

1. A warning is imposed for taxpayer registration; notification of temporary business suspension; notification to resume business ahead of the notified time beyond the regulated deadline by 01 to 10 days and with mitigating circumstances.

2. A fine from 1,000,000 VND to 2,000,000 VND is imposed for one of the following acts:

a) Tax registration; notice to resume business ahead of the notified time beyond the regulated deadline from 01 day to 30 days, except as provided in Clause 1 of this Article;

b) Notification of temporary business suspension beyond the regulated deadline, except as provided in Clause 1 of this Article;

c) Failure to notify temporary business suspension.

3. A fine from 3,000,000 VND to 6,000,000 VND for taxpayer registration; notification to resume business ahead of the notified time beyond the regulated deadline from 31 to 90 days.

4. A fine from 6,000,000 VND to 10,000,000 VND for one of the following acts:

a) Tax registration; notification to resume business ahead of the notified time beyond the regulated deadline from 91 days or more;

b) Failure to notify resumption of business ahead of the notified time but without incurring tax payable;

Additionally, pursuant to Clause 4 Article 7 of Decree 125/2020/ND-CP which stipulates the principles for imposing administrative fines for tax offenses as follows:

Forms of sanctions, remedial measures, and principles for applying fines when imposing sanctions for administrative tax violations, invoices

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4. Principles for applying fines

a) The fine levels stipulated in Articles 10, 11, 12, 13, 14, 15, Clauses 1, 2 Article 19 and Chapter III of this Decree are the fines applied to organizations.

For taxpayers as households and household businesses, apply the fines as for individuals.

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Accordingly, based on the above provisions, the fines for late taxpayer registration for household businesses in 2024 are as follows:

- Late taxpayer registration beyond the regulated deadline from 01 day to 30 days with mitigating circumstances: Warning.

- Late taxpayer registration beyond the regulated deadline from 01 day to 30 days without mitigating circumstances: Fine from 500,000 VND to 1,000,000 VND.

- Late taxpayer registration beyond the regulated deadline from 31 to 90 days: Fine from 1,500,000 VND to 3,000,000 VND.

- Late taxpayer registration beyond the regulated deadline from 91 days or more: Fine from 3,000,000 VND to 5,000,000 VND.

Note: The fines mentioned above are for organizations. The fines for individuals with the same violations are half of the fines for organizations, based on Clause 5 Article 5 of Decree 125/2020/ND-CP.

How much is the fine for late taxpayer registration for household businesses in Vietnam? (Image from Internet)

What is the first-time taxpayer registration deadline for household businesses in Vietnam?

Pursuant to Article 33 of the Law on Tax Administration 2019 which stipulates the first-time taxpayer registration deadlines as follows:

First-time taxpayer registration deadlines

1. Taxpayers registering tax along with business registration, cooperative registration, or business operation registration, the taxpayer registration deadline is the business registration, cooperative registration, or business operation registration deadline as stipulated by law.

2. Taxpayers registering directly with the tax authority, the taxpayer registration deadline is 10 working days from the following days:

a) Being granted the business registration certificate, establishment and operation license, investment registration certificate, decision on establishment;

b) Commencement of business activities for organizations not subject to business registration or household businesses, individuals not yet granted business registration certificates but subject to business registration;

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Thus, the first-time taxpayer registration deadline for household businesses is 10 working days from the date of being granted the business registration certificate.

Where is the location for submitting the first-time taxpayer registration files for household businesses in Vietnam?

Pursuant to Article 32 of the Law on Tax Administration 2019 which stipulates the locations for submitting first-time taxpayer registration files:

- Taxpayers registering tax along with business registration, cooperative registration, or business operation registration, the location for submitting the taxpayer registration files is the same as the business registration, cooperative registration, or business operation registration location as stipulated by law.

- Taxpayers registering directly with the tax authority, the locations for submitting taxpayer registration files are stipulated as follows:

+ Organizations, household businesses, and business individuals submit their taxpayer registration files at the tax authority where the organization, household business, or business individual has its headquarters;

+ Organizations, individuals responsible for withholding and paying tax on behalf of others submit the taxpayer registration files at the tax authority managing them directly;

+ Households, individuals not engaging in business submit the taxpayer registration files at the tax authority where taxable income originates, where registered for permanent residence, or where registered for temporary residence or where obligations to the state budget arise.

- Individuals authorizing organizations, individuals paying income to register tax for themselves and their dependents submit taxpayer registration files through the income-paying organization, individual. The organization, individual paying income is responsible for compiling and submitting the taxpayer registration files on behalf of individuals to the tax authority managing them directly.