How to determine submission location for licensing fee for dependent cost-accounting branches located in different provinces or in the same province in Vietnam?

How to determine submission location for licensing fee for dependent cost-accounting branches located in different provinces or in the same province in Vietnam?

Based on Article 2 of Decree 139/2016/ND-CP, it stipulates that the licensing fee payers are organizations and individuals engaged in the production and business of goods and services, including enterprises established under the law and their branches, representative offices, and business locations.

According to point k, clause 1, and clause 2, Article 11 of Decree 126/2020/ND-CP, which regulates the location for submission of tax returns as follows:

Location for Submission of tax declaration dossiers

Taxpayers shall follow the regulations on where to submit tax declaration dossiers as stipulated in clauses 1, 2, and 3 of Article 45 of the Tax Management Law and the following provisions:

1. The location for submission of tax returns for taxpayers with multiple activities across various provincial areas as stipulated in points a and b, clause 4, Article 45 of the Tax Management Law, particularly in cases where businesses operate in different provinces and cities from the headquarters, shall be the tax authority in the location with business activity other than where the headquarters is located as follows:

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k) File licensing fee declarations at locations with dependent units and business locations.

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2. The location for submitting tax returns for taxpayers operating in multiple areas at the provincial level different from where their headquarters is, as specified in point b, clause 4, Article 45 of the Tax Management Law, conduct centralized accounting at the headquarters (except in cases specified in clauses 1, 3, 4, 5, and 6 of this Article) at the tax authority managing the headquarters. At the same time, taxpayers must submit the Allocation Table of the tax payable (if any) according to each provincial area that benefits from the state budget (including dependent units and business locations) to the tax authority managing the headquarters, except for certain cases where no Allocation Table of the tax payable must be submitted.

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Furthermore, according to clause 8, Article 3 of Circular 80/2021/TT-BTC, a dependent unit includes branches and representative offices.

In addition, according to Official Dispatch 14116/CTHN-TTHT in 2024, guidance is provided for licensing fee declarations for dependent cost-accounting branches as follows:

"Based on the aforementioned regulations, in the case of Nam Dinh Textile and Garment Urban Development JSC (headquartered in Nam Dinh), registering a branch in Hanoi as a dependent accounting entity, the branch shall fulfill tax obligations as follows:

1. licensing fee:

The Hanoi branch must pay the licensing fee as stipulated in Article 2 of Decree 139/2016/ND-CP by the Government of Vietnam. The submission location for licensing fee declaration is implemented as prescribed in clause 1, Article 11 of Decree 126/2020/ND-CP dated October 19, 2020, by the Government of Vietnam.

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Thus, the location for submitting the licensing fee declaration form will depend on whether the branch is in the same or different province as the headquarters. Specifically:

- Case 01: dependent cost-accounting branch in the same province as the headquarters submits the licensing fee declaration to the tax authority directly managing the headquarters.

- Case 02: dependent cost-accounting branch in a different province from the headquarters submits the licensing fee declaration to the tax authority directly managing the branch.

How to determine submission location for licensing fee for dependent cost-accounting branches located in different provinces or in the same province in Vietnam? (Image from the Internet)

What is the licensing fee rate for dependent cost-accounting branches located in different provinces or in the same province in Vietnam?

Based on clause 1, Article 4 of Circular 302/2016/TT-BTC, the licensing fee rate for dependent cost-accounting branches located in different or the same provinces is 1 million VND per year.

Vietnam: What is the licensing fee declaration form 01/LPMB in 2025?

The 2025 licensing fee Declaration Form follows Form 01/LPMB stipulated in Appendix II issued with Circular 80/2021/TT-BTC.

DOWNLOAD >> Latest licensing fee Tax Declaration Form 2025

Below are the instructions for preparing the latest licensing fee Declaration Form 2025:

[1] Declare the year for calculating the licensing fee.

[2] Choose only for the first-time declaration.

[3] Fill in only for cases where the licensing fee payer submitted a declaration but subsequently found changes in information regarding declaration obligations and re-declares information for the declaration period already submitted. Note, the fee payer should select only one of the two criteria [02] and [03], not both.

[4] Declare information according to the taxpayer's registration.

[5] Declare information according to the taxpayer's registration.

[6] Declare information about the tax agent (if any).

[7] Declare information about the tax agent (if any).

[8] Declare information about the tax agent (if any).

[9] Choose only in cases where the licensing fee payer has declared the licensing fee and then establishes a new business location.