Is there any fine for late submission of tax returns by 5 days in Vietnam?

Is there any fine for late submission of tax returns by 5 days in Vietnam?

According to Article 13 of Decree 125/2020/ND-CP, penalties for violations regarding the time limit for submission of tax declaration dossiers are stipulated as follows:

Penalties for violations regarding the time limit for submission of tax declaration dossiers

1. A warning penalty shall be imposed for acts of submitting tax declaration dossiers late by 01 day to 05 days with mitigating circumstances.

2. A fine from 2,000,000 VND to 5,000,000 VND shall be imposed for acts of submitting tax declaration dossiers late by 01 day to 30 days, except for cases specified in Clause 1 of this Article.

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Thus, in cases of late submission of tax returns from 01 day to 05 days with mitigating circumstances, there shall be no monetary penalty, and the violator shall receive a warning.

However, if the tax return is submitted late by 01 day to 05 days without mitigating circumstances, a fine ranging from 2,000,000 VND to 5,000,000 VND shall be imposed.

Is there any fine for late submission of tax returns by 5 days in Vietnam? (Image from the Internet)

What is the fine for late submission of tax returns in Vietnam?

Based on Article 13 of Decree 125/2020/ND-CP which regulates penalties for violations regarding the time limit for submission of tax declaration dossiers as follows:

(1) A warning shall be imposed for acts of submitting tax declaration dossiers late by 01 day to 05 days with mitigating circumstances.

(2) A fine ranging from 2,000,000 VND to 5,000,000 VND shall be imposed for acts of submitting tax declaration dossiers late by 01 day to 30 days, except for cases stipulated in Clause 1, Article 13 of Decree 125/2020/ND-CP.

(3) A fine ranging from 5,000,000 VND to 8,000,000 VND shall be imposed for acts of submitting tax declaration dossiers late by 31 days to 60 days.

(4) A fine ranging from 8,000,000 VND to 15,000,000 VND shall be imposed for any of the following acts:

- Submitting tax declaration dossiers late by 61 days to 90 days.

- Submitting tax declaration dossiers late by 91 days or more without incurring tax payable.

- Failing to submit tax declaration dossiers but not incurring tax payable.

- Failing to submit annexes according to tax management regulations for businesses with associated transactions accompanying the corporate income tax finalization dossier.

(5) A fine ranging from 15,000,000 VND to 25,000,000 VND shall be imposed for acts of submitting tax declaration dossiers more than 90 days late from the deadline date, incurring tax payable, and the taxpayer has paid the full amount of tax, late payment into the state budget before the tax authorities announce the decision on tax inspection, investigation or before the tax authorities make a record of acts of late submission of tax declaration dossiers as regulated at Clause 11, Article 143 of the Law on Tax Administration 2019.

(6) Remedial measures:

- Obligating the full payment of late tax payment into the state budget for violations mentioned in Clauses 1, 2, 3, 4, and 5, Article 13 of Decree 125/2020/ND-CP in case the taxpayer's late submission of tax declaration dossiers leads to late tax payment.

- Obligating the submission of tax declaration dossiers, annexes accompanying tax declaration dossiers for violations specified at Points c, d, Clause 4, Article 13 of Decree 125/2020/ND-CP.

Note: The aforementioned fine levels apply to organizations. The penalty for individuals is half of the penalty for organizations.

What are regulations on aggravating circumstances and mitigating circumstances in the tax sector in Vietnam?

According to Clause 1, Article 6 of Decree 125/2020/ND-CP, aggravating circumstances, mitigating circumstances in the tax or invoice sector are regulated as follows:

Aggravating circumstances, mitigating circumstances in the tax or invoice sector

1. Aggravating circumstances, mitigating circumstances according to legal regulations on handling administrative violations.

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Referring to Articles 9 and 10 of the Law on Handling of Administrative Violations 2012, the aggravating circumstances and mitigating circumstances in the tax or invoice sector include:

* For mitigating circumstances:

- The infringer of administrative violations has acted to prevent or reduce the consequences of the violation or voluntarily remediation, compensation for damage;

- The infringer of administrative violations voluntarily declares, sincerely regrets; actively assists the authorities in detecting administrative violations, handling administrative violations;

- Administrative violations committed in a state of mental agitation due to unlawful acts of others; exceeding justifiable defense; exceeding the requirements of urgent situations;

- Administrative violations due to coercion or dependency, either materially or mentally;

- The infringer of administrative violations is a pregnant woman, elderly, person with illness or disability limiting their ability to perceive or control their behavior;

- Administrative violations due to special difficult circumstances not caused by themself;

- Administrative violations due to backwardness in knowledge;

- Other mitigating circumstances as stipulated by the Government of Vietnam.

* For aggravating circumstances:

- Administrative violations are organized;

- Administrative violations repeated; recidivism;

- Inciting, enticing, using minors to violate; forcing individuals materially or mentally dependent on them to commit administrative violations;

- Using persons known to be mentally impaired or otherwise incapacitated to commit administrative violations;

- Insulting, defaming officials enforcing public duties; administrative violations have a hooligan nature;

- Abusing positions, powers to commit administrative violations;

- Exploiting circumstances of war, natural disasters, pandemics, or other special societal difficulties to commit administrative violations;

- Violations while serving punishment of a criminal judgment or executing measures to deal with administrative violations;

- Continuing to commit administrative violations despite requests to stop by competent individuals;

- After violations, actions to evade, conceal administrative violations are taken;

- Administrative violations on a large scale, involving large quantities or significant value of goods;

- Administrative violations against many people, children, the elderly, the disabled, pregnant women.