May taxpayers request the tax authorities to explain tax calculations in Vietnam?

May taxpayers request the tax authorities to explain tax calculations in Vietnam?

Based on Article 16 of the 2019 Law on Tax Administration, the rights of taxpayers are stipulated as follows:

(1) Entitled to assistance and guidance in fulfilling tax obligations; provided with information and documents to exercise tax obligations and rights.

(2) Entitled to receive documents related to tax obligations from relevant authorities during audits, audits, and assessments.

(3) Request tax authorities to explain tax calculations, tax determination; request verification of the quantity, quality, and type of exported and imported goods.

(4) Entitled to confidentiality of information, except for information required to be provided to competent state agencies or publicly disclosed under law.

(5) Entitled to tax incentives and tax refunds as per tax laws; to know the time limit for resolving tax refunds, the amount not refunded, and legal grounds for the non-refunded amount.

(6) Allowed to enter into contracts with service organizations for tax procedures, customs procedure agents for tax and customs agency services.

(7) Entitled to receive tax handling decisions, tax audit records, tax audit records, and to request explanation of tax handling decision content; allowed to retain opinions in tax audit records, tax audit records; entitled to receive documents concluding tax audits, audits, post-audit tax handling decisions from tax authorities.

(8) Entitled to compensation for damages caused by tax authorities, tax management entities according to law.

(9) Request tax authorities to confirm their tax obligation fulfillment.

(10) Complain and sue administrative decisions, administrative acts related to their legal rights and interests.

(11) Not subject to administrative violations penalties regarding tax, or late payment interest in cases where taxpayers adhere to guidance documents and handling decisions of tax authorities, competent state agencies related to tax obligation determination.

(12) Accuse violations of tax management officials and other entities as per the law on denunciations.

(13) Entitled to search, view, and print all electronic documents they have sent to the electronic information portal of tax authorities as stipulated by this Law and electronic transaction laws.

(14) Allowed to use electronic documents in transactions with tax authorities and related organizations.

Therefore, it is clear that taxpayers are entitled to request tax authorities to explain tax calculations.

What are the responsibilities of taxpayers in Vietnam?

According to Article 17 of the 2019 Law on Tax Administration, the responsibilities of taxpayers are as follows:

(1) Perform taxpayer registration, use tax codes as prescribed by law.

(2) File tax accurately, truthfully, completely, and submit tax dossiers on time; bear legal responsibility for the accuracy, truthfulness, and completeness of tax dossiers.

(3) Pay taxes, late payment fees, fines fully, on time, at the correct location.

(4) Comply with accounting, statistics policies, and manage, use invoices and documents in accordance with the law.

(5) Accurately, truthfully, completely record activities that incur tax liabilities, tax deductions, and transactions requiring tax information declarations.

(6) Issue and deliver invoices, documents to buyers according to quantity, type, actual payment value when selling goods or supplying services as required by law.

(7) Provide accurate, complete, and prompt information, documents related to tax obligation determination, including investment value information; account numbers and transaction content at commercial banks, other credit institutions; explain tax calculations, declarations, and payments as requested by tax authorities.

(8) Comply with decisions, notifications, requests from tax authorities and tax management officials as prescribed by law.

(9) Bear responsibility for fulfilling tax obligations according to the law in cases where legal representatives or authorized representatives perform incorrect tax procedures on behalf of taxpayers.

(10) Taxpayers conducting business in areas with information technology infrastructure must file and pay taxes, and transact with tax authorities via electronic means as prescribed by law.

(11) Based on actual conditions and IT equipment capability, the Government of Vietnam details the exemption of taxpayers from required documents in tax declarations, payments, refunds dossiers, and other tax dossiers that the state authority already has.

(12) Develop, manage, and operate infrastructure systems ensuring electronic transactions with tax authorities, apply information connectivity related to tax obligation fulfillment with tax authorities.

(13) Taxpayers with associated transactions are obliged to prepare, store, declare, provide information on taxpayer dossiers and associated parties, including information on associated parties residing in countries, territories outside of Vietnam according to the Government of Vietnam regulations.

When is tax audit conducted at the taxpayer's premises in Vietnam?

Pursuant to Clause 1, Article 110 of the 2019 Law on Tax Administration, tax audit at the taxpayer's premises is stipulated as follows:

Tax audit at the taxpayer's premises

1. Tax audit at the taxpayer's premises is conducted in the following cases:

a) In cases where dossiers are subject to pre-tax-refund audit; post-tax-refund audit for dossiers subject to pre-refund;

b) In cases stipulated in point b, clause 2, Article 109 of this Law;

c) In cases of post-customs clearance audit at the declarant's office according to customs law;

d) In cases of legal violations;

đ) In selected cases according to plan, thematic;

e) Upon recommendations of the State Audit, State audit, other competent agencies;

g) In cases of division, separation, merger, consolidation, conversion of enterprise type, dissolution, termination of operation, equitization, termination of tax code, change of business location, and unexpected audit cases, audit directed by competent authority, except for dissolution, termination where tax finalization is not required.

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Therefore, tax audit at the taxpayer's premises is conducted under the following circumstances:

- Cases where dossiers are subject to pre-tax-refund audit; post-tax-refund audit for dossiers subject to pre-refund;

- Cases stipulated in point b, clause 2, Article 109 of this Law;

- Cases of post-customs clearance audit at the declarant's office according to customs law;

- Cases of legal violations;

- Selected cases according to plan, thematic;

- Upon recommendations of the State Audit, State audit, other competent agencies;

- Cases involving division, separation, merger, consolidation, conversion of enterprise type, dissolution, termination of operation, equitization, termination of tax code, change of business location, and unexpected audit cases, audit directed by competent authority, except for dissolution and termination where tax finalization is not required.