Shall the taxpayer not send a notice of business resumption to the tax authority in Vietnam?

Shall the taxpayer not send a notice of business resumption to the tax authority in Vietnam?

Based on Clause 3, Article 4 of Decree 126/2020-ND-CP regulating tax administration for taxpayers during suspension of operations, the regulations are as follows:

Tax administration for taxpayers during suspension of operations

Taxpayers must notify when temporarily suspending operations, in accordance with Article 37 of the Law on Tax Administration and the following regulations:

...

3. Taxpayers who resume operations at the time registered do not have to notify the authority where the suspension was registered according to the regulation.

In cases where taxpayers resume operations before the registered time, they must notify the authority where the suspension was registered and fully comply with tax regulations, file tax returns, and submit reports on invoice usage as required.

For taxpayers in the case specified at point c, clause 1 of this Article, a notice must be sent to the direct tax administration authority at least one working day before resuming operations.

4. Taxpayers with direct taxpayer registration with the tax authority cannot register suspensions when the tax authority has issued a Notice on taxpayer not operating at the registered address.

Thus, if a business resumes operations before the end of the suspension period, the business must notify the authority where the suspension was registered and comply with all tax regulations, file tax returns, and submit invoices usage reports as prescribed.

Shall the taxpayer not send a notice of business resumption to the tax authority in Vietnam? (Image from the Internet)

How to notify business resumption to the tax authority in Vietnam?

Based on Article 12 of Circular 105/2020/TT-BTC regarding notice procedures when business resumption to the tax authority, the regulations are as follows:

- When temporarily suspending operations or resuming operations before the end period, taxpayers notify as prescribed in Clause 1, Clause 2 of Article 37 of the Law on Tax Administration 2019, Article 4 of Decree 126/2020/ND-CP, and the following regulations:

+ Organizations, business households, and individuals not subject to business registration send notice form number 23/DK-TCT issued with Circular 105/2020/TT-BTC to the direct tax administration authority according to the time limit specified in point c, Clause 1, Clauses 3 and 4 of Article 4 of Decree 126/2020/ND-CP.

+ Once the tax authority has issued a Notice on taxpayer not operating at the registered address, if businesses and cooperatives are approved to temporarily suspend operations but still have tax liabilities and other state budget obligations, engaging in violations of tax, invoice management laws before the period of non-operation at the registered address, such taxpayers must fulfill outstanding tax, invoice obligations and comply with decisions, notices of the tax administration authority according to Clause 2 of Article 4 of Decree 126/2020/ND-CP.

How to handle notice of business resumption to the tax authority in Vietnam?

According to Article 13 of Circular 105/2020/TT-BTC, the processing of notice for business resumption to the tax authority is as follows:

- Processing the notice of suspension or resuming operations before the end period by taxpayers, handling of Written approval for suspension or resuming operations before the end period by a competent state authority is done according to Clause 1, Clause 2 of Article 37 of the Law on Tax Administration 2019; Clauses 1, 3, 4 of Article 4 of Decree 126/2020/ND-CP and the following regulations:

+ Regarding notices of suspension or resuming operations before the end period by taxpayers:

+ The tax authority processes the documentation and issues an Announcement on approval/not approval for suspension, Business model number 27/TB-DKT, Announcement on suspension by the management unit model number 33/TB-DKT (if applicable), Announcement on early resumption of operations by the management unit model number 34/TB-DKT (if applicable) issued together with Circular 105/2020/TT-BTC sent to taxpayers within 02 (two) working days from the date of receiving complete documentation from taxpayers.

+ Regarding written approval for suspension or resuming operations before the end period from competent state authorities:

The tax authority updates information on the suspension or resuming operations of the taxpayer into the taxpayer registration application system.

Download form number 27/TB-DKT

Download form number 33/TB-DKT

Download form number 34/TB-DKT