Vietnam: May quarterly tax returns for Quarter 4 be extended and submitted after the Tet holiday?
Which taxes are declared quarterly in Vietnam?
Based on Clause 2, Article 8 of Decree 126/2020/ND-CP, the taxes declared quarterly for the year 2025 are specified as follows:
(1) Corporate Income Tax for foreign airlines, foreign reinsurance.
(2) Value Added Tax, Corporate Income Tax, Personal Income Tax for credit institutions or third parties authorized by credit institutions to handle secured assets pending processing, declaring on behalf of the taxpayers with secured assets.
(3) Personal Income Tax for organizations, individuals providing income subject to tax withholding in accordance with the personal income tax law, where such organizations, individuals choose to declare Value Added Tax quarterly and choose to declare Personal Income Tax quarterly; individuals with income from salaries, wages directly declare taxes with the tax authorities and choose to declare Personal Income Tax quarterly.
(4) Other types of taxes, levies belonging to the state budget by organizations, individuals declaring taxes on behalf, paying taxes on behalf of other individuals where such organizations, individuals choose to declare Value Added Tax quarterly and choose to declare taxes on behalf of individuals quarterly, except as provided at Point g, Clause 4, Article 8 of Decree 126/2020/ND-CP.
(5) Surcharges when crude oil prices increase (excluding petroleum activities of the Vietsovpetro Joint Venture at Block 09.1).
Vietnam: May quarterly tax returns for Quarter 4 be extended and submitted after the Tet holiday?
Based on Article 44 of the Law on Tax Administration 2019 on the deadline for tax submission, specific regulations are as follows:
Deadline for submitting tax declaration documents
- The deadline for submitting tax declaration documents for monthly or quarterly declared taxes is regulated as follows:
a) No later than the 20th day of the month following the month of tax obligation arises for monthly declarations;
b) No later than the last day of the first month of the quarter following the quarter of tax obligation arises for quarterly declarations.
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According to the above regulation, the deadline for submitting Quarter 4 tax returns is the last day of the first month of the quarter following the quarter of tax obligation, meaning the deadline for Quarter 4 tax declarations is January 31, 2025 (coinciding with the 3rd day of Tet Spring At Ty 2025).
According to Article 86 of Circular 80/2021/TT-BTC regulation:
Deadline for submitting tax declaration documents and tax payment dates
The deadline for submitting tax declaration documents follows the provisions of Clauses 1, 2, 3, 4, 5, Article 44 of the Law on Tax Administration, and Article 10 of Decree No. 126/2020/ND-CP. The deadline for tax payment is according to Clauses 1, 2, 3 of Article 55 of the Law on Tax Administration and Article 18 of Decree No. 126/2020/ND-CP. If the deadline for submitting tax declaration documents, tax payment coincides with a holiday, the deadline is extended to the next working day according to the provisions of the Civil Code.
Thus, according to the above regulation, if the tax deadline for Quarter 4 falls on a holiday, it will be extended, and the tax payment deadline will be counted as the next working day following the holiday (which is February 3, 2025).
Note: Electronic tax declaration and payment can be done 24 hours a day and 7 days a week, including weekends, holidays, and Tet in accordance with Article 8 of Circular 19/2021/TT-BTC
Vietnam: May quarterly tax returns for Quarter 4 be extended and submitted after the Tet holiday? (Image from the Internet)
What are the administrative penalties for late submission of the 2024 Quarter 4 tax return in Vietnam?
Based on Article 13 of Decree 125/2020/ND-CP on penalties for late submission of tax returns as follows:
- Warning for late filing of tax declarations from 1 to 5 days, in case of mitigating circumstances.
- Fine from VND 2,000,000 to VND 5,000,000 for late submission of tax declarations from 1 to 30 days.
- Fine from VND 5,000,000 to VND 8,000,000 for late submission of tax declarations from 31 to 60 days.
- Fine from VND 8,000,000 to VND 15,000,000 for one of the following acts:
+ Submitting tax declarations late from 61 to 90 days;
+ Submitting tax declarations late from 91 days or more but no tax is due;
+ Not submitting tax declarations but no tax is due;
+ Not submitting annexes under tax management regulations for linked enterprises with tax corporate income tax settlement dossiers.
- Fine from VND 15,000,000 to VND 25,000,000 for submitting tax returns more than 90 days late from the deadline, with outstanding tax due, and where the taxpayer has fully paid tax dues and late payment fees to the state budget before a tax inspection or audit decision by the tax authority or before the tax authority's preparation of the minutes on late submission of tax declarations according to Clause 11, Article 143 of the Law on Tax Administration 2019.
In case the fine imposed under this clause exceeds the tax arising in the tax declaration, the maximum fine shall be equal to the tax owed based on the tax declaration but not less than the average of the fine range provided in Clause 4, Article 13, Decree 125/2020/ND-CP.
Note: The fines mentioned above apply to organizations. Fines for individuals with the same violations are equal to 1/2 of the fines for organizations based on Clause 5, Article 5 of Decree 125/2020/ND-CP.
