Vietnam: What does a corporate income tax (CIT) declaration include?

Vietnam: What does a corporate income tax (CIT) declaration include?

Pursuant to Law on Tax Administration 2019, Circular 80/2021/TT-BTC, the CIT declaration includes:

(1) Corporate income tax declaration for real estate transfer activities, corporate income tax declaration from the sale of the entire single-member limited liability company established by an organization as the owner in the form of capital transfer associated with real estate on an occurrence basis:

- Corporate income tax declaration form No. 02/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC applied to real estate transfer activities;

- Corporate income tax declaration form No. 06/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC applied to the sale of the entire single-member limited liability company established by an organization as the owner in the form of capital transfer associated with real estate.

(2) Corporate income tax declaration for taxpayers calculated as a percentage of revenue:

- declaration for each occurrence:

Corporate income tax declaration form No. 04/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

- Annual tax settlement declaration:

+ Corporate income tax declaration form No. 04/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Annual financial report or Financial report up to the time of dissolution, bankruptcy, termination of operation or reorganization according to the provisions of the Law on Accounting and the Law on Independent Audit (except for cases where financial reporting is not required).

(3) Corporate income tax declaration for foreign contractor capital transfer activities:

- Corporate income tax declaration form No. 05/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC;

- Copies of the transfer contract, copies of capital contribution certificates, original invoices of expenses (if any).

(4) Corporate income tax settlement declaration for taxpayers with dependent units and business locations in different provinces from the head office that enjoy CIT incentives including one or several tax incentive appendices (depending on the actual situation of the taxpayer) as follows:

- Tax incentive appendix for income from new investment projects, income of enterprises enjoying CIT incentives according to form No. 03-3A/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

- Tax incentive appendix for business establishments that expand scale, increase capacity, renew production technology (expanded investment projects) according to form No. 03-3B/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

- Tax incentive appendix for enterprises employing ethnic minority workers or enterprises engaged in production, construction, and transportation employing many female workers according to form No. 03-3C/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

- Tax incentive appendix for science and technology enterprises or enterprises transferring technology in prioritized fields according to form No. 03-3D/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

(5) Corporate income tax settlement declaration according to the revenue-expense method:

- Annual corporate income tax settlement declaration form (applied to revenue-expense method) according to form No. 03/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC

- Annual financial report or Financial report up to the time of dissolution, bankruptcy, termination of operation or reorganization according to the provisions of the Law on Accounting and the Law on Independent Audit (except for cases where financial reporting is not required);

- One or several appendices accompanying the declaration form (depending on the actual situation of the taxpayer) issued with Appendix 2 Circular 80/2021/TT-BTC:

+ Appendix of business results according to form No. 03-1A/TNDN or form No. 03-1B/TNDN or form No. 03-1C/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Loss carryforward appendix according to form No. 03-2/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Tax incentive appendix for income from new investment projects, income of enterprises enjoying CIT incentives according to form No. 03-3A/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Tax incentive appendix for business establishments that expand scale, increase capacity, renew production technology (expanded investment projects) according to form No. 03-3B/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Tax incentive appendix for enterprises employing ethnic minority workers or enterprises engaged in production, construction, and transportation employing many female workers according to form No. 03-3C/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Tax incentive appendix for science and technology enterprises or enterprises transferring technology in prioritized fields according to form No. 03-3D/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Appendix of corporate income tax paid abroad according to form No. 03-4/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Appendix of corporate income tax for real estate transfer activities according to form No. 03-5/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Appendix of science and technology fund appropriation report according to form No. 03-6/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Appendix of allocation table of corporate income tax payable to localities entitled to revenue sources for production establishments according to form 03-8/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Appendix of allocation table of corporate income tax payable to localities entitled to revenue sources for real estate transfer activities according to form 03-8A/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Appendix of allocation table of corporate income tax payable to localities entitled to revenue sources for hydropower generation activities according to form 03-8B/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Appendix of allocation table of corporate income tax payable to localities entitled to revenue sources for computerized lottery business activities according to form 03-8C/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

+ Appendix of the list of receipts of temporarily paid corporate income tax for real estate transfer activities according to the payment schedule yet to be handed over in the year according to form 03-9/TNDN issued with Appendix 2 Circular 80/2021/TT-BTC.

- In case enterprises have foreign investment projects, in addition to the above dossiers, enterprises must supplement: Copies of the foreign income tax declaration with the taxpayer’s confirmation; Copies of tax payment receipts abroad confirmed by the taxpayer or original receipts certified by the foreign tax authority regarding the paid tax or equivalent documents confirmed by the taxpayer.

Vietnam: What does a CIT declaration include? (Image from the Internet)

What is the deadline for submitting the CIT declaration in Vietnam?

Pursuant to point a, clause 2, clause 3, and clause 4 Article 44 Law on Tax Administration 2019, the deadlines for submitting the CIT declaration in 2024 are as follows:

- Deadline for submitting the declaration for each occurrence: No later than the 10th day from the date the tax obligation arises.

- Deadline for provisional quarterly tax payment: No later than the 30th day of the first month of the following quarter.

- Deadline for submitting the annual tax settlement declaration: No later than the last day of the third month from the end of the calendar year or fiscal year.

- For the settlement declaration up to the time of dissolution, bankruptcy, termination of operation, termination of contract, or reorganization (except for the conversion of enterprise type not including the equitization of state-owned enterprises where the converted enterprise inherits all tax obligations of the converted enterprise): No later than the 45th day, from the date of the dissolution, bankruptcy, termination of operation, or reorganization decision.

Vietnam: What if the deadline for submitting the tax declaration falls on a holiday?

Pursuant to Article 86 Circular 80/2021/TT-BTC, it is stipulated as follows:

Deadline for submitting the tax declaration and tax payment

The deadline for submitting the tax declaration is in accordance with 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 tax payment deadline is in accordance with clauses 1, 2, 3 Article 55 of the Law on Tax Administration and Article 18 of Decree No. 126/2020/ND-CP. If the deadline for submitting the tax declaration or tax payment falls on a holiday, the deadline is the next working day following the holiday under the provisions of the Civil Code.

Referring to clause 5 Article 148 of the Civil Code 2015 on the end of the term as follows:

End of the term

...

5. When the last day of the term falls on a weekend or public holiday, the term ends at the close of the next working day following the holiday.

If the deadline for submitting the tax declaration, tax payment falls on a holiday, then the deadline is the next working day following the holiday.

However, currently, most tax declarations are submitted online (electronic tax dossiers), therefore, according to the provisions of Article 8 Circular 19/2021/TT-BTC, it is stated as follows:

Determining the time of submitting electronic tax dossiers, electronic tax payment by taxpayers and the time the tax authority sends notifications, decisions, documents to taxpayers

1. Time of submitting electronic tax dossiers, electronic tax payment

a) Taxpayers can perform electronic tax transactions 24 hours a day (from 00:00:00 to 23:59:59) and 7 days a week, including weekends, holidays, and Tet. The time of submitting the dossiers is deemed to be during the day if the dossiers are successfully signed and sent between 00:00:00 and 23:59:59.

...

Thus, for electronic tax dossiers, the submission deadline still conforms to the deadline for submitting the tax declaration under Article 44 Law on Tax Administration 2019.