What are measures to ensure enforcement of decision on enforcement for administrative tax decisions in Vietnam? Who has the authority to issue decision on enforcement?

What are measures for assurance of implementation of decision on enforcement in Vietnam?

Based on Clause 1, Article 8 of Circular 215/2013/TT-BTC, the measures for assurance of implementation of decision on enforcement (abbreviated as measures to ensure the enforcement of decision on enforcement) are stipulated as follows:

- In the case where taxpayers owe taxes, fines, or late payment interest, and engage in activities like absconding or dispersing assets, the authorities authorized to issue decision on enforcement shall apply the appropriate coercive measures to ensure prompt tax debt recovery for the state budget as stipulated in Article 17 of Circular 215/2013/TT-BTC.

- If there is sufficient basis to determine that the current coercive measure being applied is unable to recover the owed taxes, fines, or late payment interest, the competent authority may terminate the current coercive decision and issue a decision to apply the subsequent coercive measure.

- If an organization or individual subjected to coercion resists execution of the coercive decision, despite attempts of advocacy, explanation, and persuasion without effect, the authority issuing the coercive decision has the right to mobilize forces and means to ensure the enforcement of coercion.

- If the coercive decision has been delivered to the coerced individual as per regulations but the individual has not complied or is evading execution, they will be placed under the category of not allowed to exit the country.

What are measures to ensure enforcement of decision on enforcement for administrative tax decisions in Vietnam? Who has the authority to issue decision on enforcement? (Image from the Internet)

Who has the authority to issue decision on enforcement in Vietnam?

According to Clause 1, Article 4 of Circular 215/2013/TT-BTC, it is stipulated as follows:

Authority to Issue decision on enforcement for the Execution of Administrative Tax Decisions (collectively referred to as decision on enforcement) and Allocation of Coercive Authority

1. The following individuals have the authority to issue decision on enforcement according to the coercive measures stipulated in Clause 1, Article 3 of this Circular and have the duty to organize the enforcement of the decisions they issue or issued by their subordinates:

a) The Director General of the General Department of Taxation, the Directors of Tax Departments, and the Heads of Tax Branches have the authority to issue decision on enforcement and apply the coercive measures stipulated in points a, b, c, d, and đ of Clause 1, Article 3 of this Circular.

b) The Chairpersons of district and provincial People's Committees have the authority to issue decision on enforcement to enforce decisions on administrative tax enforcement within their jurisdiction.

c) In cases where the violator is subject to coercive measures specified at point e, Clause 1, Article 3 of this Circular, the tax authorities shall prepare documents and materials to be submitted to the competent authorities issuing business certificates, enterprise registration certificates, establishment and operational licenses, or practice licenses for withdrawal.

2. Allocation of Coercive Authority

a) The Director General of the General Department of Taxation and the Directors of Tax Departments have the authority to issue decision on enforcement for: administrative tax decisions they issue; administrative tax decisions issued by subordinates lacking coercive authority or when subordinates authorized to issue decision on enforcement lack necessary resources or means, and have requested higher authorities to issue decision on enforcement.

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Thus, according to the above regulations, the individuals with authority to issue decision on enforcement for the execution of administrative tax decisions include:

- The Director General of the General Department of Taxation, the Directors of Tax Departments, and the Heads of Tax Branches have the authority to issue decision on enforcement and apply the coercive measures stipulated in points a, b, c, d, and đ of Clause 1, Article 3 Circular 215/2013/TT-BTC.

- Chairpersons of district and provincial People's Committees are authorized to issue decision on enforcement to enforce administrative tax violations within their jurisdiction.

- Competent authorities issuing business certificates, enterprise registration certificates, establishment and operational licenses, practice licenses to apply coercive measures as per point e, Clause 1, Article 3 Circular 215/2013/TT-BTC.

What is the time limit for implementation of decision on enforcement in Vietnam?

According to Clause 1, Article 9 of Circular 215/2013/TT-BTC, the time limit for implementation of decision on enforcement is defined as follows:

Time limit for implementation of decision on enforcement

1. The coercive decision is valid for enforcement for a period of 01 (one) year from the date specified in the coercive decision. The enforcement period is recorded in the coercive decision.

Specifically, decision on enforcement by the measure of withdrawing money from the account of the coerced party are valid for 30 (thirty) days from the date specified in the coercive decision. The enforcement period is recorded as 30 (thirty) days in the coercive decision.

2. During the period specified in Clause 1 of this Article, if the organization or individual subjected to coercive measures deliberately evades, delays, obstructs enforcement, or fails to fulfill their responsibilities, such as refusing receipt of the coercive decision or obstructing the tax authority from executing the coercive measures as regulated in Article 3 of this Circular, the enforcement period will be recalculated starting from the point these actions cease.

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Thus, the Time limit for implementation of decision on enforcement is 01 (one) year from the date specified in the coercive decision. Specifically, decision on enforcement by means of withdrawing money from the coerced party's account are valid for 30 (thirty) days from the date specified in the coercive decision.