What are regulations on the use of TIN for taxpayers, businesses, organizations, and individuals in Vietnam?

What is a Tax Identification Number (TIN) in Vietnam?

According to Article 3 of the Law on Tax Administration 2019:

Interpretation of Terms

In this Law, the following terms are understood as follows:

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4. The headquarters of a taxpayer is the location where the taxpayer conducts part or all of its business activities, including the main headquarters, branches, stores, production sites, places for storing goods, places for keeping assets used for production and business; residence or location where tax obligations arise.

5. A TIN is a sequence of 10 or 13 digits and other characters issued by the tax authority to the taxpayer for tax administration purposes.

6. A Tax Period is the time period used to determine the amount of tax payable to the state budget according to tax laws.

7. A Tax Declaration Form is a form prescribed by the Minister of Finance used by taxpayers to declare information to determine the payable tax amount.

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Accordingly, a TIN is a sequence of 10 or 13 digits and other characters issued by the tax authority to the taxpayer for tax administration purposes.

What are regulations on the use of TIN for taxpayers, businesses, organizations, and individuals in Vietnam? (Image from the Internet)

What are regulations on the use of TIN for taxpayers, businesses, organizations, and individuals in Vietnam?

According to Article 35 of the Law on Tax Administration 2019, the principles for using TINs are defined as follows:

- Taxpayers must record the issued TIN on invoices, documents, materials when conducting business transactions; opening deposit accounts at commercial banks and other credit institutions; declaring taxes, paying taxes, tax exemption, tax reduction, tax refund, non-collection of tax, registering customs declarations, and performing other tax-related transactions for all obligations payable to the state budget, even if the taxpayer operates in various localities.

- Taxpayers must provide their TIN to relevant authorities or organizations or record the TIN in files when performing administrative procedures according to the one-stop shop mechanism with the tax management authority.

- Tax management agencies, the State Treasury, commercial banks cooperating to collect the state budget, and organizations authorized by the tax agency to collect tax use the taxpayer's TIN in tax administration and collecting taxes into the state budget.

- Commercial banks and other credit institutions must record the TIN in account-opening documents and transaction documents through taxpayer accounts.

- Other organizations and individuals involved in tax administration use the issued taxpayer's TIN when providing information related to determining tax obligations.

- When a Vietnamese entity pays money to an organization or individual conducting cross-border business based on a digital intermediary platform not present in Vietnam, the issued TIN must be used for withholding and paying on their behalf.

- When the personal identification number is issued to the entire population, it will be used in place of the TIN.

What are regulations on the issuance of TINs in Vietnam?

According to clause 3 Article 30 of the Law on Tax Administration 2019, the issuance of TINs is regulated as follows:

- Enterprises, economic organizations, and other organizations are issued one unique TIN to use throughout their operation from taxpayer registration until the termination of the TIN's validity.

Taxpayers with branches, representative offices, or dependent units directly performing tax obligations are issued subsidiary TINs.

In the case that enterprises, organizations, branches, representative offices, or dependent units perform taxpayer registration under the one-stop shop mechanism along with business registration, cooperative registration, or business registration, the number on the business registration certificate, cooperative registration certificate, or business registration certificate serves simultaneously as the TIN;

- Individuals are issued one unique TIN to use throughout their lifetime. Dependents of individuals are issued TINs for income tax exemption for individuals. The TIN issued to a dependent also serves as the individual's TIN when the dependent incurs obligations to the state budget;

- Enterprises, organizations, and individuals with a liability to withhold and pay taxes on behalf of others are issued a substitute TIN to perform tax declaration and payment on behalf of the taxpayer;

- An issued TIN is not reused for another taxpayer;

- The TIN of enterprises, economic organizations, and other organizations remains unchanged after transformation, sale, gifting, donation, or inheritance;

- The TIN issued to households, business households, and individual businesses is the TIN issued to the individual representing the household, business household, or individual business.