What are the contents of certificate of personal income tax withholding in Vietnam?

What are the contents of a certificate of personal income tax withholding in Vietnam?

Pursuant to Article 30 of Decree 123/2020/ND-CP, the regulations are as follows:

Type of Certificate

1. Certificates in the field of tax, fees, and charges management by tax authorities include:

a) Certificate of personal income tax withholding;

b) Receipts including:

b.1) Receipts for tax, fees, and charges not pre-printed with the value;

b.2) Receipts for tax, fees, and charges pre-printed with the value;

b.3) Receipts for tax, fees, and charges.

2. In the process of managing taxes, fees, and charges according to the provisions of the Law on Tax Administration, if other types of certificates are required, the Minister of Finance is responsible for regulating and guiding implementation.

Certificate of personal income tax withholding are one of the types of certificates in the field of tax, fee, and charge management by tax authorities.

Pursuant to Clause 1, Article 32 of Decree 123/2020/ND-CP, the personal income tax withholding certificate includes the following contents:

- Name of the tax withholding certificate, code of the tax withholding certificate form, code of the tax withholding certificate, sequence number of the tax withholding certificate;

- Name, address, tax identification number of the payer;

- Name, address, tax identification number of the taxpayer (if the taxpayer has a tax identification number);

- Nationality (in case the taxpayer does not have Vietnamese nationality);

- Income amount, time of income payment, total taxable income, tax amount withheld; remaining income to be received;

- Date, month, year of issuing the tax withholding certificate;

- Full name, signature of the income payer.

If using an electronic tax withholding certificate, the signature on the electronic certificate must be a digital signature.

What are the contents of a certificate of personal income tax withholding in Vietnam? (Image from the Internet)

What is the format of an e-certificate of personal income tax withholding in Vietnam?

Pursuant to Article 33 of Decree 123/2020/ND-CP, the regulations are as follows:

Format of Electronic Certificates

1. Format of electronic receipts:

The types of receipts stipulated in point b clause 1 article 30 of this decree must be formatted as follows:

a) The format of electronic receipts uses the XML (eXtensible Markup Language) format designed to share electronic data between information technology systems;

b) The format of electronic receipts includes two components: the component containing the business data of the electronic receipt and the component containing the digital signature data;

c) The General Department of Taxation shall develop and publish the component containing the business data of the electronic receipt, the component containing the digital signature data, and provide the tool to display the contents of the electronic receipt as regulated in this decree.

2. Format of electronic certificate of personal income tax withholding:

Organizations withholding personal income tax using electronic certificates according to regulations in point a clause 1 article 30 of this decree must develop their software system to use electronic certificates ensuring the mandatory contents as regulated in clause 1 article 32 of this decree.

3. Electronic certificates, electronic receipts must fully and accurately display the contents of the certificates ensuring no misunderstanding, so users can read them by electronic means.

The format of electronic certificate of personal income tax withholding is as follows:

Organizations withholding personal income tax using electronic certificate of personal income tax withholding must develop their software system to use electronic certificates ensuring the mandatory contents of certificate of personal income tax withholding.

Vietnam: How to issue certificate of personal income tax withholding for employees with employment contracts of less than 3 months?

According to Clause 2, Article 4 of Decree 123/2020/ND-CP, the regulation is as follows:

Principles of issuing, managing, and using invoices and certificates

1. When selling goods or providing services, the seller must issue an invoice to deliver to the buyer (including cases of goods and services used for promotion, advertising, samples; goods and services used for giving, gifting, exchanging, paying in place of salary to employees, and internal consumption (except for goods internally circulated for continued production); exporting goods under forms of lending, borrowing, or returning goods) and must record all contents as stipulated in Article 10 of this decree. If using an electronic invoice, it must follow the data format standards of the tax authority as stipulated in Article 12 of this decree.

2. When withholding personal income tax, when collecting tax, fees, and charges, organizations withholding tax, organizations collecting fees, charges, and tax must issue a personal income tax withholding certificate, tax receipt, fee, and charge receipt delivered to the income earner subject to tax withholding, taxpayer, fee payer, and must record all contents as stipulated in Article 32 of this decree. If using electronic receipts, the data format must follow the standard of the tax authority. If an individual authorizes a tax settlement, no personal income tax withholding certificate will be issued.

For individuals not signing a employment contract or signing a employment contract for less than 03 months, the organization, individual paying income can choose to issue a tax withholding certificate for each time of tax withholding or issue one withholding certificate for multiple times of tax withholding in one tax period. For individuals signing a employment contract for 03 months or more, the organization, individual paying income issues only one personal income tax withholding certificate in one tax period.

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For individuals signing a employment contract for less than 03 months, the organization, individual paying income can choose to issue a tax withholding certificate for each time of tax withholding or issue one withholding certificate for multiple times of tax withholding in one tax period.