What are the penalties for late submission of VAT return for Q4 in Vietnam? What is the deadline for submitting the VAT return for Q4 in Vietnam?

What goods and services are subject to VAT in Vietnam?

Based on the provisions of Article 3 of the Law on Value-Added Tax 2008, the subjects liable for VAT are:

Goods and services used for production, business, and consumption in Vietnam are subject to value-added tax, except for the subjects specified in Article 5 of the Law on Value-Added Tax 2008.

What are the penalties for late submission of VAT return for Q4 in Vietnam? What is the deadline for submitting the VAT return for Q4 in Vietnam? (Image from the Internet)

What are the penalties for late submission of the VAT return for Q4 in Vietnam?

Based on the provisions of Article 13 of Decree 125/2020/ND-CP regarding late submission of tax returns, the monetary penalties are as follows:

(1) A warning for late submission of the tax return from 01 to 05 days with extenuating circumstances.

(2) A fine ranging from 2,000,000 VND to 5,000,000 VND for late submission of the tax return from 01 to 30 days, excluding cases specified in clause 1, Article 13 of Decree 125/2020/ND-CP.

(3) A fine ranging from 5,000,000 VND to 8,000,000 VND for late submission of the tax return from 31 to 60 days.

(4) A fine ranging from 8,000,000 VND to 15,000,000 VND for any of the following acts:

- Late submission of the tax return from 61 to 90 days;

- Late submission of the tax return from 91 days or more without incurring a payable tax amount;

- Non-submission of the tax return without incurring a payable tax amount;

- Non-submission of annexes as per regulations on tax management of enterprises with related-party transactions, along with the corporate income tax finalization dossier.

(5) A fine ranging from 15,000,000 VND to 25,000,000 VND for late submission of the tax return over 90 days from the deadline, with a payable tax amount, and the taxpayer has fully paid the tax amount and late payment interest into the state budget before the tax authority announces the tax inspection or audit decision or before the tax authority records the violation according to clause 11, Article 143 of the Law on Tax Administration 2019.

Note: The above fines are applicable to organizations. Fines for individuals are half of those for organizations. For taxpayers as households or individual businesses, fines are the same as those for individuals.

In addition, based on clause 6, Article 13 of Decree 125/2020/ND-CP, remedies for late submission of tax returns include:

- Ensuring the full payment of late payment interest into the state budget for violations specified in clauses 1, 2, 3, 4, and 5 of Article 13 of Decree 125/2020/ND-CP if the taxpayer's late tax return submission leads to late payment of tax;

- Ensuring submission of the tax return and accompanying annexes for the acts specified in points c and d, clause 4, Article 13 of Decree 125/2020/ND-CP.

Thus, according to the above regulations, late submission of the VAT return for Q4 is subject to different fines based on the delay, with a maximum of 25,000,000 VND for organizations.

What is the deadline for submitting the Q4 VAT return in Vietnam?

According to Article 44 of the Law on Tax Administration 2019, the deadline for submitting tax returns is regulated as follows:

Tax return submission deadline

1. The deadline for submitting tax returns for taxes declared monthly or quarterly is:

a) No later than the 20th day of the following month for monthly declarations;

b) No later than the last day of the first month of the following quarter for quarterly declarations.

2. The deadline for submitting tax returns for taxes calculated annually is:

a) No later than the last day of the third month after the end of the calendar year or fiscal year for annual tax finalization documents; no later than the last day of the first month of the new calendar year or fiscal year for annual tax declarations;

b) No later than the last day of the fourth month after the end of the calendar year for personal income tax finalization of individuals directly finalizing taxes;

c) No later than December 15 of the preceding year for fixed tax declarations of business households, individual businesses paying tax by the fixed method; for new businesses, the deadline is no later than 10 days from the start of the business.

3. The deadline for submitting tax returns for taxes declared and paid on a per occurrence basis is no later than the 10th day from the arising obligation.

4. The deadline for submitting tax returns in case of business cessation, contract termination, or business reorganization is no later than the 45th day from the event.

...

Thus, based on the above regulations, the deadline for submitting the Q4 tax return for the year 2024 is January 31, 2025. However, January 31, 2025, is a public holiday, so it will be moved to the next working day according to Article 86 of Circular 80/2021/TT-BTC, making the final deadline for submitting the Q4 tax return for 2024 February 3, 2025.