What are the penalties for notification of changes in taxpayer registration content beyond 30 days without altering the taxpayer registration certificate in Vietnam?

What are the penalties for notification of changes in taxpayer registration content beyond 30 days without altering the taxpayer registration certificate in Vietnam?

Pursuant to Clause 1, Article 11 of Decree 125/2020/ND-CP, the regulations are as follows:

Penalties for violations regarding the deadline for notifying changes in taxpayer registration information

1. A warning is imposed for the following acts:

a) Notifying changes in the taxpayer registration content beyond the prescribed deadline from 01 to 30 days without altering the taxpayer registration certificate or tax identification number notification, with extenuating circumstances;

b) Notifying changes in the taxpayer registration content beyond the prescribed deadline from 01 to 10 days altering the taxpayer registration certificate or tax identification number notification, with extenuating circumstances.

2. A fine ranging from 500,000 VND to 1,000,000 VND shall be imposed for failing to notify changes in the taxpayer registration content beyond the prescribed deadline from 01 to 30 days without altering the taxpayer registration certificate or tax identification number notification, except for cases penalized under Point a, Clause 1 of this Article.

3. A fine ranging from 1,000,000 VND to 3,000,000 VND shall be imposed for the following actions:

a) Notifying changes in the taxpayer registration content beyond the prescribed deadline from 31 to 90 days without altering the taxpayer registration certificate or tax identification number notification;

b) Notifying changes in the taxpayer registration content beyond the prescribed deadline from 01 to 30 days altering the taxpayer registration certificate or tax identification number notification, excluding the case stated at Point b, Clause 1 of this Article.

4. A fine ranging from 3,000,000 VND to 5,000,000 VND shall be imposed for the following actions:

a) Notifying changes in the taxpayer registration content beyond the prescribed deadline from 91 days or more without altering the taxpayer registration certificate or tax identification number notification;

b) Notifying changes in the taxpayer registration content beyond the prescribed deadline from 31 to 90 days altering the taxpayer registration certificate or tax identification number notification.

5. A fine ranging from 5,000,000 VND to 7,000,000 VND shall be imposed for the following actions:

a) Notifying changes in the taxpayer registration content beyond the prescribed deadline from 91 days or more altering the taxpayer registration certificate or tax identification number notification;

b) Failing to notify changes in the information in the taxpayer registration dossier.

6. The provision of this Article does not apply to the following cases:

a) Non-business individuals who have been issued a personal income tax identification number being late in changing information about their identity card when granted a citizen identification card;

b) Income-paying organizations being late in notifying changes in identity card information when the personal income taxpayer is an individual authorizing finalization of personal income tax who has been issued a citizen identification card;

c) Notifying changes in information on taxpayer registration dossiers regarding the taxpayer’s address beyond the prescribed deadline due to administrative geographical adjustments pursuant to a Resolution of the Standing Committee of the National Assembly or a Resolution of the National Assembly.

7. Remedial measures: An obligation to submit taxpayer registration changes for actions stipulated at Point b, Clause 5 of this Article.

Accordingly, based on the above regulation, a taxpayer who notifies changes in taxpayer registration content beyond 30 days without altering the taxpayer registration certificate will be penalized with a warning.

*Note: According to Clause 4, Article 7 of Decree 125/2020/ND-CP, the monetary fines specified are applicable to organizations. In cases of individual violations, the fine will be half of that applicable to organizations.

What are the penalties for notification of changes in taxpayer registration content beyond 30 days without altering the taxpayer registration certificate in Vietnam? (Image from the Internet)

Shall a taxpayer directly changing taxpayer registration information notify the tax authorities in Vietnam?

According to Article 36 of the Law on Tax Administration 2019, the notification of changes in taxpayer registration information is regulated as follows:

- Taxpayers who have registered taxpayer registration along with enterprise registration, cooperative registration, or business registration must notify changes in taxpayer registration information concurrently with changes in enterprise registration, cooperative registration, or business registration as stipulated by law.

In cases where a taxpayer changes the address of the headquarters leading to changes in the managing tax authority, the taxpayer must complete the tax procedures with the directly managing tax authority as prescribed by the Law on Tax Administration 2019 before registering changes with the enterprise registration agency, cooperative registration agency, or business registration agency.

- Taxpayers who register taxpayer information directly with the tax authorities must notify the directly managing tax authority within 10 working days from the date the change in information arises.

- In cases where an individual authorizes the income-paying organization or individual to register changes in taxpayer registration information for themselves and their dependents, they must notify the income-paying organization or individual no later than 10 working days from the date the change in information arises; the income-paying organization or individual is responsible for notifying the tax authorities no later than 10 working days from the date they receive the individual’s authorization.

What is the time limit for execution of a penalty decision regarding the deadline for notifying changes in taxpayer registration information in Vietnam?

Pursuant to Article 40 of Decree 125/2020/ND-CP, the regulations are as follows:

Time limit for execution of decisions on administrative penalties for taxes, invoices

1. The statute of limitations for enforcing an administrative penalty decision regarding taxes and invoices is 01 year from the date of issuing the penalty decision. If the tax authority does not deliver or send the penalty decision to the violating organization or individual within this period as provided in Article 39 of this Decree, the penalty decision will not be enforced.

If the penalty decision includes remedial measures, these will still be applied.

2. If the person or organization penalized deliberately evades or delays, the statute of limitations for enforcing the penalty decision is calculated from the time the evasion or delay ends.

3. If the tax authority has delivered or sent the administrative penalty decision to the violating organization or individual according to Article 39 of this Decree, but the person or organization penalized has not yet paid or has not fully paid the penalty, tax arrears, or late payment interest, the tax authority must monitor the unpaid amounts in the tax management system and apply tax debt coercion measures pursuant to regulations to collect the full amount into the state budget.

Accordingly, the statute of limitations for enforcing a penalty decision regarding the deadline for notifying changes in taxpayer registration information is 01 year from the date of issuing the penalty decision.

*Note: If the penalty decision includes remedial measures, they will still apply.

Additionally, if the penalized person or organization deliberately evades or delays, the statute of limitations for enforcing the penalty decision is calculated from the time the evasion or delay ends.