What are the tasks of tax accounting activities in Vietnam?

What is tax accounting activities in Vietnam?

Based on the provisions of Article 6 Circular 111/2021/TT-BTC, tax accounting activities in Vietnam is one of the tax management functions of the tax authority at different levels. It is implemented continuously and systematically according to tax management procedures on the Tax Management Application System, which includes the Tax Accounting Subsystem.

What are the tasks of tax accounting activities in Vietnam?

Based on the provisions of Article 6 Circular 111/2021/TT-BTC, tax accounting activities in Vietnam includes the following tasks:

[1] Collecting tax accounting input information, preparing tax accounting documents

- Collecting tax accounting input information is an activity of tax accounting, conducted automatically by the Tax Accounting Subsystem connected with the Taxpayer Obligation Management Subsystem as stipulated in Articles 12, 13, 14, and 15 Circular 111/2021/TT-BTC, to fully determine the accounting entries of each tax accounting account.

- In cases where tax accounting records are not made through the process of collecting input information by the Tax Accounting Subsystem, the tax accounting official prepares tax accounting documents according to the provisions of Article 16 Circular 111/2021/TT-BTC.

[2] Tax accounting books are recorded automatically by the Tax Accounting Subsystem to document tax accounting input information and tax accounting documents as per Clause 1, Article 6 Circular 111/2021/TT-BTC. This includes opening, recording, closing, and correcting tax accounting books according to the regulations in Section 3, Chapter II Circular 111/2021/TT-BTC.

[3] Preparing tax accounting reports is done automatically by the Tax Accounting Subsystem or by tax accounting officials to summarize the results of tax management activities by tax authorities at different levels (including tax to be collected, collected, outstanding, refunded, to be refunded, exempted, reduced, deferred, or written off) as stipulated in Section 4, Chapter II Circular 111/2021/TT-BTC.

[4] Archiving and providing tax accounting information and documents as per the provisions of Article 9 Circular 111/2021/TT-BTC.

What are the tasks of tax accounting activities in Vietnam? (Image from Internet)

What duties must be ensured in tax accounting activities in Vietnam?

Based on Clause 2, Article 5 Circular 111/2021/TT-BTC, tax accounting activities in Vietnam must ensure the following duties:

- Collect input information for tax accounting, prepare tax accounting documents as stipulated in Section 1, Chapter II Circular 111/2021/TT-BTC to perform tax accounting.

- Reconcile and check the recorded data to ensure it matches the input information originating from the required tax management records related to tax accounting.

- In case errors are detected during the tax accounting process, the cause must be determined, and necessary actions must be taken as prescribed in Articles 14 and 16 Circular 111/2021/TT-BTC.

- Archive, manage, and provide tax accounting information and documents as per the provisions of Article 9 Circular 111/2021/TT-BTC.

- Provide tax accounting information and documents truthfully, fully, and promptly following legal accounting and tax management regulations.

- The tasks of tax accounting are performed automatically by the Tax Accounting Subsystem or by tax accounting officials based on their responsibilities, duties, and authority in the Tax Accounting Subsystem.

Additionally, tax management functional departments at the tax authorities at different levels, when carrying out tax management activities, must ensure the following obligations as per Clause 3, Article 5 Circular 111/2021/TT-BTC:

- Handle tax management records according to the tax management procedures issued by the Director General of the General Department of Taxation, ensuring the information is complete, accurate, and prompt.

- Control and process data of tax management records in the Tax Management Application System as per the regulations in the Control Responsibility for Data Processing on the Tax Management Application System issued by the Director General of the General Department of Taxation.

- Be accountable for the completeness, accuracy, and timeliness of the information provided for tax accounting input according to Article 12 Circular 111/2021/TT-BTC.

- Reconcile and review data of tax management records and tax management information with taxpayers to ensure completeness, accuracy, and timeliness.

- In case mistakes or adjustments in tax management records affecting tax accounting information are detected, they must be promptly handled and adjusted as per the regulations.