What forms are used for environmental protection tax declaration in Vietnam?

What forms are used for environmental protection tax declaration in Vietnam?

According to Section 5 Appendix 2 of Circular 80/2021/TT-BTC, the forms for environmental protection tax declaration include:

- Form 01/TBVMT: Environmental Protection Tax Return. Download

- Form 01-1/TBVMT: Appendix determining the payable environmental protection tax for coal. Download

- Form 01-2/TBVMT: Appendix distributing the payable environmental protection tax for petrol and oil. Download

What forms are used for environmental protection tax declaration in Vietnam? (Image from Internet)

What are methods of distributing environmental protection tax in Vietnam?

According to Clause 2 Article 16 of Circular 80/2021/TT-BTC, the methods of distributing environmental protection tax are as follows:

- distribution of environmental protection tax payable for petrol and oil:

The environmental protection tax payable for each province where the dependent unit is located is equal to (=) the total environmental protection tax distributed for each province of petrol and oil products.

The environmental protection tax payable for each province for each petrol and oil product = the environmental protection tax payable for each product on the tax return multiplied (x) by the percentage (%) of the volume of each product sold by the dependent unit and subject to environmental protection tax declaration and calculation on the total volume of each product sold by the taxpayer.

- distribution of environmental protection tax payable for domestically mined and consumed coal:

The environmental protection tax payable for each province where coal mining companies are headquartered is determined by the following formula:

The percentage (%) of domestic coal consumption in the period = Volume of domestic coal consumption in the period / Total volume of coal consumption in the period

How to declare and pay environmental protection tax in Vietnam?

According to Clause 3 Article 16 of Circular 80/2021/TT-BTC, the declaration and payment of environmental protection tax are regulated as follows:

- For petrol and oil:

Dependent units of prime traders or subsidiaries of prime traders operating in different provinces than the prime traders' or subsidiaries' headquarters, without separate accounting for environmental protection tax, the prime traders or subsidiaries must declare environmental protection tax and submit the tax return using Form 01/TBVMT, the appendix distributing the payable environmental protection tax for localities where revenue is sourced from petrol and oil according to Form 01-2/TBVMT issued with Appendix II of Circular 80/2021/TT-BTC to the directly managing tax authority; and pay the distributed tax amount to the province where the dependent unit is headquartered as prescribed in Clause 4 Article 12 of Circular 80/2021/TT-BTC.

- For domestic mining and consumption of coal:

Enterprises engaged in domestic coal mining and consumption through management and delegation to subsidiaries or dependent units for mining, processing, and consumption must declare tax for all arising environmental protection tax for mined coal and submit the tax return using Form 01/TBVMT, the appendix determining the payable environmental protection tax for localities where revenue is sourced from coal according to Form 01-1/TBVMT issued with Appendix II of Circular 80/2021/TT-BTC to the directly managing tax authority; and pay the distributed tax amount to the province where the coal mining company is headquartered as prescribed in Clause 4 Article 12 of Circular 80/2021/TT-BTC.

What are subject to environmental protection tax in Vietnam?

According to the provisions of Article 3 of the Law on Environmental Protection Tax 2010, subjects to environmental protection tax include:

- Petrol, oil, and lubricants, including:

+ Petrol, excluding ethanol;

+ Jet fuel;

+ Diesel oil;

+ Kerosene;

+ Mazut oil;

+ Lubricating oil;

+ Lubricating grease.

Petrol, oil, and lubricants are fossil fuel-based products sold in Vietnam, excluding bio-products (such as ethanol, vegetable oil, animal fat...).

For mixed fuels containing biofuels and fossil fuel-based petrol and oil, environmental protection tax is only calculated on the fossil fuel-based portion.

- Coal, including:

+ Brown coal;

+ Anthracite (anthraxite) coal;

+ Bituminous coal;

+ Other types of coal.

- Hydro-chloro-fluoro-carbon (HCFC) solution is a group of substances that deplete the ozone layer, used as cooling agents in refrigeration equipment and in the semiconductor industry, domestically produced or imported separately or contained in imported refrigeration equipment.

- Plastic bags subject to tax.

- Herbicides restricted from use.

- Termite pesticides restricted from use.

- Wood preservatives restricted from use.

- Warehouse disinfectants restricted from use.

- In case it is necessary to supplement other taxable subjects to suit each period, the National Assembly Standing Committee shall consider and prescribe.