What is the deadline for submission of monthly tax declaration in Vietnam?

What is the deadline for submission of monthly tax declaration in Vietnam?

According to Clause 1, Article 44 of the Law on Tax Administration 2019, the deadline for submitting tax declaration is regulated as follows:

Deadline for submitting tax declaration

1. The deadline for submitting tax declaration for monthly or quarterly declaration taxes is stipulated as follows:

a) No later than the 20th day of the following month for taxes declared and paid monthly;

b) No later than the last day of the first month of the following quarter for taxes declared and paid quarterly.

2. The deadline for submitting tax declaration for taxes calculated annually is regulated as follows:

a) No later than the last day of the third month from the end of the calendar year or fiscal year for annual tax finalization returns; no later than the last day of the first month of the calendar year or fiscal year for annual tax declaration;

b) No later than the last day of the fourth month from the end of the calendar year for individual income tax finalization returns for individuals who directly finalize tax;

c) No later than December 15 of the prior year for presumptive tax declaration of business households and business individuals paying tax by the estimated method; for new business households or business individuals, the deadline for submitting presumptive tax declaration is no later than 10 days from the starting date of business.

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Thus, the latest day to submit monthly tax declaration is the 20th day of the following month.

What is the deadline for submission of monthly tax declaration in Vietnam? (Image from the Internet)

What is the fine for late submission of tax declaration in Vietnam?

According to Article 13 of Decree 125/2020/ND-CP stipulating penalties for violations of tax return submission deadlines:

[1] A warning will be issued for late submission of tax declaration from 1 to 5 days with mitigating circumstances.

[2] A fine ranging from VND 2,000,000 to VND 5,000,000 will be imposed for late submission of tax declaration from 1 to 30 days, except as specified in Clause 1, Article 13 of Decree 125/2020/ND-CP.

[3] A fine ranging from VND 5,000,000 to VND 8,000,000 will be imposed for late submission of tax declaration from 31 to 60 days.

[4] A fine ranging from VND 8,000,000 to VND 15,000,000 will be imposed for one of the following:

- Late submission of tax declaration from 61 to 90 days.

- Late submission of tax declaration over 91 days but without tax payable.

- Failure to submit tax declaration but without tax payable.

- Failure to submit appendices according to tax management regulations for businesses with linked transactions accompanying corporate income tax finalization returns.

[5] A fine ranging from VND 15,000,000 to VND 25,000,000 will be imposed for late submission of tax declaration over 90 days from the due date, with tax payable, and the taxpayer has paid the full amount of tax and late payment to the state budget before the tax authority issues a tax inspection decision or before the tax authority records the late submission as specified in Clause 11, Article 143 of the Law on Tax Administration 2019.

[6] Remedial measures:

- Must pay the full amount of late payment to the state budget for the violations specified in Clauses 1, 2, 3, 4, and 5 of this Article where the taxpayer's late submission of tax declaration leads to late payment of tax.

- Must submit tax declaration, appendices accompanying tax declaration for violations specified at points c and d, Clause 4, Article 13 of Decree 125/2020/ND-CP.

Note: The above fine levels apply to organizations. The fine levels for individuals are 1/2 of those for organizations.

Thus, based on the regulations above, the penalty will depend on the number of days the tax return is late.

What are the 6 cases where tax declaration are not required in Vietnam?

Cases where taxpayers are not required to submit tax declaration as stipulated in Clause 3, Article 7 of Decree 126/2020/ND-CP as amended by Decree 91/2022/ND-CP are as follows:

(1) Taxpayers only have activities or businesses under categories not subject to tax according to tax laws for each type of tax.

(2) Individuals with income exempt from tax according to personal income tax laws and as specified at point b, Clause 2, Article 79 of the Law on Tax Administration 2019, except individuals receiving inheritance, gifts of real estate; or transferring real estate.

At point b, Clause 2, Article 79 of the Law on Tax Administration 2019 stipulates tax exemption for cases where:

Individuals have an annual tax payable after finalization from wages and salaries of 50,000 VND or less.

(3) Export processing enterprises with only export activities are not required to submit value-added tax declaration.

(4) Taxpayers temporarily ceasing operations or business as stipulated in Article 4 of Decree 126/2020/ND-CP.

(5) Taxpayers submitting dossiers for termination of tax code validity, except for cessation of operations, termination of contracts, or reorganization of enterprises as stipulated in Clause 4, Article 44 of the Law on Tax Administration 2019.

In Clause 4, Article 44 of the Law on Tax Administration 2019:

The deadline for submitting tax declaration for cessation of operations, termination of contracts, or reorganization of enterprises is no later than 45 days from the date of the event.

(6) Personal income tax declarants who are organizations or individuals paying income and are subject to monthly or quarterly personal income tax declaration where no tax withholding occurs in that month or quarter.