What is the deadline for submitting the VAT return in Vietnam for October 2024?

What is the deadline for submitting the VAT return in Vietnam for October 2024?

Based on Clause 1, Article 8 of Decree 126/2020/ND-CP which stipulates as follows:

Types of taxes declared monthly, quarterly, annually, separately, and tax settlement declaration

1. Types of taxes and other collections belonging to the state budget managed and collected by tax administration agencies that are declared monthly include:

a) Value-added tax, personal income tax. In cases where taxpayers meet the criteria specified in Article 9 of this Decree, they may choose to declare quarterly.

b) Special consumption tax.

c) Environmental protection tax.

d) Natural resource tax, except for natural resource tax specified at point e of this clause.

...

Additionally, based on Article 44 of the 2019 Law on Tax Administration which regulates the deadline for submitting tax returns as follows:

- The deadline for submitting tax returns for taxes declared monthly or quarterly is stipulated as follows:

+ No later than the 20th day of the subsequent month of the tax obligation occurrence for monthly declaration and payment;

+ No later than the last day of the first month of the subsequent quarter of the tax obligation occurrence for quarterly declaration and payment.

- The deadline for submitting tax returns for taxes with an annual tax period is stipulated as follows:

+ No later than the last day of the third month since the end of the calendar year or fiscal year for annual tax settlement; no later than the last day of the first month of the calendar year or fiscal year for annual tax return;

+ No later than the last day of the fourth month since the end of the calendar year for individual income tax settlement declarations for individuals directly settling tax;

+ No later than December 15 of the preceding year for tax return dossiers of presumptive tax for households, business individuals taxed under the presumptive method; in the case of new businesses, the deadline is no later than 10 days from the start of business.

- The deadline for submitting tax returns for taxes declared and paid separately is no later than the 10th day from the occurrence of the tax obligation.

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

- In the case of taxpayers declaring taxes through electronic transactions on the last day of the deadline for submission, if the electronic portal of the tax agency encounters an error, taxpayers submit the tax return and electronic payment documents on the following day after the tax agency's electronic portal resumes operation.

Thus, it can be seen that the deadline for submitting the value-added tax return for the tax period of October 2024 is November 20, 2024.

What is the deadline for submitting the VAT declaration in Vietnam for October 2024? (Image from the Internet)

What are the fines for late submission of tax returns in Vietnam?

Based on the provisions of Article 13 of Decree 125/2020/ND-CP, the fines for late tax returns are as follows:

(1) A warning is imposed for late submission of tax returns from 01 day to 05 days, with mitigating circumstances.

(2) A fine from 2,000,000 VND to 5,000,000 VND for late submission of tax returns from 01 day to 30 days, except for cases specified in paragraph 1, Article 13 of Decree 125/2020/ND-CP.

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

(4) A fine from 8,000,000 VND to 15,000,000 VND for one of the following actions:

- Late submission of tax returns from 61 days to 90 days;

- Late submission of tax returns from 91 days or more without any tax payable;

- Non-submission of tax returns but no tax payable;

- Non-submission of appendices required for tax management of businesses with related party transactions accompanying corporate income tax settlement.

(5) A fine from 15,000,000 VND to 25,000,000 VND for late submission of tax returns beyond 90 days after the deadline with tax payable and the taxpayer has fully paid the tax amount and late payment interest to the state budget before the tax authority announces the tax inspection or audit decision or before the tax authority issues a minute on late submission of tax returns according to Clause 11, Article 143 of the 2019 Law on Tax Administration.

Note: The fines above apply to organizations. The penalty for individuals is 1/2 of the organization’s penalty. For taxpayers who are households or business households, the same fine as individuals apply.

Additionally, based on Clause 6, Article 13 of Decree 125/2020/ND-CP, the measures to remedy the consequences of late submission are as follows:

- The obligation to pay all tax arrears into the state budget for violations stipulated in Clauses 1, 2, 3, 4, and 5 of Article 13 of Decree 125/2020/ND-CP where late submission led to late payment of taxes;

- The obligation to file tax returns, and appendices accompanying tax returns for violations specified at points c, d of Clause 4, Article 13 of Decree 125/2020/ND-CP.

Thus, depending on the extent of the delay, different administrative penalties apply. The lowest fine is from 2,000,000 VND to 25,000,000 VND.

What goods and services are subject to VAT in Vietnam?

Pursuant to Article 3 of the 2008 Value Added Tax Law, the goods and services subject to VAT are regulated as follows:

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

Thus, according to the above regulation, the aforementioned subjects are subject to tax, and other subjects not specified are not subject to tax.