What is the definition of tax? What are the regulations on e-transactions in taxation in Vietnam?

What is the definition of tax in Vietnam?

Under Article 3 of the Tax Administration Law 2019:

Article 3. Definitions

In this Law, the undermentioned terms shall be defined as follows:

1. “tax” means a compulsory amount payable to the state budget by organizations, households, household businesses, individuals as prescribed by tax laws.

2. Other amounts payable to the state budget collected by tax authorities include:

a) Fees and charges prescribed in the Law on Fees and charges;

b) Land levies payable to the state budget;

c) Rents for land and water surface;

d) Payment for the mining permit;

dd) Payment for the water resources exploitation permit;

e) Amounts payable to the state budget derived from revenue from sale of property on lands, transfer of land use rights as prescribed in the Law on Management and use of public property;

g) Fines for administrative tax offences and customs offences;

h) Late payment interest and other revenues as prescribed by law.

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Tax means a compulsory amount payable to the state budget by organizations, households, household businesses, individuals as prescribed by tax laws.

What is the definition of tax? What are the regulations on e-transactions in taxation in Vietnam? (Image from the Internet)

What are the regulations on e-transactions in taxation in Vietnam?

Under Article 8 of the Tax Administration Law 2019 , e-transactions in taxation are specified as follows:

- Taxpayers, tax authorities, state management agencies, organizations, individuals meeting requirements on e-transactions in taxation must carry out e-transactions with tax authorities as prescribed by the Tax Administration Law 2019 and provisions on e-transactions.

- Taxpayers who have carried out e-transactions in taxation shall not have to use another transaction method.

- When receiving, announcing results of settlement of tax administrative procedures to taxpayers who make e-transactions, tax authorities must confirm the completion of e-transactions to taxpayers, ensuring the rights of taxpayers as prescribed in Article 16 of the Tax Administration Law 2019.

- Taxpayers must comply with requirements from tax authorities announced via electronic notifications, decisions and documents in the same way as via physical notifications, decisions and documents.

- Electronic records used in e-transactions must have electronic signatures in accordance with provisions on e-transactions.

- Agencies and organizations whose electronic information is shared with tax authorities must use electronic records during transactions with tax authorities; use electronic records issued by tax authorities to settle administrative procedures for taxpayers and shall not request physical records from taxpayers.

- Tax authorities organizing electronic information systems shall have the responsibility to:

+ Provide guidelines, assist taxpayers, providers of e-transaction services in taxation, banks and relevant organizations in carrying out e-transactions in taxation;

+ Develop, manage, operate the electronic tax information receipt and processing system, ensuring security, safety, confidentiality and continuation;

+ Develop information sharing systems, provide information on amount of tax paid to the state budget, on electronic tax payments by taxpayers to relevant agencies, organizations, individuals so as to process administrative procedures for taxpayers as prescribed by law;

+ Update, manage, provide information on registration of electronic tax transactions of taxpayers; verify e-transactions between taxpayers collecting organizations so as to implement administration of tax and of revenues of the state budget;

+ Pocess administrative tax procedures electronically;

+ In case electronic records of taxpayers are already available in databases of tax authorities, tax authorities and tax officials shall use such data and must not request taxpayers to submit physical tax dossiers or tax payment records.

- The Minister of Finance shall specify documents and procedures for electronic tax transactions.

What are the regulations on the modernization of tax administration to conduct electronic transactions in Vietnam?

Under Article 11 of the Tax Administration Law 2019, modernizing tax administration to conduct electronic transactions is as follows:

- The State shall enable organizations and individuals to participate in the development of advanced technology and techniques with a view to applying modern methods of tax administration, carrying out e-transactions and electronic tax administration; boosting the development of payment services via commercial bank systems and other credit institutions in order to gradually limit cash transactions from taxpayers.

- Tax authorities shall build information technology systems according to the requirements on the modernization of tax administration, technical standards and data formats of electronic invoices, records and tax dossiers with an aim to carrying out e-transactions between taxpayers and tax authorities and between tax authorities and relevant authorities, organizations and/or individuals.