What is the determination of tax payment date in Vietnam?

What are the places and methods for paying taxes in Vietnam?

According to Article 56 of the Tax Administration Law 2019 on the places and methods for paying taxes:

Receiving authorities

1. Taxpayers shall pay tax:

a) at State Treasuries;

b) At the tax authorities that receive the tax declaration dossiers;

c) via a organization authorized by the tax authority to collect tax; or

d) via a commercial bank or credit institution or service provider as prescribed by law.

2. State Treasuries, commercial banks, credit institutions and service providers shall prepare their premises, equipment and personnel to collect tax.

3. Every organization that collects or deduct tax shall provide tax payment documents to taxpayers.

4. Within 08 working hours from the tax collection, the collecting organization shall transfer the collected tax to state budget. The Minister of Finance shall specify the time limit for transfer of tax collected in cash in remote and isolated areas, islands, areas where travel is difficult or collection time is limited.

Thus, taxpayers may pay taxes directly at the State Treasury, at tax authorities that receive the tax declaration dossiers, or through an organization authorized by the tax administration office to collect taxes.

Additionally, taxes can be paid through commercial banks, other credit institutions, and service providers as prescribed by law.

How is the dthe determination of tax payment date? (Image from the Internet)

What is the determination of tax payment date in Vietnam?

Under Article 58 of the Tax Administration Law 2019 on the determination of the tax payment date:

Determination of tax payment date

1. In case of non-cash payment of tax, the tax payment date is the date on which the State Treasury, commercial bank, credit institution or service provider extracts the tax from the taxpayer’s account or the authorized person’s account and written on the tax payment document.

2. In case of payment of tax in cash, the tax payment date is the date on which the State Treasury, tax authority or authorized collecting organization issues the tax payment document.

Thus, the tax payment date is determined for non-cash payment and payment of tax in cash:

- In case of non-cash payment of tax, the tax payment date is the date on which the State Treasury, commercial bank, credit institution or service provider extracts the tax from the taxpayer’s account or the authorized person’s account and written on the tax payment document.

- In case of payment of tax in cash, the tax payment date is the date on which the State Treasury, tax authority or authorized collecting organization issues the tax payment document.

What are the cases of tax deferral in Vietnam?

Pursuant to Article 62 of the Tax Administration Law 2019 on tax deferral:

Tax deferral

1. A taxpayer may apply for tax deferral in one of the following cases:

a) The taxpayer’s business suffers damage due to a force majeure events specified in Clause 27 Article 3 of this Law;

b) The taxpayer has to relocate the business location as requested by a competent authority and such relocation affects the business performance.

2. A taxpayer eligible for tax deferral mentioned in Clause 1 of this Article may have part or all of the tax deferred.

3. Tax may be deferred:

a) For up to 02 years in the cases specified in Point a Clause 1 of this Article;

b) For up to 01 year in the cases specified in Point b Clause 1 of this Article.

4. The taxpayer will not incur fines and late payment interest on the outstanding tax during the deferral period.

5. In consideration of the application for tax deferral, the head of the tax authority shall decide the amount of tax deferred and the deferral period.

Thus, according to the above regulations, a taxpayer may apply for tax deferral in one of the following cases:

- The taxpayer’s business suffers damage due to force majeure events specified in Clause 27 Article 3 of Tax Administration Law 2019;

- The taxpayer has to relocate the business location as requested by a competent authority and such relocation affects the business performance.

Note: Ihe taxpayer will not incur fines and late payment interest on the outstanding tax during the deferral period.