What is the imprisonment term for tax evasion in Vietnam?

What is the imprisonment term for tax evasion in Vietnam?

Based on Article 200 of the Criminal Code 2015 as amended by points a and b, Clause 47, Article 1 of the Law Amending the Criminal Code 2017 regarding tax evasion as follows:

Tax Evasion

1. Any person who commits one of the following acts to evade tax in an amount from 100,000,000 VND to less than 300,000,000 VND, or less than 100,000,000 VND but has been administratively sanctioned for tax evasion or has been convicted of this crime or one of the crimes stipulated in Articles 188, 189, 190, 191, 192, 193, 194, 195, 196, 202, 250, 251, 253, 254, 304, 305, 306, 309, and 311 of this Code, and has not had the conviction expunged, shall be fined from 100,000,000 VND to 500,000,000 VND or imprisoned for 03 months to 01 year:

a) Failing to submit the taxpayer registration dossier; failing to submit tax declaration dossiers; submitting tax declaration dossiers 90 days after the prescribed deadline or extended deadline;

b) Not recording in accounting books the income related to determining the tax payable;

c) Not issuing invoices when selling goods, services, or recording the invoice value less than the actual payment value;

d) Using illegal invoices and documents to account for the goods, raw materials in tax obligations, thereby reducing the payable tax amount or increasing the exempted, reduced, or deductible tax amount;

dd) Using other illegal documents and materials to wrongly determine the payable tax amount, refund amount;

e) Incorrectly declaring exported, imported goods without supplemental declarations after customs clearance;

g) Intentionally not declaring or declaring falsely about tax on exported, imported goods;

h) Colluding with senders to import goods;

i) Using tax-exempt goods for incorrect purposes without declaring the change of use purposes to the tax management authority.

2. Committing the crime in one of the following cases, the fine shall be from 500,000,000 VND to 1,500,000,000 VND or imprisonment from 01 year to 03 years:

a) Organized crime;

b) The tax evasion amount from 300,000,000 VND to less than 1,000,000,000 VND;

c) Abusing position and power;

d) Committing the crime 02 times or more;

đ) Recidivism with serious consequences.

3. Committing tax evasion with an amount of 1,000,000,000 VND or more, the fine shall be from 1,500,000,000 VND to 4,500,000,000 VND or imprisonment from 02 to 07 years:

4. The offenders may also be fined from 20,000,000 VND to 100,000,000 VND, be banned from holding certain positions, practicing certain professions, or performing certain jobs for 01 to 05 years or be subjected to partial or total asset confiscation.

5. Legal entities committing violations under this Article shall be fined as follows:

a) Committing acts stipulated in Clause 1 of this Article with a tax evasion amount from 200,000,000 VND to less than 300,000,000 VND, or from 100,000,000 VND to less than 200,000,000 VND but has been administratively sanctioned or convicted for this crime or one of the crimes stipulated in Articles 188 to 196 of this Code, and not having the conviction expunged, shall be fined from 300,000,000 VND to 1,000,000,000 VND;

b) Committing crime in cases stipulated in points a, b, d, and đ Clause 2 of this Article, shall be fined from 1,000,000,000 VND to 3,000,000,000 VND;

c) Committing crime under cases stipulated in Clause 3 of this Article, shall be fined from 3,000,000,000 VND to 10,000,000,000 VND or having business activities suspended from 06 months to 03 years;

d) Committing crime stipulated in Article 79 of this Code, shall be permanently suspended from activities;

dd) Legal entities may also be fined from 50,000,000 VND to 200,000,000 VND, banned from engaging in certain business activities, or mobilizing capital from 01 to 03 years.

Thus, depending on the nature and extent of the crime, the person committing tax evasion can be fined from 100,000,000 VND to 4,500,000,000 VND or imprisoned from 03 months to 07 years. Additionally, offenders may also be banned from holding certain positions, practicing certain professions, performing certain jobs from 01 to 05 years, or having partial or total asset confiscation.

For legal entities committing the crime, depending on the case, fines range from 300,000,000 VND to 10,000,000,000 VND; activities may be suspended from 06 months to 03 years or permanently; banned from engaging in certain business activities or mobilizing capital from 01 to 03 years.

How long is the imprisonment term for tax evasion in Vietnam? (Image from the Internet)

What is the time limit for criminal prosecution for tax evasion in Vietnam?

Based on Article 27 of the Criminal Code 2015 which stipulates the time limit for criminal prosecution as follows:

time limit for criminal prosecution

1. The time limit for criminal prosecution is the period prescribed by this Code after which the offender shall not be prosecuted for criminal liability.

2. The time limit for criminal prosecution is regulated as follows:

a) 05 years for less serious crimes;

b) 10 years for serious crimes;

c) 15 years for very serious crimes;

d) 20 years for particularly serious crimes.

3. The time limit for criminal prosecution is counted from the date the crime is committed. If during the period specified in Clause 2 of this Article, the offender commits a new crime for which this Code prescribes a maximum penalty of more than 01 year of imprisonment, the time limit for the previous crime shall be recalculated from the date of commission of the new crime.

If during the period specified in Clause 2 of this Article, the offender intentionally evades and an arrest warrant is issued, the time limit shall be recalculated from the date the offender intentionally surrenders or is arrested.

And based on Article 9 of the Criminal Code 2015 as amended by Clause 2, Article 1 of the Law Amending the Criminal Code 2017 which stipulates the classification of crimes as follows:

Classification of Crimes

1. Based on the nature and extent of danger to society of the criminal act specified in this Code, crimes are classified into 04 types as follows:

a) Less serious crimes are crimes where the nature and extent of danger to society are not great and the highest penalty prescribed by this Code for such crimes is a fine, non-custodial reform, or imprisonment of up to 03 years;

b) Serious crimes are crimes where the nature and extent of danger to society are great and the highest penalty prescribed by this Code for such crimes is from over 03 years to 07 years of imprisonment;

c) Very serious crimes are crimes where the nature and extent of danger to society are very great and the highest penalty prescribed by this Code for such crimes is from over 07 years to 15 years of imprisonment;

d) Particularly serious crimes are crimes where the nature and extent of danger to society are particularly great and the highest penalty prescribed by this Code for such crimes is from over 15 years to 20 years of imprisonment, life imprisonment, or death penalty.

2. Crimes committed by legal entities are classified based on the nature and extent of danger to society as specified in Clause 1 of this Article and corresponding regulations on crimes specified in Article 76 of this Code.

The highest penalty for tax evasion is 07 years of imprisonment, thus, tax evasion is classified as a serious crime.

Therefore, the time limit for criminal prosecution for tax evasion is 10 years.

Will a pregnant person convicted of tax evasion serve imprisonment in Vietnam?

Based on Article 67 of the Criminal Code 2015 provides as follows:

Postponement of Imprisonment Sentence

1. A person sentenced to imprisonment may have the sentence postponed in the following cases:

a) Suffering from a serious illness may have the sentence postponed until health is restored;

b) A pregnant woman or a person who is raising a child under 36 months old may have the sentence postponed until the child reaches 36 months old;

c) Being the only employee in the family, if the imprisonment sentence is executed, the family will face special difficulties, the postponement is granted for up to 01 year, except in cases of national security offenses or other very serious, particularly serious crimes;

d) Being sentenced for a less serious crime, due to public service requirements, may have the sentence postponed for up to 01 year.

2. During the period of postponement, if the offender commits a new crime, the court shall require the offender to serve the previous sentence together with the new sentence according to Article 56 of this Code.

According to the regulations, a person sentenced to imprisonment may have the sentence postponed if they are a pregnant woman.

Thus, a person convicted of tax evasion but being pregnant will have the imprisonment sentence postponed.

* If during the postponement period, the person commits a new crime, the court shall require the individual to serve the previous sentence together with the new sentence.