What is the latest form for Country-by-Country reports of profits in Vietnam in 2024?

What is the latest form for Country-by-Country reports of profits in Vietnam in 2024?

The latest Form for declaring Country-by-Country reports of profitss for 2024 is stipulated in Decree 132/2020/ND-CP.

Latest Form for Declaring Country-by-Country reports of profitss in 2024 download here

What is the latest form for Country-by-Country reports of profits in Vietnam in 2024? (Image from the Internet)

When shall the ultimate parent company in Vietnam prepare a Country-by-Country reports of profits?

According to point a, clause 5, Article 18 of Decree 132/2020/ND-CP, the obligations to prepare a Country-by-Country reports of profits for the taxpayer as the ultimate parent company in Vietnam are specified as follows:

Rights and obligations of the taxpayer in declaring and determining related-party transaction prices

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5. Taxpayer obligations related to the Country-by-Country reports of profits:

a) In cases where the taxpayer is the ultimate parent company in Vietnam with global consolidated revenue of 18 trillion VND or more in the tax period, they are responsible for preparing a Country-by-Country reports of profits as per the Transfer Pricing Documentation according to Appendix IV issued with this Decree. The deadline for submitting the report to the Tax Authority is no later than 12 months after the end of the fiscal year of the Ultimate Parent Entity.

Thus, the taxpayer is obligated to prepare a Country-by-Country reports of profits if the taxpayer is the ultimate parent company in Vietnam with global consolidated revenue of 18 trillion VND or more in the tax period.

The deadline for submitting the report to the Tax Authority is no later than 12 months following the end of the fiscal year of the Ultimate Parent Entity.

When shall a taxpayer in Vietnam having overseas ultimate parent companies prepare a Country-by-Country reports of profits?

According to point b, clause 5, Article 18 of Decree 132/2020/ND-CP, a taxpayer in Vietnam having overseas ultimate parent companies, where the Ultimate Parent Entity is obligated to prepare a Country-by-Country reports of profits according to the regulations of the country of residence, must submit it to the Tax Authority in the following cases:

- The country or territory where the Ultimate Parent Entity resides has an international tax agreement with Vietnam but does not have a Competent Authority Agreement at the time the report is due.

- The foreign country or territory where the Ultimate Parent Entity resides has a Competent Authority Agreement with Vietnam, but the automatic exchange of information mechanism has been suspended, or they cannot automatically provide the Country-by-Country reports of profits of groups residing in these foreign countries or territories to Vietnam.

- In the case where a multinational group has more than one taxpayer in Vietnam, and the Ultimate Parent Entity abroad has a written notification designating one of the taxpayers in Vietnam to submit the Country-by-Country reports of profits, the designated taxpayer is obligated to submit the report to the Tax Authority. The taxpayer must submit the written notification of designation from the Ultimate Parent Entity to the Tax Authority before or on the end date of the fiscal year of the taxpayer's Ultimate Parent Entity.

Note: The above regulations do not apply in cases where the Ultimate Parent Entity of the taxpayer in Vietnam designates an organization to submit the Country-by-Country reports of profits on its behalf to the local tax authority before or on the date specified at point a, clause 5, Article 18 of Decree 132/2020/ND-CP and meeting the following conditions:

- The country or territory where the organization submitting the report on behalf of the entity resides requires the submission of a Country-by-Country reports of profits.

- The country or territory where the organization submitting the report on behalf of the entity resides has a Competent Authority Agreement with Vietnam in effect at the time the report is due.

- The country or territory where the organization submitting the report on behalf of the entity resides has a Competent Authority Agreement with Vietnam, does not suspend the automatic exchange of information mechanism, and can provide the Country-by-Country reports of profits of groups residing in said country or territory to Vietnam.

- The organization submitting the report has a written notification being designated to submit the Country-by-Country reports of profits to the tax authority in the country of residence before or on the end date of the fiscal year of the group’s Ultimate Parent Entity.

- The written notification designating an organization to submit the report is provided to the Vietnamese Tax Authority by the taxpayer in Vietnam.

- The taxpayer in Vietnam notifies the Vietnamese Tax Authority of the name, tax code, and country of residence of the Ultimate Parent Entity or the organization submitting the report on its behalf before or on the last day of the fiscal year of the group.