What is the plan for reorganizing and dowsizing the organizational structure of the Ministry of Finance of Vietnam according to Report 219/BC-BNV?

What is the plan for reorganizing and dowsizing the organizational structure of the Ministry of Finance of Vietnam according to Report 219/BC-BNV?

On January 11, 2025, the Ministry of Home Affairs issued Report 219/BC-BNV regarding the supplement and completion of the plan to reorganize and dowsize the organizational structure of the Government of Vietnam.

Based on the conclusion by the Politburo in sub-item 1, Section 3 of Report 219/BC-BNV, the plan for reorganizing and dowsizing the organizational structure of the Ministry of Finance of Vietnam is specified as follows:

- Reorganize the General Department of Taxation of Vietnam into the Department of Taxation (comprising 12 committees/divisions) and restructure the Departments of Taxation of 63 provinces and cities into 20 Regional Tax Offices. The reorganization of 420 district-level tax offices and inter-district regional offices into 350 Regional Tax Teams is expected to reduce approximately 1,005/4,141 focal points (24.27%).

- Reorganize the General Department of Customs into the Department of Customs (comprising 12 committees/divisions) and restructure 35 regional customs departments into 20 regional customs sub-departments. The reorganization of 181 customs sub-departments into 165 border/non-border customs units, functioning as divisional-level entities, is expected to reduce approximately 485/902 focal points (53.77%).

- Reorganize the State Treasury (general department level) into the State Treasury, equivalent to the department level (comprising 10 committees/divisions) and restructure 63 provincial state treasuries into 20 Regional State Treasuries, functioning as sub-department level entities. This reorganization is expected to reduce approximately 431/1,049 focal points (41.09%).

- Reorganize the General Department of State Reserves into the Department of State Reserves (with 07 units) and restructure 22 regional state reserve units into 15 Regional State Reserve sub-departments.

- Reorganize the General Statistics Office into the Statistics Department (comprising 14 units) and restructure 63 provincial statistics offices into 63 provincial-level statistics sub-departments. The reorganization of 565 district-level statistics sub-departments into 480 teams operating under an inter-district model will reduce focal points by 15%.

- Reorganize Vietnam Social Security into a public service provider, with 14 divisions (a reduction of 07 units), and restructure the internal framework of 63 provincial-level social security into 35 regional social security units. The reorganization of 640 district-level social security offices down to 350 inter-district social security units, eliminating 147 professional teams (a reduction of 651/1,465 focal points, equivalent to 44.4%).

What is the plan for reorganizing and dowsizing the organizational structure of the Ministry of Finance of Vietnam according to Report 219/BC-BNV? (Image from the Internet)

What are regulations on the position and function of the General Department of Taxation of Vietnam?

According to Article 1 Decision 41/2018/QD-TTg, the position and function of the General Department of Taxation of Vietnam are specified as follows:

Position and Function

1. The General Department of Taxation of Vietnam is an organization under the Ministry of Finance of Vietnam, performing advisory functions to assist the Minister of Finance in state management of domestic revenues nationwide, including taxes, fees, charges, and other state budget revenues (commonly referred to as taxes); organizing tax management according to legal regulations.

2. The General Department of Taxation of Vietnam has legal status, a seal bearing the National Emblem, is allowed to open an account at the State Treasury, and has its headquarters in Hanoi.

The General Department of Taxation of Vietnam has the following position and functions:

- It is an organization under the Ministry of Finance of Vietnam;

- It performs the advisory function to assist the Minister of Finance in state management of domestic revenues nationwide;

- It organizes tax management according to legal regulations;

- It has legal status, a seal bearing the National Emblem, and is allowed to open an account at the State Treasury.

What is the current organizational structure of the General Department of Taxation of Vietnam?

According to Article 3 Decision 41/2018/QD-TTg (amended by Article 1 Decision 15/2021/QD-TTg), the organizational structure of the General Department of Taxation of Vietnam is specified as follows:

(1) Central Tax Authorities

*Administrative organizations assisting the Director General in state management functions include:

- Policy Department;

- Legal Department;

- Tax Estimation Department;

- Propaganda and Taxpayer Support Department;

- Tax Declaration and Accounting Department;

- Debt Management and Tax Enforcement Department;

- Inspection and Tax Audit Department;

- Large Enterprises Tax Department;

- Small and Medium Enterprises and Household Businesses, Individual Tax Management Department;

- International Cooperation Department;

- Internal Inspection; Complaints, Denunciations Resolution, and Anti-corruption Department;

- Personnel Organization Department;

- Financial and Administration Department;

- Office;

- Information Technology Department;

*Non-business units include:

- Tax Professional Training School;

- Tax Journal.

The establishment of offices within the headquarters' office and departments under the General Department of Taxation of Vietnam must meet the criteria specified in Decree 101/2020/ND-CP.

(2) Local Tax Authorities

- Department of Taxation in provinces, centrally-run cities according to provincial administrative units (collectively referred to as Provincial-level Tax Departments) under the General Department of Taxation of Vietnam.

+ The Hanoi City Department of Taxation and Ho Chi Minh City Department of Taxation are organized with no more than 11 departments performing advisory, tax management functions, and no more than 10 inspection and audit departments.

+ Department of Taxation with revenues from 2,500 billion VND/year or more (excluding crude oil and land revenues) or managing 2,000 or more businesses (excluding Hanoi and Ho Chi Minh City Tax Departments) may organize up to 09 departments performing advisory, tax management functions and up to 05 inspection and audit departments.

+ Department of Taxation with revenues below 2,500 billion VND/year (excluding crude oil and land revenues) or managing fewer than 2,000 businesses may organize up to 08 departments performing advisory, tax management functions, and 01 inspection and audit department.

- District-level tax sub-departments in urban districts, rural districts, district-level towns, and cities; regional tax sub-departments (collectively known as District-level Tax Sub-departments) under provincial-level Tax Departments.

+ Provincial-level Departments of Taxation and District-level Tax Sub-departments have legal status, their seals, and are allowed to open accounts at the State Treasury according to legal regulations.