What is the time for determining the excise tax on goods and services in Vietnam?

What is the time for determining the excise tax on goods and services in Vietnam?

Under Clause 12, Article 5 of Circular 195/2015/TT-BTC:

Taxable price

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11. Where the manufacturer or seller fails to comply with regulations on invoicing, the tax authority shall impose the revenue according to the practical business performance in accordance with the Law on Tax administration, and determine the amount of excise tax payable.

12. Time for determination of excise tax:

- For goods: the time of earning revenue is the time of transferring the right to own or use the goods to the buyer, whether the payment is collected or not.

- For services: the time of earning revenue is the time of completion of service provision or issuance of the invoice for service provision buyer, whether the payment is collected or not.

- For imported goods: time of registration of the customs declaration.

13. Manufacturers, importers, sellers of goods and/or services subject to excise tax must comply with accounting and invoicing practice when buying, selling goods/services and transporting goods as prescribed by law.

 

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Thus, the time for determining excise tax on goods and services is the time of earning revenue for goods and services. Specifically:

- For goods: the time of earning revenue is the time of transferring the right to own or use the goods to the buyer, whether the payment is collected or not.

- For services: the time of earning revenue is the time of completion of service provision or issuance of the invoice for service provision buyer, whether the payment is collected or not.

- For imported goods: time of registration of the customs declaration.

What is the time for determining the excise tax on goods and services in Vietnam? (Image from the Internet)

Where is the place for submitting excise tax declaration dossiers in Vietnam?

Under point d, clause 1, Article 11 of Decree 126/2020/ND-CP:

Article 11. Tax declaration dossier submission location

Tax declaration dossiers shall be submitted at the locations specified in Clauses 1, 2 and 3 Article 45 of the Law on Tax administration and the following locations:

1. A taxpayer that has business operation in more than one province as prescribed in Point a and Point b Clause 4 Article 45 of the Law on Tax administration shall submit tax declaration dossiers to the tax authority of the province other than the province in which the taxpayer is headquartered in the following cases:

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c) VAT shall be declared where the power plant is located.

d) Excise tax shall be declared where the taxed goods are produced or processed or where the taxed services are provided (except computerized lottery business).

In case the taxpayer directly imports the goods that are subject to excise tax and then sell them domestically, excise tax shall be declared at the supervisory tax authority in charge of the area where the taxpayer is headquartered.

dd) Environment protection tax shall be declared where the tax goods are manufactured, except environment protection tax on oil and gas trade specified in Point a Clause 4 of this Article.

e) Environment protection tax shall be declared where the coal is manufactured or sold, even if coal is internally consumed, except the case specified in Point b Clause 4 of this Article.

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Thus, taxpayers shall submit excise tax declaration dossiers at the place where the taxed goods are produced or processed or where the taxed services are provided (except computerized lottery business).

In case the taxpayer directly imports the goods that are subject to excise tax and then sells them domestically, the excise tax shall be declared at the supervisory tax authority in charge of the area where the taxpayer is headquartered.

What are the excise tax rates for goods in Vietnam?

The excise tax rates for goods in 2024 are specified in Article 7 of the Law on Excise Tax 2008 as amended by Clause 4, Article 1 of the Law on the Amendment of the Law on Excise Tax 2014, Clause 2, Article 2 of Law No. 106/2016/QH13 and Article 8 of the Law on the Amendment of the Law on Public Investment, Law on Investment in the form of Public-Private Partnerships, Law on Investment, Law on Housing, Law on Bidding, Law on Electricity, Law on Enterprises, Law on excise tax, and Law on Civil Judgment Enforcement 2022 as follows: