What language is used in documents exchanged with tax authorities in Vietnam?

What language is used in documents exchanged with the tax authorities in Vietnam?

According to Article 85 of Circular 80/2021/TT-BTC, the regulation on the language used in documents exchanged with tax authorities is as follows:

Language Used in Documents exchanged with tax authorities

The language utilized in tax documents is Vietnamese. Documents in a foreign language must be translated into Vietnamese. The taxpayer must sign, stamp the translation, and bear legal responsibility for the content of the translation. In cases where foreign language documents are more than 20 A4 pages long, the taxpayer should provide an explanatory document and request to only translate sections and clauses related to determining tax obligations.

For applications for tax exemption or reduction under a Tax Agreement, depending on the nature of each type of contract and the requirements of the tax authority (if any), the taxpayer needs to translate elements of the contract such as: the name of the contract, the names of the clauses in the contract, the period of contract execution or the actual presence period of the foreign contractor's experts in Vietnam (if any), the responsibilities and commitments of each party; confidentiality provisions and product ownership rights (if any), the authorized signatory of the contract, matters related to determining tax obligations and similar content (if any); and attach a copy of the contract certified by the taxpayer.

Consular legalization for documents issued by a competent foreign authority is only mandatory in specific cases as guided in Articles 30, 62, and 70 of this Circular.

Hence, based on the aforementioned regulations, Vietnamese is used in documents exchanged with the tax management authorities.

For documents in a foreign language, they must be translated into Vietnamese. The taxpayer must sign, stamp the translation, and bear legal responsibility for the content of the translation. In cases where foreign language documents exceed 20 A4 pages, the taxpayer should provide an explanatory document and request to translate only sections and clauses related to determining tax obligations.

What language is used in documents exchanged with tax authorities in Vietnam? (Image from the Internet)

What are the powers of the tax authorities in Vietnam?

Article 19 of the Law on Tax Administration 2019 specifies the authorities of the tax authorities as follows:

(1) Require taxpayers to provide information, documents related to determining tax obligations, including investment value information; numbers, content of transactions for accounts opened at commercial banks, and other credit institutions and explanations of tax calculation, declaration, and payment.

(2) Require relevant organizations, individuals to provide information, documents related to determining tax obligations, and cooperate with the tax authorities to implement tax laws.

(3) Conduct tax inspections, audits as prescribed by law.

(4) Impose taxes.

(5) Enforce the execution of administrative decisions on tax management.

(6) Penalize administrative violations on tax management according to jurisdiction; publicize on mass media the cases of tax law violations.

(7) Apply measures to prevent and ensure handling of administrative violations on tax management as prescribed by law.

(8) Delegate to agencies, organizations, individuals to collect certain types of taxes as prescribed by the Government of Vietnam.

(9) tax authorities apply Advance Pricing Agreements (APAs) regarding the methodology for determining taxable prices with taxpayers, with foreign tax authorities of the territories with which Vietnam has signed agreements to avoid double taxation and prevent tax evasion for income tax.

(10) Purchase information, documents, data from domestic and foreign providers to serve tax management work; pay collection service fees from the collected tax or from the management agency's budget as prescribed by the Government of Vietnam.

What responsibilities do taxpayers have in providing information in tax documents in Vietnam?

Based on Article 97 of the Law on Tax Administration 2019, the following is stipulated:

Responsibilities of Taxpayers in Providing Information

1. Provide complete, accurate, truthful, and timely information in tax documents, information related to determining tax obligations as required by the tax authorities.

2. Provide information in writing or through network connections with the information systems of the tax authorities as required.

Taxpayers must provide complete, accurate, truthful, and timely information in tax documents.