When is the deadline for paying tax, duty payment guarantee and tax deposit in Vietnam?

When is the deadline for paying tax, duty payment guarantee and tax deposit in Vietnam?

Based on Article 4 of Decree 134/2016/ND-CP stipulating the deadlines for paying tax, duty payment guarantee and tax deposit to be paid as follows:

(1). The tax submission deadline stipulated in Article 9 of the Law on Export and import duties 2016 applies to taxable exports and imports as regulated by tax laws.

(2). Tax guarantees for exports and imports are implemented in one of two forms: Individual guarantees or collective guarantees.

- Individual guarantee is where a credit institution, operating under the Credit Institution Law, commits to fully guarantee the obligation to pay the tax amount for a single customs declaration for exports and imports;

- Collective guarantee is where a credit institution, operating under the Credit Institution Law, commits to fully guarantee the obligation to pay the tax amount for two or more customs declarations for exports and imports at one or multiple Customs Sub-Departments. The collective guarantee is offset or restored corresponding to the paid tax amount;

- If the credit institution provides individual or collective guarantees but the guarantee period expires for each declaration where the taxpayer has not paid the tax and late payment fee (if any), the credit institution providing the guarantee is responsible for paying the full tax amount and late payment fee on behalf of the taxpayer into the state budget based on information from the electronic customs data processing system or notification from the customs authority;

- The contents of the guarantee letter, submission of the guarantee letter, and checking, monitoring, and handling of the guarantee letter are performed according to the provisions of tax management laws.

(3). In the case of using the method of depositing import tax for temporarily imported and re-exported business goods within the temporary import and re-export period (including extensions), the taxpayer must deposit an amount equivalent to the import tax amount of the temporarily imported goods into the deposit account of the customs authority at the State Treasury.

The refund of the deposit is implemented according to the regulations on refunding overpaid tax, late payment money, and fines following the tax management law.

(4). For temporarily imported re-export business goods, if the retention period is exceeded and the enterprise has not re-exported the goods out of Vietnam, the customs authority will transfer the deposit from the customs authority’s deposit account to the state budget. For guarantees, the credit institution is responsible for paying the amount equivalent to the import tax amount into the state budget based on information from the electronic customs data processing system or notification from the customs authority.

When is the deadline for paying tax, duty payment guarantee and tax deposit in Vietnam? (Image from the Internet)

When is the time for calculating export and import tax in Vietnam?

Based on Article 8 of the Law on Export and import duties 2016 stipulating the following:

Taxable Value, Tax Calculation Timing

1. The taxable value for export and import tax is the customs value as prescribed in the Customs Law.

2. The time for calculating export and import tax is the time of customs declaration registration.

For exports and imports not subject to tax, exempt from export and import tax, or applied tax rates and absolute tax amounts within the tariff quota but changed regarding non-taxable, tax-exempt subjects, or applied tax rates and absolute tax amounts within the tariff quota as prescribed by law, the time for tax calculation is the time of new customs declaration registration.

Thus, the time for calculating export and import tax is the time of customs declaration registration. The timing of customs declaration registration is performed following customs laws.

When does the customs authority calculate and notify of tax with exports and imports in Vietnam?

According to Clause 10 Article 13 of Decree 126/2020/ND-CP stipulating the cases of exports and imports where the customs authority calculates and notifies of tax include:

- The taxpayer is subject to tax imposition by the customs authority as prescribed in Article 52 of the Tax Administration Law 2019 and Article 17 of Decree 126/2020/ND-CP.

- The taxpayer ceases operations, does not operate at the registered business address, or dissolves, goes bankrupt without completing tax obligations, the customs authority calculates and notifies of tax to determine the payable tax amount for related organizations and individuals as prescribed by law.

- The competent state authority requests the customs authority to determine the tax amount for confiscated exports and imports as a basis for handling according to the law.

- Imported goods not yet paid import taxes at the importation stage, are seized and auctioned by the competent authority; for goods required to pay tax at the importation stage, the customs authority calculates and notifies of tax for the auction agency to collect tax payment.

- The taxpayer is penalized for violating tax administration regulations, with the penalty amount calculated based on the under-declared tax amount or evaded tax amount.

- Imported goods exempted from tax, not subject to tax, or pledged as collateral for loans, where the credit institution needs to handle the collateral to recover debts but the taxpayer has not made a new customs declaration or fully paid tax according to customs laws, the customs authority calculates tax and notifies the credit institution of the payable tax amount.

- Customs fees; fees for goods, luggage, and vehicles in transit.