Which 5 types of taxpayer's assets are exempt from enforcement by seizure of the taxpayer’s assets in Vietnam?

Which 5 types of taxpayer's assets are exempt from enforcement by seizure of the taxpayer’s assets in Vietnam?

Based on Article 133 of the Law on Tax Administration 2019, the regulation states that five types of taxpayer's assets are not subject to enforcement by seizure of the taxpayer’s assets , including:

Seizure through asset confiscation, public auction of confiscated assets

1. Asset confiscation measures shall not be applied if the taxpayer is an individual undergoing medical treatment at a health facility established under legal provisions.

2. The value of assets confiscated from the enforced party corresponds to the tax amount stated in the enforcement decision and the costs to organize the enforcement.

3. The following assets are not subject to confiscation:

a) Medicines, food, and essential supplies for the enforced party's basic needs and their family;

b) Tools of trade;

c) Sole residence, essential household items for the enforced party and their family;

d) Religious worship items; relics, medals, orders, certificates;

đ) Assets serving national defense and security.

4. Within 30 days from the date of asset confiscation, if the enforced party does not pay the due taxes, the tax management authority has the right to auction the confiscated assets to recover the due taxes.

5. The Government of Vietnam details this Article.

Thus, according to the above regulations, the five types of taxpayer's assets not subject to enforcement by seizure of the taxpayer’s assets include:

[1] Medicines, food, and essential supplies for the enforced party and their family's basic needs;

[2] Tools of trade;

[3] Sole residence, essential household items for the enforced party and their family;

[4] Religious worship items; relics, medals, orders, certificates;

[5] Assets serving national defense and security.

5 types of taxpayer's assets exempt from enforcement by seizure of the taxpayer’s assets in Vietnam? (Image from the Internet)

Does the Director of the Smuggling Investigation and Prevention Department have the authority to decide tax enforcement in Vietnam?

Based on Article 126 of the Law on Tax Administration 2019, the regulation is as follows:

Authority to decide tax enforcement

1. Heads of tax management authorities, the Director of the Smuggling Investigation and Prevention Department under the General Department of Customs, and the Head of the Post-clearance Audit Department have the authority to issue decisions to apply enforcement measures for tax enforcement as prescribed in points a, b, c, d, dd, and e of Clause 1, Article 125 of this Law.

2. The revocation of enterprise registration certificates, business registration certificates, cooperative registration certificates, investment registration certificates, establishment and operation licenses, practicing certificates as prescribed at point g, Clause 1, Article 125 of this Law shall comply with legal provisions.

Thus, according to the above regulations, the Director of the Smuggling Investigation and Prevention Department is among those authorized to decide tax enforcement, but only in certain cases within the scope of authority.

Which entity receives the tax enforcement decision in Vietnam?

Based on Article 127 of the Law on Tax Administration 2019, the regulation is as follows:

tax enforcement decision

1. An enforcement decision for an administrative decision on tax management includes the following main contents:

a) Date of issuance;

b) Basis for the decision;

c) The decision maker;

d) Name, address, and tax code of the taxpayer enforced under the administrative decision on tax management;

dd) Reason for enforcement;

e) Enforcement measures;

g) Time and place for execution;

h) The leading agency and the cooperating agencies executing the enforcement decision.

2. The enforcement decision for an administrative decision on tax management must be sent to the enforced party, the direct superior tax management authority, and related organizations or individuals. If conditions for electronic transactions in tax management are met, the enforcement decision shall be sent electronically and updated on the electronic information portal of the tax management authority; if enforcement is under the measure prescribed in point đ, Clause 1, Article 125 of this Law, the enforcement decision must be sent to the Chairman of the People's Committee of the commune where the enforcement will take place before execution.

3. The enforcement decision is effective for one year from the date of issuance; if enforcement involves account deductions or account freezing of the enforced party, it is effective for 30 days from the date of issuance.

Thus, according to the regulation, the enforcement decision for an administrative decision on tax management, once issued, will be sent to the enforced party, the direct superior tax management authority, and related organizations or individuals.