Which tax-related violations are subject to a warning in Vietnam?

Which tax-related violations are subject to a warning in Vietnam?

Pursuant to Decree 125/2020/ND-CP, the tax-related violations that are only subject to a warning include the following violations:

- A warning is imposed for actions such as taxpayer registration; notification of temporary suspension of business activities; notification of resumption of business activities before the announced period, exceeding the regulated time by 01 to 10 days with mitigating circumstances based on Clause 1 Article 10 of Decree 125/2020/ND-CP

- Notifying changes in the content of taxpayer registration exceeding the regulated time from 01 to 30 days without altering the taxpayer registration certificate or tax code notification but with mitigating circumstances based on Point a Clause 1 Article 11 of Decree 125/2020/ND-CP

- Notifying changes in the content of taxpayer registration exceeding the regulated time from 01 day to 10 days causing changes to the taxpayer registration certificate or tax code notification but with mitigating circumstances based on Point b Clause 1 Article 11 of Decree 125/2020/ND-CP

- A warning for filing tax declarations late by 01 to 05 days with mitigating circumstances based on Clause 1 Article 13 of Decree 125/2020/ND-CP

- Reporting the receipt of printed invoices late from 01 to 05 days from the expiry date as regulated based on Point a Clause 1 Article 21 of Decree 125/2020/ND-CP

- Reporting the receipt of printed invoices late from 06 days to 10 days from the expiry date as regulated and with mitigating circumstances based on Point b Clause 1 Article 21 of Decree 125/2020/ND-CP

- Issuing invoices at inappropriate times without resulting in delay in fulfilling tax obligations and with mitigating circumstances based on Point a Clause 1 Article 24 of Decree 125/2020/ND-CP

- Issuing invoices continuously from a smaller to a larger number but using different books (using a book with a larger serial number while an unused smaller serial number book exists) and the organization or individual, upon discovery, cancels the books with smaller serial numbers based on Point b Clause 1 Article 24 of Decree 125/2020/ND-CP

- Issuing the wrong type of invoice as per regulations that have been delivered to the buyer or declared for tax, both parties discovering the mistake and reissuing correct invoices before the competent authority announces inspection or audit decisions at the taxpayer's headquarters without affecting the determination of tax obligations based on Point c Clause 1 Article 24 of Decree 125/2020/ND-CP

- A warning for reporting the loss, burning, or damage of invoices late by 01 to 05 days from the reporting deadline as regulated and with mitigating circumstances based on Clause 1 Article 25 of Decree 125/2020/ND-CP

- Losing, burning, or damaging issued invoices (except for the buyer's copy) during use, already declared, tax paid, with supporting documents providing evidence of the business transactions and with mitigating circumstances based on Point a Clause 1 Article 26 of Decree 125/2020/ND-CP

- Losing, burning, or damaging incorrect invoices that have been canceled and the seller has issued replacement invoices for these incorrect, canceled ones based on Point b Clause 1 Article 26 of Decree 125/2020/ND-CP

- A warning for the act of canceling or destructing invoices late by 01 to 05 working days from the expiration of the deadline as regulated with mitigating circumstances based on Clause 1 Article 27 of Decree 125/2020/ND-CP

- A warning for the act of canceling or destructing invoices late by 01 to 05 working days from the expiration of the deadline as regulated with mitigating circumstances based on Clause 1 Article 29 of Decree 125/2020/ND-CP

Which tax-related violations are subject to a warning in Vietnam? (Image from Internet)

Vietnam: Are penalties imposed for administrative violations when the deadline of tax declaration submission is extended?

As stipulated in Clause 5 Article 9 of Decree 125/2020/ND-CP regarding cases where administrative penalties on tax are not imposed:

Cases not subject to administrative penalties on tax and invoices

...

5. Non-penalization for violations regarding the deadline for filing tax declarations during the period taxpayers are granted an extension for filing such tax declarations.

Thus, according to the regulation above, during the period individuals or organizations are granted an extension for filing tax declarations, they will not be penalized for violations related to the deadline for filing tax declarations.

What are the penalties for tax-related violations in Vietnam?

According to Clause 2 Article 138 of the Law on Tax Administration 2019 which stipulates specific penalties for tax-related violations:

- The maximum fine for violations of tax procedures follows relevant legal provisions related to the handling of administrative violations.

- A fine of 10% on the understated tax amount or increased tax amount is applicable in cases where tax relief, reduction, refund, or exemption applies, for the following actions: Wrong declaration of tax calculation base / deductible tax / inaccurate identification of eligible tax relief, reduction, or refund leading to insufficient tax payment or excess tax relief, reduction, or refund.

- A fine of 20% on the understated tax amount payable or increased declared tax amount applicable to situations of tax relief, reduction, refund, or exemption as regulated.

- A fine ranging from 01 to 03 times the evaded tax amount for actions such as: Non-submission of taxpayer registration; failure to record related revenue in accounting books for determining payable tax; non-issuance of invoices for goods and services as regulated; intentional non-declaration or false declaration of taxes on imports and exports;...