Vietnam: Instructions for tax registration for the first time for organizations withholding and paying taxes on behalf of overseas suppliers?
- What are the procedures for making the first-time tax registration for organizations withholding and paying taxes on behalf of overseas suppliers?
- How can an organization choose to do its first tax registration in Vietnam?
- What is included in the first tax registration dossier in Vietnam for an organization that deducts and pays tax on behalf of an overseas supplier?
What are the procedures for making the first-time tax registration for organizations withholding and paying taxes on behalf of overseas suppliers?
Pursuant to subsection 13, Section 2, Part 2, Administrative procedures promulgated together with Decision No. 2589/QD-BTC in 2021, providing specific guidance on first-time tax registration for organizations withholding and paying taxes on behalf of overseas suppliers as follows
Step 1: Within 10 working days from the date:
- Responsible for withholding tax and paying tax on behalf of; organizations submit on behalf of individuals under contracts, business cooperation documents;
- Signing contracts for contract acceptance with foreign contractors and sub-contractors who declare and pay taxes directly with tax authorities; sign oil and gas contracts and agreements;
- Authorization to collect according to the provisions of the Law on Tax Management.
Then the taxpayer prepares a complete tax registration dossier in Vietnam in accordance with regulations and then sends it to the tax agency directly managing for tax registration procedures.
Where to apply:
- At the tax agency directly managing: Organizations and individuals withhold payment on behalf of foreign contractors, foreign sub-contractors; Business cooperation organizations with individuals or organizations assigned to manage business cooperation contracts with organizations but do not establish separate legal entities; Commercial banks, payment intermediary service providers or organizations and individuals authorized by overseas suppliers shall withhold and pay tax on behalf of overseas suppliers;
- Organizations and individuals authorized to collect tax shall submit tax registration dossiers at the tax agencies that sign the collection authorization contracts;
- For the case of electronic tax registration dossiers: Taxpayers access the portal selected by the taxpayer (the website of the General Department of Taxation/The portal of a competent state agency includes the National Public Service Portal, the Ministry-level Public Service Portal, and the Provincial-level Public Service Portal according to regulations on implementation of the single-window section, interacted-single-window section in handling administrative procedures and has been connected to the website of the General Department of Taxation/ website of T-VAN service provider) to declare declarations and enclose the prescribed documents in electronic form (if any), sign electronically and send them to the tax authority through the portal selected by the taxpayer;
Taxpayers submit dossiers (tax registration dossiers concurrently with business registration dossiers under the one-stop-shop mechanism) to competent state management agencies according to regulations. The competent state management agency shall send information about the taxpayer's received dossier to the tax authority via the web portal of the General Department of Taxation.
Step 2: The tax authority receives:
- For paper tax registration dossiers:
++ In case the dossier is submitted directly at the tax office: The tax officer receives and stamps the receipt into the tax registration dossier, clearly stating the date of receipt of the dossier, the number of documents according to the list of tax registration dossiers submitted directly at tax offices. The tax officer writes a note to schedule the date to return the results and the time limit for processing the received documents;
++ In case tax registration dossiers are sent by post: The tax official shall stamp the receipt, record the date of receipt of the dossier and write the letter number of the tax authority;
Tax officials check tax registration dossiers. In case the dossier is incomplete and needs to be explained and supplemented with information and documents, the tax authority shall notify the taxpayer using form No. 01/TB-BSTT-NNT in Appendix II issued together with Decree No. 126/2020/ND-CP dated October 19, 2020 of the Government within 02 (two) working days from the date of receipt of the application.
- For the case of electronic tax registration dossiers:
The tax authority shall receive dossiers through the portal of the General Department of Taxation, inspect and process the dossiers through the tax authority's electronic data processing system:
+ Receipt of dossiers: The website of the General Department of Taxation sends a notice of receipt of the taxpayer's submission of the dossier to the taxpayer via the portal that the taxpayer chooses to make and send the dossier (e.g. website of the General Department of Taxation/Website of a competent state agency or organization providing T-VAN services) within 15 minutes from the date of receipt of the taxpayer's electronic tax registration dossier;
+ Checking and processing dossiers: Tax authorities shall examine and process taxpayers' dossiers in accordance with the law on tax registration and return settlement results via the electronic portal that the taxpayers Taxes choose to make and send dossiers:
++ In case the dossier is complete and according to the prescribed procedures and the results must be returned: The tax authority shall send the result of the dossier settlement to the portal that the taxpayer chooses to prepare and send the dossier according to the deadline specified in Circular No. 105/2020/TT-BTC dated December 3, 2020 of the Ministry of Finance guiding tax registration;
++ In case the dossier is incomplete or not according to the prescribed procedures, the tax authority shall send a notice of refusal to accept the dossier, send it to the portal that the taxpayer chooses to make and send dossiers within 02 (two) working days from the date written on the Notice of application receipt.
Vietnam: Instructions for tax registration for the first time for organizations withholding and paying taxes on behalf of overseas suppliers?
How can an organization choose to do its first tax registration in Vietnam?
Pursuant to subsection 13, Section 2, Part 2, Administrative procedures promulgated together with Decision No. 2589/QD-BTC in 2021, providing specific guidance on first-time tax registration in Vietnam for organizations withholding and paying taxes on behalf of overseas suppliers as follows:
- Paying directly at the head office of the tax authority;
- Or send via the postal system;
- Or by electronic method via the website of the General Department of Taxation/The portal of the competent state agency including the National Public Service Portal, the Ministry-level Public Service Portal, and the provincial-level Public Service Portal according to the provisions of law on the implementation of one-stop-shop, one-stop-shop mechanism in handling administrative procedures and has been connected to the web portal of the General Department of Taxation/the portal of the T-VAN service provider according to the provisions of Circular No. 19/2021/TT-BTC.
What is included in the first tax registration dossier in Vietnam for an organization that deducts and pays tax on behalf of an overseas supplier?
Pursuant to subsection 13, Section 2, Part 2, Administrative procedures promulgated together with Decision No. 2589/QD-BTC in 2021, providing specific guidance on first-time tax registration for organizations withholding and paying taxes on behalf of overseas suppliers as follows:
- For organizations and individuals withholding and paying on behalf of foreign contractors and foreign sub-contractors, including:
+ Tax registration form
+ List of contracts of foreign contractors and foreign sub-contractors paying tax through Vietnamese parties.
- For organizations that do business with individuals or organizations that are assigned to manage business cooperation contracts with organizations but have not established their own legal entities, including:
+ Tax registration declaration;
+ Copy of contract or business cooperation document.
- For commercial banks, payment intermediary service providers or organizations and individuals authorized by overseas suppliers, responsible for withholding and paying tax on behalf of overseas suppliers, including: Tax registration declaration.
- For organizations and individuals authorized to collect by tax authorities, including: Tax registration declaration.
LawNet
