What are the regulations on processing an application for tax exemption or tax reduction in Vietnam? What is the time limit for processing an application for tax exemption or reduction?
What are the regulations on processing an application for tax exemption or tax reduction in Vietnam?
Pursuant to the provisions of Article 80 of the Law on Tax Administration 2019 on tax exemption and reduction dossiers as follows:
- In case the exempted or reduced tax eligible for remission is calculated by the taxpayer, the application for tax remission consists of:
+ The tax return;
+ Documents supporting the calculation of the exempted or reduced tax.
- In case the tax remission is decided by the tax authority, the application for tax remission consists of:
+ A written request for tax exemption or tax reduction which specifies the tax, the reason for exemption or reduction, and the amount of tax exempted or reduced;
+ Documents supporting the calculation of the exempted or reduced tax.
What are the regulations on processing an application for tax exemption or tax reduction in Vietnam? What is the time limit for processing an application for tax exemption or reduction?
What is the time limit for processing an application for tax exemption or reduction in Vietnam?
Pursuant to Clause 1, Article 64 of Circular 80/2021/TT-BTC stipulating the time limits and return of results:
- Within 30 days from the receipt of the satisfactory application, the tax authority shall issue a decision on tax exemption or reduction or send the taxpayer a notice of ineligibility for tax exemption or reduction.
- In case a site inspection is necessary for processing the application, within 40 days from the receipt of the satisfactory application, the tax authority shall issue a decision on tax exemption or reduction or send the taxpayer a notice of ineligibility for tax exemption or reduction.
- In case the tax authority receives the application for tax exemption or reduction and the tax declaration dossier via the single-window system, within 05 working days from the receipt of the satisfactory application via the single-window system, the tax authority shall determine the amount of tax eligible for tax exemption or reduction or send the taxpayer a notice of ineligibility for tax exemption or reduction.
What is the return of results for tax exemption or tax reduction in Vietnam?
Pursuant to Clause 2, Article 64 of Circular 80/2021/TT-BTC stipulating the return of results of settlement of tax exemption or reduction dossiers, accordingly:
- In case the tax authority directly receives the application:
+ Issue the decision on tax exemption or reduction according to Form No. 03/MGTH in Appendix I hereof if the taxpayer is eligible for tax exemption or reduction (except the case specified in Point a.3 Clause 2 of this Article);
+ Issue the notice of ineligibility for tax exemption or reduction according to Form No. 04/MGTH in Appendix I hereof and provide explanation if the taxpayer is ineligible for tax exemption or reduction (except the case specified in Point a.3 Clause 2 of this Article);
+ Issue the notice of the taxpayer's eligibility or ineligibility for tax exemption or reduction under the Double Taxation Agreement or another international treaty according to Form No. 03-1/MGTH in Appendix I hereof;
In case additional information or documents are needed while processing the application for tax exemption or reduction, the tax authority shall send a request according to Form No. 01/TB-BSTT-NNT enclosed with Decree No. 126/2020/ND-CP to the taxpayer.
- In case the tax authority receives the application for tax exemption or reduction together with the tax declaration dossier using the single-window system:
+ The tax authority shall determine the amount of tax eligible for tax exemption or reduction and specify it in the tax notice according to the form in Appendix II of Decree No. 126/2020/ND-CP if the taxpayer is eligible for tax exemption or reduction.
+ Issue the notice of ineligibility for tax exemption or reduction according to Form No. 04/MGTH in Appendix I hereof and provide explanation if the taxpayer is ineligible for tax exemption or reduction. In case additional information or documents are needed while processing the application for tax exemption or reduction, the tax authority shall send a request according to Form No. 01/TB-BSTT-NNT enclosed with Decree No. 126/2020/ND-CP to the receiving authority.
- In the case of tax exemption specified in Point a Clause 2 Article 79 of the Law on Tax Administration: the tax authority shall issue a list of households and individuals that are eligible for tax exemption according to Form No. 05/MGTH in Appendix I hereof.
LawNet
