Vietnam: In 2024, what are the licensing fee rates? What is the deadline for licensing fee payment? What are the licensing fee payers?
In 2024, what are the licensing fee payers in Vietnam?
Pursuant to Article 2 of Decree 139/2016/ND-CP, the licensing fee payers are the organizations and individuals involved in the production and business of goods and services except for the cases of licensing fee exemption, including:
- The enterprises which are established under the regulations of law.
- The organizations which are established under the Law on Cooperatives.
- The public service providers which are established under the regulations of law.
- The business organizations of the political organizations, the social–political organizations, the occupational–social organizations, and people's armed units.
- Other organizations which have their trade/production activities.
- The branches, the representative offices of organizations specified above (if any).
- The individuals, groups of individuals, and households that have their trade/production activities.
What are the licensing fee rates in Vietnam applied in 2024?
Under Article 4 of Decree 139/2016/ND-CP (amended and supplemented by Clause 2, Article 1 of Decree 22/2020/ND-CP), the licensing fee rates in Vietnam applied in 2024 are as follows:
For organizations involved in the production and business of goods and services:
No | Entity | Fee |
1 | The organizations with charter capital and investment capital over 10 billion dong | 3,000,000 dong/year |
2 |
| 2,000,000 dong/year |
3 | The branches, representative offices, business location, public service providers and other business organizations: | 1,000,000 dong/year |
Notes:
- The licensing fee rates for the organizations specified above are based on the charter capital written in the certificate of business registration or on the investment capital written in the certificate of investment registration in case of no charter capital.
- If the organizations specified above change their charter capital or investment capital, the ground for determining the rate of licensing fees is their charter capital or investment capital of the year preceding the year of calculation of licensing fees.
Where the charter capital or investment capital written in the certificate of business registration or certificate of investment registration is in foreign currency, it shall be converted into Vietnamese dong as a basis for determining the rate of licensing fees in accordance with the buying rate of commercial banks or credit institutions where the licensing fee payers open their accounts at the time they make payment to the state budget.
For individuals and households involved in the production and business of goods and services:
No | Entity | Fee |
1 | The individuals, groups of individuals and households with revenues over 500 million dong/year | 1,000,000 dong/year |
2 | The individuals, groups of individuals and households with revenues between 300 and 500 million dong/year | 500,000 dong/year |
3 | The individuals, groups of individuals and households with revenues between 100 and 300 million dong/year | 300,000 dong/year |
Notes:
- Revenues used as the basis for determining the license fees payable by individuals, groups of individuals and household businesses shall be determined according to guidance given by the Ministry of Finance.
- Upon the end of the period of exemption from the license fee (from the fourth year from the date of establishment), a SME transformed from a household business (including its branches, representative offices and/or business locations) shall pay the license fee for the whole year if its exemption period ends in the first 6 months of the year or pay 50% of the license fee payable for the whole year if its exemption period ends in the last 6 months of the year.
A household business, an individual or a group of individuals engaging in production/business that resumes its production/business after a suspension period shall pay the license fee for the whole year if it resumes its production/business in the first 6 months of the year or pay 50% of the license fee payable for the whole year if it resumes its production/business in the last 6 months of the year.
In 2024, what is the deadline for licensing fee payment in Vietnam?
Under Clause 9, Article 18 of Decree 126/2020/ND-CP as follows:
Deadlines for payment of tax-related amounts, fees for grant of right to extraction of water resources and minerals, fees for grant of sea area usage, registration fees and licensing fees
...
9. licensing fee:
a) Licensing fee shall be paid annually by the 30th of January.
b) For medium and small enterprises converted from household businesses (including their dependent units and business locations), upon expiration of the licensing fee exemption period (3 years from the establishment date):
b.1) If the expiration date is in the first 6 months of the year, licensing fee shall be paid by the 30th of July of the same year.
b.2) If the expiration date is in the last 6 months of the year, licensing fee shall be paid by the 30th of January of the succeeding year.
c) Household businesses and individual businesses that shut down and subsequently resume their business operation shall pay licensing fee as follows:
c.1) If the resumption date is in the first 6 months of the year, licensing fee shall be paid by the 30th of July of the same year.
c.2) If the resumption date is in the last 6 months of the year, licensing fee shall be paid by the 30th of January of the succeeding year.
Thus, in 2024, the deadline for licensing fee payment in Vietnam is January 30, 2024 (Tuesday).
Note: For medium and small enterprises converted from household businesses (including their dependent units and business locations), upon expiration of the licensing fee exemption period (3 years from the establishment date), the deadline for licensing fee payment in Vietnam shall comply with points b and point c, Clause 9, Article 18 of Decree 126/2020/ND-CP.
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