Vietnam: What is the deadline for PIT finalization in 2023? Where will PIT finalization dossiers be submitted?
What is the deadline for PIT finalization in 2023? What is the declaration form for PIT finalization in Vietnam?
Pursuant to Clause 2, Article 44 of the Law on Tax Administration 2019 as follows:
Deadlines for submission of tax declaration dossiers
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2. For taxes declared annually:
a) For annual tax statement dossiers: the last day of the 3rd month from the end of the calendar year or fiscal year. For annual tax declaration dossiers: the last day of the first month from the end of the calendar year or fiscal year
b) For annual personal income tax statements prepared by income earners: the last day of the 4th month from the end of the calendar year;
c) For presumptive tax declarations prepared by household businesses and individual businesses: the 15th of December of the preceding year. For new household businesses and individual businesses: within 10 days from the date of commencement of the business.
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Pursuant to Section V of Official Dispatch 636/TCT-DNNCN in 2021, there are instructions as follows:
DEADLINES FOR SUBMISSION OF PIT FINALIZATION DOSSIERS
Pursuant to Point a, Point b Clause 2 Article 44 of the Law on Tax Administration No. 38/2019/QH14 of the National Assembly, PIT finalization dossiers must be submitted by the following deadlines:
- Income payers shall submit PIT finalization dossiers by the last day of the 03rd month from the end of the calendar year or fiscal year.
- Individuals who themselves finalize PIT shall submit PIT finalization dossiers by the last day of the 04th month from the end of the calendar year. If the deadline for submission of PIT finalization dossier falls on days off or holidays as prescribed, the deadline shall be the following business day. If an individual has PIT refund but fails to submit the PIT finalization dossier by the prescribed deadline, no administrative penalty for such late submission will be imposed.
In 2023, where will PIT finalization dossiers in Vietnam be submitted?
Pursuant to subsection 2, Section IV of Official Dispatch 636/TCT-DNNCN in 2021, there are instructions on places for submitting PIT finalization dossiers in Vietnam as follows:
(1) Income payers shall submit PIT finalization dossiers to their supervisory tax authorities.
(2) For individuals directly finalizing PIT with tax authorities
- Resident individuals who earn a salary in one location and declare tax themselves shall submit tax finalization dossiers to the tax authorities to which tax declarations are submitted during the year as prescribed in Point a Clause 8 Article 11 of Decree No. 126/2020/ND-CP.
+ In case an individual earns a salary in more than one location, including salary on which tax is declared directly and salary on which tax has been deducted by the income payer, the tax finalization dossier shall be submitted to the tax authority of the area where the biggest source of income is located.
+ In case the area where the biggest source of income is located cannot be identified, the tax finalization dossier shall be submitted to the supervisory tax authority of the income payer or the area where the individual resides.
- In case a resident individual earning a salary from more than one source on which tax has been deducted by salary payers:
+ The tax finalization dossier shall be submitted to the supervisory tax authority of the salary payer where the taxpayer’s personal and family circumstance deductions are claimed. I
++ In case the individual’s workplace is changed and the personal deduction is claimed at the last salary payer, the tax finalization dossier shall be submitted to the supervisory tax authority of such salary payer.
++ In case the individual’s workplace is changed and the taxpayer’s personal and family circumstance deductions are not claimed at the last salary payer, the tax finalization dossier shall be submitted to the tax authority of the area where the individual resides.
++ In case the taxpayer’s personal and family circumstance deductions have not been claimed at any salary payer, the tax finalization dossier shall be submitted to the tax authority of the area where the individual resides.
+ In case a resident individual does not have an employment contract or has an employment contract of fewer than 03 months or has a service provision contract and earns income at one location or more from which 10% PIT has been deducted, the tax finalization dossier shall be submitted to the tax authority of the area where the individual resides.
+ In case a resident individual earns a salary at one location or more but is not working for the salary payer when the tax finalization dossier is being prepared, the tax finalization dossier shall be submitted to the tax authority of the area where the individual resides.
What are the responsibilities of tax authorities in receiving and processing PIT finalization dossiers in Vietnam?
Pursuant to Section VI of Official Dispatch 636/TCT-DNNCN in 2021, the responsibilities of tax authorities in receiving and processing PIT finalization dossiers in Vietnam are:
- Tax authorities shall disseminate information, instruct, and expedite taxpayers to finalize and pay PIT as per regulations in order to avoid incurring administrative penalties.
- Tax authorities shall arrange personnel and provide convenient locations and working times for ensuring the receipt of PIT finalization dossiers by the prescribed deadlines.
- After receiving PIT finalization dossiers, tax authorities shall review and process PIT finalization dossiers that are not recorded on the IT system of the taxation branch; process received PIT finalization dossiers as prescribed and shall not return any PIT finalization dossiers unless the taxpayer submits a request for change of tax authority; provide guidance on the issuance of electronic tax transaction accounts and implementation of the Official Dispatch No. 535/TCT-DNNCN dated March 03, 2021 of General Department of Taxation providing guidance on receipt of declaration 02/QTT-TNCN through the web portal of the General Department of Taxation.
These are the General Department of Taxation’s guidelines on PIT finalization in accordance with regulations of the Law on Personal Income Tax in force. Any difficulties that arise during the implementation of this document should be promptly submitted to the General Department of Taxation for consideration./.
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