Is it permissible to disclose information of tax evaders in Vietnam?
What acts are considered tax evasion in Vietnam?
Based on Article 143 of the Tax Administration Law 2019, the acts of tax evasion include:
- Failure to submit taxpayer registration documents; failure to submit tax declaration dossiers; submitting tax declaration dossiers more than 90 days from the deadline for submission or from the extended deadline for submission.
- Failing to record in accounting books the revenue related to determining the payable tax amount.
- Not issuing invoices when selling goods or services as required by law or recording the value on sale invoices lower than the actual payment value of sold goods or services.
- Using illegal invoices or documents, or illegally using invoices to account for input goods or materials in activities incurring tax obligations leading to reduced payable tax amounts or increased tax exemptions, tax reductions, or increased deductible tax amounts, refundable tax amounts, or non-payable tax amounts.
- Using documents or evidences that do not reflect the true nature of the transaction or the actual transaction value to determine incorrectly the payable tax amount, the exempted tax amount, the reduced tax amount, the refundable tax amount, or the non-payable tax amount.
- Declaring incorrectly for exported, imported goods without supplementing tax declaration dossiers after the goods have been cleared.
- Intentionally failing to declare or misdeclaring tax on exported, imported goods.
- Colluding with the consignor to import goods for the purpose of tax evasion.
- Using goods that are exempt from tax, duty-free, or considered for tax exemption not for the intended purposes as prescribed without declaring the change of purpose to the tax management authority.
- Taxpayers engaging in business activities during periods of cessation or temporary suspension of business activities without notifying the tax management authority.
- Taxpayers not being penalized for tax evasion acts but penalized for procedural violations, including:
+ Failure to submit taxpayer registration documents, failure to submit tax declaration dossiers, submitting tax declaration dossiers more than 90 days without incurring payable tax amounts.
+ Submitting tax declaration dossiers more than 90 days with incurred payable tax amounts, and the taxpayer has fully paid tax amounts, late payment interest to the state budget before the tax authority issues a decision on tax inspection, tax audit, or before the tax authority makes a record on the act of late submission of tax declaration dossiers.
Is it permissible to disclose information of tax evaders in Vietnam? (Image from the Internet)
Is it permissible to disclose information of tax evaders in Vietnam?
Based on Article 100 of the Tax Administration Law 2019 on the disclosure of taxpayer information:
Article 100. Disclosure of taxpayer information
- The tax management authority may disclose taxpayer information in the following cases:
a) Tax evasion, evading payment of taxes and other amounts due to the state budget on time; owing taxes and other amounts due to the state budget;
b) Violation of tax laws affecting the rights and obligations of other organizations, individuals in tax payment;
c) Failing to comply with the requirements of the tax management authority as prescribed by law.
- The Government of Vietnam shall detail this Article.
According to the above regulation, the tax management authority is allowed to disclose taxpayer information in cases:
- Tax evasion, evading payment of taxes and other amounts due to the state budget on time; owing taxes and other amounts due to the state budget;
- Violation of tax laws affecting the rights and obligations of other organizations, individuals in tax payment;
- Failing to comply with the requirements of the tax management authority as prescribed by law.
Thus, the tax management authority is authorized to disclose the information of tax evaders.
Who has the authority to request agencies, organizations, or individuals provide information related to tax evasion in Vietnam?
Based on Article 121 of the Tax Administration Law 2019 on the collection of information related to tax evasion acts:
Article 121. Collection of information related to tax evasion acts
- The Head of the tax management authority has the right to request organizations, entities, and individuals with information related to tax evasion acts to provide information in writing or respond directly.
- In cases of requiring information to be provided in writing, organizations, entities, and individuals are responsible for supplying the information as per the content, time, address requested and are responsible for the accuracy and truthfulness of the information provided; if unable to provide, they must respond in writing stating the reason.
- In cases requiring information to be provided by direct response, the person requested to provide information must be present at the time and place specified in the documentation to provide the requested information content and is responsible for the accuracy and truthfulness of the information provided; if unable to be present, information provision shall be conducted in writing.
During the process of collecting information by direct response, members of the inspection team must draft a working record and it shall be openly recorded, audio and visually.
According to the above regulations, the Head of the tax management authority has the right to request organizations, entities, and individuals with information related to tax evasion acts to provide information in writing or respond directly.
