Is it possible to pay fees in foreign currency in Vietnam? Is the payment of fees in Vietnam done in months or years?

Is it possible to pay fees in foreign currency in Vietnam?

Pursuant to Clause 4, Article 3 of Decree 120/2016/ND-CP, the currency for collection of fees and charges is as follows:

4. Currencies:

a) With regard to fees and charges paid in Vietnam, the currency shall be VND, except for cases where fees and charges may be paid in freely convertible currencies as regulated by laws. In case freely convertible currencies are applied, fees and charges may be paid in foreign currency or VND on the basis of converting from foreign currency to VND according to the following exchange rate:

- If fees and charges are paid at commercial banks or other credit institutions, buying rates announced by commercial banks or credit institutions where payers open their accounts at the payment time shall apply.

- If fees and charges are directly paid at State Treasuries, the exchange rate announced by Ministry of Finance at the payment time shall apply.

- If fees and charges are paid in cash or under other forms of payment to collectors, the exchange rate shall be the buying rate under the transfer form announced by the operations center of Vietcombank at the payment time or at the end of the business day preceding the day off.

b) With regard to fees and charges paid in a foreign country, currency of that country or freely convertible currencies shall apply.

Thus, according to the current regulations, the payment of fees and charges will be payable in Vietnamese Dong, except for the cases specified above.

Is the payment of fees in Vietnam carried out on a yearly basis?

According to Clause 2, Article 3 of this Decree, it also prescribes the organization that collects fees and charges, declares fees and charges collected as follows:

2. Collectors shall carry out the declaration and transfer of collected fees and charges in accordance with the following regulations:

a) Collectors shall transfer the entire collected fees and charges to the state budget. Collectors shall carry out the declaration and transfer of collected fees and charges on a monthly basis, and make final settlement of fees on an annual basis in accordance with regulations of the law on tax management.

b) Collectors must transfer collected amount of fees to the Accounts for fees paid to state budget, which are opened at the State Treasuries, on a daily, weekly or monthly basis. Based on the amount of collected fees and the distance from the collection place to the State Treasury, the competent state agencies referred to in Clause 2 Article 4 of the Law on fees and charges shall set down specific daily, weekly or monthly periods in order that collectors transfer collected fees during the period to accounts for fees paid to state budget.

Collectors shall carry out the declaration on collected fees on a monthly basis and make final settlement on annual basis in accordance with regulations of the law on tax management, and transfer payable fees to state budget after deducting the amount being left for collectors.

c) Collectors of fees for use of roads and overseas Vietnamese representative missions shall carry out the declaration, collection and transfer of fees and charges as regulated by Ministry of Finance.

According to this Article, the declaration of fee payment in Vietnam will be conducted on a monthly basis and will be finalized on a yearly basis after deducting the amount of the fee left in accordance with the above provisions.

Best Regards!