What is cancellation of refund of overpaid tax, late payment interest and fines when taxpayers refuse to receive overpaid amount in Vietnam?

What is cancellation of refund of overpaid tax, late payment interest and fines when taxpayers refuse to receive overpaid amount in Vietnam?

Pursuant to Clause 1, Article 26 of Circular 80/2021/TT-BTC providing for cancellation of refund of overpaid tax, late payment interest and fines when taxpayers refuse to receive overpaid amount as follows:

In case the taxpayer has an overpaid amount which is not eligible for refund and the tax authority finalizes the overpaid amount on the accounting books or tax administration system according to Clause 3 Article 60 of the Law on Tax Administration:

1. In the case specified in Point a Clause 3 Article 60 of the Law on Tax Administration:

a) The taxpayer shall send a document rejecting the refund according to Form No. 01/DNKHT in Appendix I hereof.

b) The tax authority specified in Clause 4 of this Article shall receive and process the taxpayer's document within 05 working days from its receipt as follows:

b.1) If information matches, the tax authority shall issue the decision on refund cancellation according to Form No. 01/QD-KHTNT in Appendix I hereof and send it to the taxpayer.

b.2) If information does not match, the tax authority shall send the taxpayer a request for explanation and supplementary documents according to Form No. 01/TB-BSTT-NNT enclosed with Decree No. 126/2020/ND-CP.

The explanation and supplementation time shall be excluded from the processing time. If the taxpayer's explanation and supplementary documents match the information on the tax administration system, the tax authority shall issue the decision on refund cancellation. If the taxpayer fails to provide explanation and supplementary information by the deadline imposed by the tax authority, the tax authority shall send the taxpayer a notification that the taxpayer's overpaid amount cannot be finalized according to Form No. 02/TB-KHTNT and provide explanation.

What is cancellation of refund of overpaid tax, late payment interest and fines in case the taxpayer is not operating at the registered address where the overpaid amount occurs but does not respond in Vietnam?

Pursuant to Clause 2, Article 26 of Circular 80/2021/TT-BTC on cancellation of refund of overpaid tax, late payment interest and fines in case the taxpayer is not operating at the registered address where the overpaid amount occurs but does not respond as follows:

2. In case the taxpayer is not operating at the registered address where the overpaid amount occurs as prescribed in Point b Clause 3 and Clause 4 Article 60 of the Law on Tax Administration:

a) After 180 days from the day on which the tax authority issues the notification that the taxpayer no longer operates at the registered address, the supervisory tax authority shall publish the notification of the taxpayer's overpaid amount (Form No. 01/DSKNT) on its website and mass media after the tax authority offsets the overpaid amount and debts of the taxpayer nationwide.

b) before issuing the notification of the taxpayer's overpaid amount mentioned in Point a of this Clause, the supervisory tax authority shall cooperate with the state budget revenue-managing tax authority or the tax authority of the receiving province in determining the taxpayer's overpaid amounts and debts nationwide after offsetting is carried out by the tax administration system according to Point a.1 Clause 1 Article 25 of this Circular; issue a decision on refund cum state budget offsetting according to Form No. 02/QDHT in Appendix I hereof (the refunded amount is equal to the offset debt, no amount is refunded after offsetting). The tax authority shall send an order for return and offsetting of state budget revenues to State Treasury in accordance with Article 47 of this Circular.

c) After 01 years from the issuance date of the notification mentioned in Point a of this Clause, if the tax authority does not receive any written request for refund of the overpaid amount form the taxpayer, the supervisory tax authority shall issue the decision on refund cancellation according to Form No. 01/QD-KHTNT in Appendix I hereof and finalized the taxpayer's overpaid amount which is not refunded on the accounting book.

d) Within 03 working days from the day on which the taxpayer's overpaid amount is finalized on the accounting books, the supervisory tax authority shall publish the decision on refund cancellation on its website.

Best Regards!