Extension of excise tax payment deadlines on domestically manufactured or assembled automobiles in Vietnam 2023

Extension of excise tax payment deadlines on domestically manufactured or assembled automobiles in Vietnam 2023 (Internet image)

1. Extension of excise tax payment deadlines on domestically manufactured or assembled automobiles in Vietnam 2023

According to Article 3 of Decree 36/2023/ND-CP stipulating the Extension of excise tax payment deadlines on domestically manufactured or assembled automobiles in Vietnam:

- Extending deadlines for paying excise taxes on domestically manufactured or assembled automobiles which are payable in the tax periods of June, July, August, and September 2023. The extension period starts from the excise tax payment deadline set by the tax administration law and ends on November 20, 2023, in specific:

+ The deadline for paying the excise tax which is payable in June 2023 tax period is November 20, 2023.

+ The deadline for paying the excise tax which is payable in July 2023 tax period is November 20, 2023.

+ The deadline for paying the excise tax which is payable in August 2023 tax period is November 20, 2023.

+ The deadline for paying the excise tax which is payable in September 2023 tax period is November 20, 2023.

- Regulations for some cases:

+ If the taxpayer files an additional declaration after the initial tax filing for an extended tax period, resulting in an increased payable excise tax amount, and sends it to the tax authority prior to the extended tax payment deadline, then the extended tax amount should include the additional tax payable due to the additional declaration.

+ In case the taxpayers are eligible for an extension to make and file excise tax declarations in accordance with applicable law, they do not have to pay the payable excise tax amount arising on the excise tax declaration form during the extended period.

+ Branches or affiliated entities of an enterprise may file a separate excise tax declaration with the supervisory tax authority. If they do so, they are also eligible for an extension to pay their excise tax. Branches or affiliated entities of enterprises without automobile production or assembly activities are ineligible for the excise tax payment extension.

2. Procedures for Extension of excise tax payment deadlines on domestically manufactured or assembled automobiles in Vietnam

Procedures for Extension of excise tax payment deadlines on domestically manufactured or assembled automobiles in Vietnam are specified in Article 4 of Decree 36/2023/ND-CP as follows:

- Taxpayers who are eligible for an extension must file a written application for extension of excise tax payment deadline with the supervisory tax authority electronically, in person, or by post, as provided in the Appendix of Decree 36/2023/ND-CP.

The application should be filed with the excise tax declaration in accordance with the law on tax administration. In case the application for extension of the excise tax payment deadline is not filed at the same time as the filing date of the excise tax declaration, their filing deadline is November 20, 2023. Tax authorities still extend the deadlines for paying excise tax as prescribed in Article 3 of Decree 36/2023/ND-CP.

- Taxpayers shall make sure that they meet the extension eligibility requirements under this Decree and take responsibility for their extension applications.

- Tax authorities are not required to notify taxpayers of their acceptance of an extension of the excise tax payment deadline. If the tax authority determines that the taxpayer is ineligible for the extension during the extension period, they will notify the taxpayer in writing of the suspension.

The taxpayer must then make sufficient payments of both tax and late payment interest to the state budget. If, after the expiration of the extension period, the tax authority discovers during an inspection that the taxpayer was ineligible for the extension as prescribed in Decree 36/2023/ND-CP, then the taxpayer must pay the outstanding tax, fines, and late payment interests that are re-determined by the tax authority into the state budget

- During the extended period of excise tax payment, the tax authority will not charge late payment interest for the extended excise tax amount.

In case the tax authority has charged the late payment interests for the excise tax declarations eligible for the extension under Decree 36/2023/ND-CP, they shall cancel these charges.

Decree 36/2023/ND-CP takes effect from June 21, 2023 to the end of December 31, 2023.

Nguyen Ngoc Que Anh

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