The Ministry of Finance of Vietnam to coordinate in directing tax management activities

The Ministry of Finance of Vietnam to coordinate in directing tax management activities (Internet image)

Regarding this matter, LawNet would like to answer as follows: 

The Ministry of Finance of Vietnam to coordinate in directing tax management activities

To effectively implement the government's directives and the Prime Minister's instructions on enhancing the management and use of electronic invoices, as well as accelerating the recovery and handling of overdue tax debts, ensuring that the ratio of overdue tax debts to the total state budget revenue by December 31, 2024 does not exceed 8%, and the total tax and fee debts by the end of 2024 do not exceed 5% of the total state budget revenue in 2024, mobilizing the comprehensive strength of the entire political system in the task of recovering tax debts to the state budget and contributing to the achievement of socio-economic development goals, the Ministry of Finance proposes that the following tasks be well implemented by relevant authorities at the provincial and local levels:

(1) Implementation of the application of electronic invoices

- Establish a steering committee to implement the use of electronic invoices generated from cash registers within the jurisdiction, with the leaders of the provincial People's Committees as the committee chairman and representatives from the Tax Department, the Police, the Market Management Department, the Department of Finance, the Department of Justice, the Department of Planning and Investment, the Department of Industry and Trade, the Department of Information and Communication, the Department of Health, the Department of Culture, Sports, and Tourism, the Department of Transport, etc. as committee members; develop operating regulations and assign tasks to each member for implementation.

- Coordinate closely with the tax authorities in the overall implementation of electronic invoices, particularly those generated from cash registers, to ensure synchronized and effective implementation.

- Review, disseminate, encourage, and require businesses and business households subject to the application of electronic invoices generated from cash registers, especially in the retail sectors directly serving consumers, as directed by the government and the Prime Minister, such as restaurants, hotels, catering services, passenger road transport, petroleum, gold and silver trading, commercial centers, entertainment services, beauty services, retailing of pharmaceuticals, road tolls, cable cars, etc. Implement the registration for the application of electronic invoices generated from cash registers in 2024 (reaching a minimum of 70% of the total number of businesses and business households subject to the implementation according to the Implementation Plan of the Tax Department).

- Establish inspection teams to conduct cross-sectoral inspections of businesses and business households that have registered for the application of electronic invoices, specifically electronic invoices generated from cash registers, in various business sectors, ensuring that 100% of transactions are recorded and electronic invoices are issued fully. Detect and strictly handle cases where registration is made but not implemented, or where electronic invoices are not fully issued, violating tax laws.

- Cooperate with the tax authorities to conduct awareness campaigns for sellers and buyers about the benefits of using electronic invoices generated from cash registers to meet the requirement of continuous, 24/7 invoice issuance, providing convenient conditions for buyers to obtain electronic invoices.

- Direct the People's Committees of districts, towns, and cities, as well as relevant departments, boards, and sectors in the area, to strengthen the management, inspection, monitoring, and post-audit of business activities in their respective industries. At the same time, coordinate with the Tax Department to supervise and promptly detect any violations committed by businesses, especially in terms of invoice trading.

(2) Regarding the management of debts and tax recovery

- Establish a Steering Committee to accelerate the recovery of overdue tax debts and debts related to land use, land rent in the province/city (referred to as the Steering Committee), led by the leaders of the People's Committees of provinces and cities, with representatives from the central authorities, as well as the People's Committees of districts, towns, and subordinate townships or units involved. Review, supplement tasks for the Steering Committee (if already established), assign specific tasks to each member, and develop detailed plans and programs of activities for implementation.

- The Steering Committee reviews the list of taxpayers with large tax debts in the area, identifies specific measures to recover tax debts for each taxpayer, reports to the People's Committees of provinces and cities, and organizes working sessions to urge the recovery of tax debts. On a monthly basis, the Steering Committee reports the results of its activities to the People's Committees of provinces and cities and the Ministry of Finance (through the General Department of Taxation) for monitoring and timely guidance.

- Direct relevant agencies in the area (commercial banks, credit institutions, the police, information and communication agencies, planning and investment, natural resources and environment, finance, construction, immigration management, etc.) to closely coordinate with the tax authorities in implementing enforcement measures as stipulated in the Law on Tax Administration 2019 to recover overdue tax debts. Particularly for debts related to land use, land rent, and mineral exploitation rights, efforts should be concentrated on resolving difficulties and obstacles (if any) to expedite the recovery of tax debts. For protracted projects and extended tax debts where financial obligations to the state are not fulfilled, the Steering Committee advises the People's Committees of provinces and cities on land recovery in accordance with regulations.

- Instruct the tax authorities and relevant agencies to coordinate in providing information for the timely and effective implementation of enforcement measures to recover tax debts, publicly disclose information about taxpayers with protracted tax debts through mass media channels as required by law, and strengthen the application of temporary travel restrictions for individuals who are legal representatives of taxpayers (businesses) subject to enforcement of administrative decisions on tax management but have not fulfilled their tax obligations, especially in cases where they are no longer operating at the registered address.

- Direct the Department of Information and Communication and media agencies in the area to closely coordinate with the tax authorities to enhance the dissemination of tax policies and laws, particularly the provisions on debt management and tax enforcement, through various information channels to encourage taxpayers' voluntary compliance with tax obligations and prevent the accumulation of tax debts.

Nguyen Ngoc Que Anh

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE