Vietnam: Order to apply risk management in tax management

1. The tax authorities shall collect and process information and data by the electronic mode related to the taxpayers; develop, operate, manage, use… the “Database system on taxpayers” of the General Department of Taxation.

2. The General Department of Taxation shall develop and submit the criteria for risk management to meet the tax management requirements in each period (03 years) to the Ministry of Finance; carry out the quarterly review, adjustment and addition to ensure the practical updates.

3. Based on the regulations of law, procedures, tax management operation measures, criteria for risk management, database system on taxpayers and application of database system of tax operation information, the tax authorities shall analyze, define and assess the risk level; assess the taxpayers’ compliance with law; manage the risk dossiers of key subjects in violation of tax law.

4. Based on the result of assessment of risk level and compliance with law of the taxpayers, the tax authorities shall apply the measures: Management of tax registration; management and verification of tax declaration, payment; tax verification and inspection; classification of tax refund dossier; measures to enforce the administrative decision on tax; classification of subjects creating, printing, issuing, managing and using the printed matters of tax and other necessary operation measures to the taxpayers.

5. The tax authorities shall monitor, update, assess information and give feedback on the result of implementation of tax management measures to the taxpayers; measure the level of compliance with law of the taxpayers.

6. The tax authorities shall manage, store and provide information and data; direct and guide the modification and addition of application of risk management to ensure the effectiveness of tax management.

Circular No. 204/2015/TT-BTC of the Ministry of Finance of Vietnam takes effect from February 04, 2016.

- Ngoc Duyen -

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