Vietnam: Persons who are subject to administrative penalties for tax and invoice violations will receive a sanctioning decision

According to Article 39 of the Decree No. 125/2020/NĐ-CP of Vietnam’s Government, transmission and delivery of tax or invoice-related administrative penalty charge decisions are prescribed as follows:

1. Within the duration of 02 working days from the date of grant of an administrative penalty charge decision, the person having the authority to issue such decision must send or transmit the decision to the violating person or entity, the authority in charge of collecting fines and other relevant authorities (if any) for the purpose of execution of the decision.

2. The administrative penalty charge decision must be electronically sent to the taxpayer’s mailing address registered with the supervisory tax authority if the sanctioned entity or person meets eligibility requirements for electronic tax transactions. Unless they meet such requirements, the penalty charge decision must be transmitted directly or sent in the form of registered mails by post as per clause 3 and 4 of this Article.

3. In cases where the administrative penalty charge decision is transmitted directly, the officer transmitting such decision must make a report on transmission of that administrative penalty charge decision. In case where the penalty charge decision is transmitted directly but the violating entity or person deliberately ignore it, the competent person shall make a report on refusal to receive the decision attested by the local authority and, to such extent, the decision shall be deemed as sent and received.

4. With respect to the decision which is sent by post in the form of the registered mail, if the violating entity or person deliberately ignore it after 10 days from the date on which the administrative penalty charge decision is sent by post till the third time and returned; if the administrative penalty charge decision has been posted at the residence of the violating person, the office of the violating entity, or it is established that the violating person evades receiving the administrative penalty charge decision, the decision shall be deemed sent and received.

In cases where the tax authority sends the administrative penalty charge by post, the delivery note of the postal agency (confirming the successful delivery of the administrative penalty charge decision to the violating entity or person) must be filed in the archives of sanctioning documents and records.

View more details at the Decree No. 125/2020/NĐ-CP of Vietnam’s Government, effective from December 05, 2020.

Thuy Tram

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