This is a noteworthy content in Official Dispatch 897/TCT-QLN regarding the extension of tax payment deadlines and the waiver of late payment fees due to the impact of the Covid-19 pandemic, issued by the General Department of Taxation on March 3, 2020.
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In order to promptly alleviate difficulties for taxpayers affected by the Covid-19 pandemic, contributing to assisting taxpayers in stabilizing production and business, overcoming hardships; the General Department of Taxation requests the Directors of Tax Departments of provinces and centrally run cities to direct the implementation of tax late payment interest exemption for taxpayers as follows:
1. Regarding the cases eligible for tax late payment interest exemption
Clause 1, Article 35 of Circular 156/2013/TT-BTC provides for cases eligible for tax late payment interest exemption as follows:
1. Taxpayers who are required to pay late payment interest according to the provisions of Article 34 of this Circular, have the right to request exemption from late payment interest in cases of natural disasters, fires, unexpected accidents, epidemics, serious illnesses, or other force majeure cases.
Among these, an unexpected accident is an unforeseen event that suddenly occurs beyond the taxpayer’s expectations, caused by external factors that directly impact the taxpayer’s production and business activities, not due to any violations of the law. The cases considered as unexpected accidents include: traffic accidents; work accidents; contracting serious illnesses; being infected by an infectious disease at the time and in the regions where the competent authority has declared an infectious disease outbreak; other force majeure cases.
2. Regarding the dossier requesting exemption from tax late payment interest
Clause 3, Article 35 of Circular 156/2013/TT-BTC prescribes the dossier for requesting exemption from late payment interest as follows:
- A written request for exemption from late payment interest from the taxpayer, which includes the following main contents: name, tax identification code, address of the taxpayer; grounds for requesting exemption from late payment interest; the amount of late payment interest requested for exemption;
- Depending on each case, the dossier requesting exemption from late payment interest must supplement the following accompanying documents; in the case of natural disasters, fires, unexpected accidents, epidemics, these include:
+ A record determining the extent and value of the asset damage conducted by the competent authority such as the Pricing Council established by the Department of Finance, professional valuation companies providing valuation services under a contract, or the Pricing Center of the Department of Finance;
+ Written confirmation of the taxpayer having suffered damage at the place where the natural disaster, fire, unexpected accident occurred, and the time of occurrence of such events provided by one of the following authorities or organizations: the communal or ward police, or the People's Committee of the commune or ward, the Management Board of the Industrial Park, Export Processing Zone, Economic Zone where the disaster, fire, unexpected accident occurred, or the rescue and relief organization;
+ The dossier for damage compensation accepted by the insurance agency (if any);
+ The dossier regulating the responsibility of the organization or individual required to compensate (if any).
3. Regarding the authority to exempt tax late payment interest
According to Clause 4, Article 35 of Circular 156/2013/TT-BTC, the authority to exempt tax late payment interest is as follows:
4. The head of the tax authority that issued the late payment interest notice has the authority to issue a decision to exempt late payment interest according to Form No. 01/MTCN (issued together with this Circular) for the notice that they have issued.
See more guidance on tax payment extensions due to the impact of the Covid-19 epidemic HERE.
Nguyen Trinh
