Instructions for paying tax during settlement of complaints and lawsuits in Vietnam

Instructions for paying tax during settlement of complaints and lawsuits in Vietnam (Internet image)

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

1. Regulations on tax complaints and lawsuits in Vietnam

The provisions on tax complaints and lawsuits under Articles 147 and 148 of the Law on Tax Administration 2019 are as follows:

* Complaints and denunciations

- Taxpayers, other organizations and individuals are entitled to file complaints to competent authorities against an administrative decision or action of a tax authority or tax official if they think such decision or action violates their the lawful rights and interests.

- Individuals are entitled to denounce violations against tax laws committed by taxpayers, tax officials, other organizations and individuals.

- Complaints and denunciations shall be settled in accordance with regulations of law on complaints and denunciations.

* Filing lawsuits

Lawsuits against administrative decisions and actions of tax authorities and tax officials shall be filed in accordance with regulations of law on administrative proceedings.

2. Instructions for paying tax during settlement of complaints and lawsuits in Vietnam

Instructions for paying tax during settlement of complaints and lawsuits in Vietnam under Article 61 of the Law on Tax Administration 2019 are as follows:

- The time limit for settling complaints and lawsuits filed by taxpayers shall be decided by tax authorities.

The taxpayers still have to pay the tax, late payment interest and fines unless a competent authority issues a decision to suspend the tax decision or tax liability imposition decision issued by the tax authority.

- If the paid tax, late payment interest or fine is greater than that determined by the court decision, judgment or the complaint settlement decision issued by a competent authority, the overpaid amount will be refunded.

The taxpayer is entitled to request the tax authority to pay an interest at 0,03% per day on the overpaid amount. The interest shall be paid by central government budget in accordance with regulations of law on state budget.

- Procedures for handling overpaid tax, late payment interest or fine mentioned in Clause 2 of this Article are specified in Clause 5 Article 60 of the Law on Tax Administration 2019.

3. Responsibilities and entitlements of tax authorities in settlement of tax-related complaints in Vietnam

Responsibilities and entitlements of tax authorities in settlement of tax-related complaints under Article 149 of the Law on Tax Administration 2019 are as follows:

- The tax authority that receives the complaint is entitled to request the plaintiff to provide supporting documents. If the plaintiff fails to provide such documents, the tax authority is entitled to reject the complaint.

- The tax authority shall return the tax, late payment interest and fine incorrectly collected to the taxpayer or the third party within 15 days from the receipt of the handling decision from the complaint-settling authority.

- If the case is complicated, the head of the complaint-settling authority shall consult with relevant organizations, in which case a counseling council shall be established.

The counseling council shall vote under the majority rule. The voting result is the basis for the head of the tax authority to settle the complaint.

The head of the tax authority shall make the final decision and take responsibility for such decision.

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