Procedures for deferral of payment of excise tax on domestically produced or assembled automobiles in Vietnam

Procedures for deferral of payment of excise tax on domestically produced or assembled automobiles in Vietnam (Image from the internet)

1. Regulations on the deferral of payment of excise tax on domestically produced or assembled automobiles in Vietnam

Article 3 of Decree 65/2024/ND-CP stipulates the deferral of payment of excise tax on domestically produced or assembled automobiles in Vietnam as follows:

- deferral of tax payment for the payable excise tax arising from the tax periods of May, June, July, August, and September 2024 for locally manufactured or assembled automobiles. The extension period lasts from the end of the statutory excise tax payment deadline to November 20, 2024. Specifically:

+ The payment deadline for the excise tax arising from May 2024 tax period is no later than November 20, 2024.+ The payment deadline for the excise tax arising from June 2024 tax period is no later than November 20, 2024.+ The payment deadline for the excise tax arising from July 2024 tax period is no later than November 20, 2024.+ The payment deadline for the excise tax arising from August 2024 tax period is no later than November 20, 2024.+ The payment deadline for the excise tax arising from September 2024 tax period is no later than November 20, 2024.

- Provisions for specific cases:

+ In the case where the taxpayer amends the tax declaration dossier for the extended tax period, leading to an increase in the payable excise tax amount, if the amended declaration is submitted to the tax authority before the extended tax payment deadline, the extended amount includes the additional tax payable due to the amendment.

+ If the taxpayers eligible for the extension submit their excise tax declarations as per existing legal regulations, they are not required to pay the excise tax arising from the declared excise tax forms during the extended period.

+ For enterprises with branches or subordinate units that submit separate excise tax declarations to their respective direct managing tax authorities, these branches or subordinate units are also eligible for the excise tax payment extension. However, if the branches or subordinate units of the enterprise do not engage in automobile manufacturing or assembly, they are not eligible for the excise tax payment extension.

2. Procedures for deferral of payment of excise tax on domestically produced or assembled automobiles in Vietnam

Article 4 of Decree 65/2024/ND-CP stipulates the Procedures for deferral of payment of excise tax on domestically produced or assembled automobiles in Vietnam:

- Taxpayers eligible for the extension shall submit a Request for an Extension of the excise tax Payment Deadline (electronically, directly in paper form to the tax authority, or via postal mail) according to the template in the Appendix issued with Decree 65/2024/ND-CP to the direct managing tax authority once for all extended periods together with the submission of the excise tax declaration dossier according to tax management regulations. If the Request for an Extension of the excise tax Payment Deadline is not submitted together with the excise tax declaration, the deadline for submitting the request is no later than November 20, 2024. The tax authority will still process the extension according to the provisions of Article 3 of Decree 65/2024/ND-CP.

- Taxpayers shall self-determine and take responsibility for ensuring that the request for an extension is accurate and within the eligible scope as per Decree 65/2024/ND-CP.

- The tax authority is not required to notify the taxpayer about the acceptance of the excise tax payment extension. If during the extension period, the tax authority finds sufficient grounds to determine that the taxpayer is not eligible for the extension, the tax authority shall issue a written notice to the taxpayer about the termination of the extension, and the taxpayer must pay the full tax and late payment amount for the period that was extended into the state budget. If after the extension period, the tax authority discovers through inspection or audit that the taxpayer is not eligible for the excise tax payment extension as per Decree 65/2024/ND-CP, the taxpayer must pay the outstanding tax amount, fines, and late payment interest determined by the tax authority into the state budget.

- During the excise tax extension period, the tax authority shall not calculate late payment interest on the extended excise tax amount. If the tax authority has previously calculated the late payment interest for excise tax declaration dossiers subject to the extension as per Decree 65/2024/ND-CP, the tax authority shall adjust and not impose late payment interest on the extended excise tax amount.

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