What is remises of the taxpayer? Regulations on tax audit on taxpayers’ premises in Vietnam

What is remises of the taxpayer? Regulations on tax audit on taxpayers’ premises in Vietnam (Internet image)

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

1. What is remises of the taxpayer? 

According to Clause 4, Article 3 of the Law on Tax Administration 2019, premises of the taxpayer means the location where the taxpayer partially or fully operate their business, including the headquarters, branches, stores, factories, goods storage, asset storage; residences or places where tax is incurred.  

2. Regulations on tax audit on taxpayers’ premises in Vietnam

Regulations on tax audit on taxpayers’ premises in Vietnam according to Article 110 of the Law on Tax Administration 2019 are as follows:

- Tax audit on a taxpayer’s premises shall be carried out in the following cases:

+ The tax refund claim is subject to inspection before refund or eligible for refund before inspection;

+ The cases specified in Point b Clause 2 Article 109 of the Law on Tax Administration 2019;

+ Post-clearance inspection on the declarant’s premises shall be carried out in accordance with customs law;

+ Violations are suspected;

+ The inspection is carried out under a plan or theme;

+ The inspection is requested by State Audit Office of Vietnam, State inspectorates or another competent authority;

+ The enterprise is undergoing full division, partial division, merger, amalgamation, conversion, dissolution, shutdown, equitization, TIN invalidation, relocation of business location; other cases of surprise inspection and inspection requested by competent authorities, except for the cases of dissolution or shutdown in which tax is not finalized by tax authorities.

- In the cases specified in Point dd, Point e and Point g Clause 1 of Article 109 of the Law on Tax Administration 2019, tax authorities shall carry out inspection on taxpayers’ premises not more than once per year.

- The tax audit decision shall be sent to the taxpayer within 03 working days and announced within 10 working days from the day on which it is signed. Before the decision is announced, if the taxpayer is able to prove that the declared tax is accurate and the tax has been fully paid, the tax authority shall annul the decision.

- Tax audit procedures:

+ Announce the tax audit decision before carrying out the inspection;

+ Compare the declared information with accounting books, accounting records, financial statements, tax risk analysis, information about the document inspection on the tax authority’s premises, the situation within the scope of the tax audit decision;

+ The duration of the inspection shall not exceed 10 working days and be specified in the inspection decision. The inspection begins when the decision is announced. In case the inspection is complicated, the issuer of the decision may extend the duration for up to 10 more days;

+ Issue a tax audit record within 05 working days from the end of the inspection;

+ Take proper actions or request a competent authority to take actions according to the inspection results.

- Post-clearance inspection shall be carried out in accordance with customs law.

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE