Name: Công ty Kiểm toán và Tư vấn EXPERTIS
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Question 1

What is the penalty for a runaway bill?

Accepted Answer

“Runaway bill” is a lower case word, but not the right word. The correct word is “Invoice of the business leaving the place of business” or “Illegal invoice”

In order to determine how to handle a runaway invoice, it is necessary to determine the time when the tax agency or the competent authority (Investigating Authority) determines this is an illegal invoice.

1. In case the competent authority has not determined that the invoice is illegal, the following shall apply:

- In case the enterprise has not yet declared and withheld VAT, the tax authority shall notify the enterprise in writing to suspend the declaration of withholding VAT for invoices showing signs of law violation, waiting for Official results of the competent authority. Enterprises are only allowed to declare and deduct input VAT on invoices that show no signs of law violation.

- In case the enterprise has declared VAT withholding, the tax authority shall notify in writing the enterprise so that it can declare and reduce the deducted VAT amount. In case the enterprise confirms that the purchase and sale of goods and the input VAT invoice using the deduction declaration is correct, the enterprise must commit to take responsibility before the law, and at the same time, the tax authority must conduct an inspection. , check at the enterprise to conclude and handle violations according to regulations. In the course of inspection and examination, it is necessary to verify and compare with the enterprise having a trading relationship on a number of contents as follows:

Inspection and verification of goods:
- Goods sale and purchase contract (if any);
- form of goods delivery;
- the place of delivery of goods;
- means of transporting goods;
- shipping prices;
- the owner of the goods and the origin of the goods (before the time of delivery of the goods)
Check payment verification:
- Transactional banking;
- payers to the account for transactions;
- number of transactions performed;
- payments; payment vouchers.
Verification of export of goods:
- Customs declaration certified by the customs authority;
- documents of payment via bank;
- Bill of lading (if any).

Through inspection, if it is verified that the purchase and sale of goods is real and in accordance with the provisions of law, the enterprise shall be entitled to VAT deduction and refund; at the same time, request the enterprise to commit that if in the dossiers and documents the enterprise presents to the tax office, it is later discovered that there are violations, the enterprise must take responsibility before the law.

In case of detecting signs of tax law violations or crimes, the dossiers shall be made and transferred to competent agencies for investigation and prosecution.

– If the suspension of tax deduction leads to an increase in the payable VAT amount, the tax authority is responsible for summarizing and monitoring these cases. competent authority.

2. In case the competent authority has determined that the invoice is illegal, the following shall apply:

+ In case the seller provides illegal invoices: Not allowed to deduct tax and be sanctioned for administrative violations on illegal use of invoices.

+ Cases related to the act of buying and selling invoices: Handling in accordance with the law

See more instructions on runaway bills Official Dispatch 11797/BTC-TCT issued by the Ministry of Finance

Question 2

How to penalize purchases without invoices?

Accepted Answer

There are 3 cases to define:

+ In case of purchase of goods from a flat-tax paying unit such as an individual business household, it is necessary to fully comply with regulations on accounting documents, accounting entries and exclusions on the year-end corporate income tax declaration. Enterprises are not penalized for invoices in this case.

+ In case of purchasing agricultural, forestry and fishery products, soil, rock, sand, gravel, etc., in the case where there is no invoice but must make a list according to the provisions of law, the list must be made according to the provisions of law. If the enterprise does not make a legal list, the enterprise shall not be included in the purchase cost of these goods.

+ In case of purchase without an invoice: Not included in the cost, if included, it will be excluded from tax finalization and sanctioned for tax administrative violations.

Question 3

Penalties for violations of tax registration deadlines; notice of business suspension; notice to resume business ahead of time

Accepted Answer

Article 10. Penalties for violations of tax registration deadlines; notice of business suspension; notice to resume business ahead of time

1. A warning shall be imposed for the act of tax registration; notice of business suspension; notice of business resumption before the notice period is overdue from 01 day to 10 days and there are extenuating circumstances.

2. A fine of between VND 1.000.000 and VND 2.000.000 for one of the following acts:

a) Tax registration; notify the resumption of business before the notice period is overdue from 01 day to 30 days, except for the case specified in Clause 1 of this Article;

b) Notice of business operation suspension beyond the prescribed time limit, except for the case specified in Clause 1 of this Article;

c) Failing to notify the suspension of business operations.

3. A fine of between VND 3.000.000 and 6.000.000 shall be imposed for tax registration; notice of business resumption before the notice period is 31 to 90 days past the prescribed time limit.

4. A fine of between VND 6.000.000 and VND 10.000.000 for one of the following acts:

a) Tax registration; notify the resumption of business activities before the notice period is over 91 days or more;

b) Failing to notify the resumption of business activities before the announced deadline, but no tax payable is incurred.

Question 4

Penalties for violations of the time limit for notification of changes in tax registration information

Accepted Answer

1. A warning shall be imposed for one of the following acts:

a) Notice of change of tax registration information beyond the prescribed time limit from 01 to 30 days but do not change the tax registration certificate or the tax identification number notice but there are extenuating circumstances;

b) Notice of change of tax registration information beyond the prescribed time limit from 01 day to 10 days, causing changes to the tax registration certificate or tax identification number notice with extenuating circumstances.

2. A fine ranging from VND 500.000 to VND 1.000.000 shall be imposed for notifying changes in tax registration contents within 01 to 30 days but failing to change the tax registration certificate or code notification. tax amount, except for the case of sanction under Point a, Clause 1 of this Article.

3. A fine of between VND 1.000.000 and VND 3.000.000 for one of the following acts:

a) Notice of change of tax registration contents beyond the prescribed time limit from 31 to 90 days but do not change the tax registration certificate or tax identification number notice;

b) Notice of change of tax registration information beyond the prescribed time limit from 01 day to 30 days, causing changes to the tax registration certificate or tax identification number notice, except for the case specified at Point b, Clause 1 of this Article. .

4. A fine of between VND 3.000.000 and VND 5.000.000 for one of the following acts:

a) Notice of change of tax registration contents beyond the prescribed time limit by 91 days or more, but without changing the tax registration certificate or tax identification number notice;

b) Notification of changes in tax registration contents beyond the prescribed time limit from 31 to 90 days, causing changes to the tax registration certificate or tax identification number notice.

5. A fine of between VND 5.000.000 and VND 7.000.000 for one of the following acts:

a) Notice of changes in tax registration contents beyond the prescribed time limit by 91 days or more, causing changes to the tax registration certificate or tax identification number notice;

b) Failure to notify information changes in tax registration dossiers.

6. The provisions of this Article do not apply to the following cases:

a) Non-business individuals who have been granted a personal income tax identification number are slow to change their identity card information when they are issued with a citizen identification card;

b) The income-paying agency is late in notifying the change of identity card information when individual income taxpayers who are authorized to finalize personal income tax are issued with citizen identification cards;

c) Notice of change of information in the tax registration dossier about the taxpayer's address beyond the prescribed time limit due to the change of administrative boundaries according to the Resolution of the Standing Committee of the National Assembly or the Resolution of the National Assembly.

7. Remedial measures: Forced submission of dossiers of change in tax registration contents for the acts specified at Point b, Clause 5 of this Article.

Question 5

Penalties for false declaration, incomplete declaration of information in the tax file does not lead to a lack of payable tax amounts or does not lead to an increase in the exempted, reduced or refunded tax amounts.

Accepted Answer

Article 12. Penalties for making false declarations or incomplete declarations of contents in tax dossiers that do not lead to a lack of payable tax amounts or an increase in exempted, reduced or refunded tax amounts.

1. A fine ranging from VND 500.000 to VND 1.500.000 shall be imposed for making false declarations or incompletely declaring items in the tax dossier but not related to the determination of tax obligations, except for the acts specified in Clause 2 of this Article. this.

2. A fine ranging from VND 1.500.000 to VND 2.500.000 shall be imposed for making false declarations or incomplete declaration of items on the tax declaration and the appendices attached to the tax declaration but not related to the determination of obligations. tax.

3. A fine of between VND 5.000.000 and VND 8.000.000 for one of the following acts:

a) Wrong declaration or incomplete declaration of criteria related to the determination of tax liability in the tax dossier;

b) Acts specified in Clause 3, Article 16; Clause 7 Article 17 of this Decree.

4. Remedies:

a) Forcible re-declaration and additional submission of documents in the tax file, for the acts specified in Clauses 1, 2 and Point a, Clause 3 of this Article;

b) Forcible adjustment of losses, deductible input value-added tax amounts (if any) for the acts specified in Clause 3 of this Article.

Question 6

Penalties for violations of the deadline for filing tax returns (delay in submitting tax returns)

Accepted Answer

1. A warning will be imposed for the act of submitting tax declaration dossiers beyond the deadline from 01 day to 05 days and there are extenuating circumstances.

2. A fine ranging from VND 2.000.000 to VND 5.000.000 shall be imposed for submitting tax declaration dossiers beyond the deadline from 01 day to 30 days, except for the case specified in Clause 1 of this Article.

3. A fine ranging from VND 5.000.000 to VND 8.000.000 shall be imposed for submitting tax declaration dossiers beyond the prescribed time limit from 31 days to 60 days.

4. A fine of between VND 8.000.000 and VND 15.000.000 for one of the following acts:

a) Submitting tax declaration dossiers beyond the prescribed time limit from 61 days to 90 days;

b) Submitting tax return by 91 days or more but no tax payable;

c) Failing to submit tax declaration dossiers but not generating payable tax amounts;

d) Failing to submit the appendices according to regulations on tax administration for enterprises having related-party transactions together with the enterprise income tax finalization dossiers.

5. A fine ranging from VND 15.000.000 to VND 25.000.000 shall be imposed for submitting tax declaration dossiers overdue for more than 90 days from the deadline for submitting tax declaration dossiers, generating tax payable and taxpayers. the tax has paid the full amount of tax and late payment interest to the state budget before the time the tax agency announces the decision on tax inspection or tax inspection or before the time the tax authority makes a record on the act of late filing. declare tax according to the provisions of Clause 11 Article 143 of the Law on Tax Administration.

In case the fine amount, if applied under this Clause, is larger than the tax amount incurred on the tax return, the maximum fine amount in this case is equal to the arising tax payable on the tax return, but not lower than the tax amount. than the average of the fine bracket specified in Clause 4 of this Article.

6. Remedies:

a) Enforce the payment of the late tax payment amount to the state budget, for violations specified in Clauses 1, 2, 3, 4 and 5 of this Article in case the taxpayer is late in submitting the tax return. leads to late payment of tax;

b) Enforced submission of tax declaration dossiers and appendices together with tax declaration dossiers, for the acts specified at Points c and d, Clause 4 of this Article.

Question 7

Penalties for violations of regulations on providing information related to tax liability determination

Accepted Answer

1. A fine of between VND 2.000.000 and VND 3.000.000 for one of the following acts:

a) Providing information, documents and legal documents related to tax registration according to the notice of the tax authority by 05 working days or more after the prescribed time limit;

b) Providing information, documents, accounting books related to the determination of tax obligations according to the notice of the tax authority by 05 working days or more.

2. A fine of between VND 3.000.000 and VND 5.000.000 for one of the following acts:

a) Failing to provide or provide incomplete or inaccurate information, documents, vouchers, invoices and accounting books related to the determination of tax obligations; provide incomplete or inaccurate account numbers, deposit account balances and payment accounts to competent authorities upon request;

b) Failing to provide or providing incompletely or incorrectly the targets and data related to tax obligations to be registered as prescribed, but does not reduce tax obligations to the state budget;

c) Failing to provide or provide incomplete or inaccurate information and documents related to deposit accounts, payment accounts at credit institutions, the State Treasury, debts of third parties with relevant when required by the tax authority.

3. Remedial measures: Forcible provision of information for acts specified in Clause 2 of this Article.

Question 8

Sanctions for violations of regulations on compliance with tax inspection and examination decisions, and enforcement of tax administrative decisions

Accepted Answer

Article 15. Penalties for violations against regulations on compliance with tax inspection and examination decisions, and enforcement of tax administrative decisions

1. A fine of between VND 2.000.000 and VND 5.000.000 for one of the following acts:

a) Failing to receive tax inspection and examination decisions or decisions on enforcement of tax administrative decisions when assigned or sent by tax authorities in accordance with law;

b) Failing to comply with tax inspection and examination decisions within 03 working days or more from the date on which the decision of the competent authority must be complied with;

c) Providing dossiers, documents, invoices, vouchers and accounting books related to tax obligations beyond 06 working hours from the date of receipt of a request from a competent authority during the audit period. inspect and inspect at the taxpayer's office;

d) Providing incomplete and inaccurate information, documents and accounting books related to the determination of tax obligations at the request of competent authorities during tax inspection and inspection at the head office. taxpayers;

dd) Failing to sign the tax inspection and examination minutes within 05 working days from the date of making or the date of public announcement of the minutes.

2. A fine of between VND 5.000.000 and VND 10.000.000 for one of the following acts:

a) Failing to provide data, documents and accounting books related to the determination of tax obligations when requested by a competent authority during tax inspection and inspection at the taxpayer's office;

b) Failing to implement or improperly implementing the decision on sealing of documents, materials, fund, warehouse of goods, supplies, raw materials, machinery, equipment, and workshops;

c) Arbitrarily removing or changing seal signs legally created by competent authorities.

3. Remedial measures: Forcible provision of information, documents and accounting books related to the determination of tax obligations, for the acts specified at Point d, Clause 1 and Point a, Clause 2 of this Article.

Question 9

Penalties for false declaration leading to a lack of payable tax amount or an increase in the amount of tax exempted, reduced or refunded

Accepted Answer

Article 16. Sanctions for making false declarations leading to a lack of payable tax amounts or an increase in the exempted, reduced or refunded tax amounts.

1. A fine of 20% of the under-declared tax amount or the exempted, reduced or refunded tax amount higher than prescribed for one of the following acts:

a) Wrong declaration of tax bases or deductible tax amounts, or wrong identification of cases eligible for tax exemption, reduction or refund, leading to a lack of payable tax amounts or an increase in exempted, reduced or refunded tax amounts, but economic services have been fully reflected on the system of legal accounting books, invoices and documents;

b) Wrong declaration reduces the payable tax amount or increases the refunded or reduced tax amount, which is not the case specified at Point a of this Clause but the taxpayer has voluntarily made additional declarations and paid enough tax arrears into the state budget before the tax authority ends the tax inspection and examination time limit at the taxpayer's office;

c) Making false declarations reduces the payable tax amount or increases the refunded tax amount, the exempted or reduced tax amount has been determined by a competent authority that makes a tax inspection or examination record or an administrative violation record. is an act of tax evasion but the taxpayer commits an administrative violation for the first time in terms of tax evasion, has made an additional declaration and paid the full tax amount into the state budget before the time the competent authority issues a sanctioning decision, and the tax authority has made a record to determine that the act of making false declarations leads to a lack of tax;

d) Wrong declaration resulting in a lack of payable tax amount or an increase in the tax exempted, reduced or refunded for related transactions but the taxpayer has made a dossier of market price determination or has prepared and sent it to the tax authority. annexes according to regulations on tax administration for enterprises having associated transactions;

dd) Using illegal invoices and vouchers to record the value of purchased goods or services, which reduces the payable tax amount or increases the refundable tax amount or the exempted or reduced tax amount but when the If the customs authority inspects and checks, the buyer can prove that the violation is caused by using illegal invoices and documents belonging to the seller, and the buyer has made full accounting records according to regulations.

2. Remedies:

a) Forcible payment of the insufficient tax amount, the tax refunded, exempted or reduced higher than prescribed and the late payment interest of tax into the state budget, for the acts specified in Clause 1 of this Article.

If the statute of limitations for sanctioning has expired, the taxpayer will not be sanctioned as prescribed in Clause 1 of this Article, but the taxpayer must fully pay the insufficient tax amount, and the tax refunded, exempted or reduced is higher than prescribed and interest on late payment of tax into the state budget within the time limit specified in Clause 6, Article 8 of this Decree;

b) Forcible adjustment of losses, deductible input value-added tax amounts (if any) for the acts specified in Clause 1 of this Article.

3. If the taxpayer makes false declarations as prescribed at Points a, b, d, Clause 1 of this Article, but does not lead to a lack of payable tax amount, an increase in the exempted, reduced, or unpaid tax amounts, no be sanctioned according to the provisions of this Article but sanctioned according to the provisions of Clause 3, Article 12 of this Decree.

Question 10

Penalties for tax evasion

Accepted Answer

Article 17. Sanctions for tax evasion

1. A fine of 1 times the evaded tax amount for taxpayers with one or more extenuating circumstances when committing one of the following violations:

a) Failing to submit tax registration dossiers; failing to submit a tax return or submit a tax return after 90 days from the date of expiration of the time limit for submitting tax returns or from the date of expiration of the extension of time limit for filing tax returns, except for the case specified at point b. , c Clauses 4 and 5, Article 13 of this Decree;

b) Failing to record in the accounting books the revenues related to the determination of the payable tax amount, failing to declare or making false declarations leading to a lack of payable tax amounts or an increase in the amount of tax refunded, exempted or reduced. , except for the acts specified in Article 16 of this Decree;

c) Failing to issue invoices when selling goods or services, unless the taxpayer has declared tax on the value of sold and supplied goods and services in the corresponding tax period; issue invoices for sale of goods or services with incorrect quantity and value of goods and services for tax declaration, which is lower than the actual amount and is discovered after the deadline for submitting tax declaration dossiers;

d) Illegal use of invoices; Illegally using invoices to declare tax reduces the payable tax amount or increases the tax refunded, exempted or reduced tax amounts;

d) Illegal use of vouchers; illegal use of vouchers; using vouchers and documents that do not reflect the true nature of the transaction or the actual transaction value to incorrectly determine the payable tax amount, the exempted or reduced tax amount, or the refundable tax amount; making procedures and dossiers for destruction of supplies and goods which are not true, which reduces the payable tax amount or increases the tax amount to be refunded, exempted or reduced;

e) Using goods that are not subject to tax, tax exemption or consideration for tax exemption for improper purposes without declaring the change of use purpose or declaring tax to the tax authority;

g) The taxpayer has business activities during the time of application for suspension or suspension of business activities but fails to notify the tax authority, except for the case specified at Point b, Clause 4, Article 10 of this Decree.

2. A fine of 1,5 times the evaded tax amount shall be imposed on taxpayers who commit one of the acts specified in Clause 1 of this Article without aggravating or mitigating circumstances.

3. A fine twice the evaded tax amount shall be imposed on the taxpayer who commits one of the acts specified in Clause 2 of this Article with an aggravating circumstance.

4. A fine of 2,5 times the evaded tax amount shall be imposed on taxpayers who commit one of the acts specified in Clause 1 of this Article with two aggravating circumstances.

5. A fine of 3 times the evaded tax amount for taxpayers who commit one of the acts specified in Clause 1 of this Article with three or more aggravating circumstances.

6. Remedies:

a) Forcible payment of the full amount of tax evaded into the state budget, for violations specified in Clauses 1, 2, 3, 4, 5 of this Article.

If the act of tax evasion specified in Clauses 1, 2, 3, 4, 5 of this Article has passed the statute of limitations for sanctioning, the taxpayer will not be sanctioned for the act of tax evasion but the taxpayer must pay the full amount. evaded tax and late payment interest shall be calculated on the amount of tax evaded into the state budget within the time limit specified in Clause 6, Article 8 of this Decree.

b) Forcible adjustment of losses, deductible input value-added tax amounts on tax records (if any) for the acts specified in Clauses 1, 2, 3, 4, 5 of this Article.

7. Violations specified at Points b, dd, and e, Clause 1 of this Article are detected after the deadline for submitting tax declaration dossiers but do not reduce the payable tax amount or have not been refunded, do not increase the tax amount. exempted or reduced tax amounts shall be administratively sanctioned according to the provisions of Clause 3, Article 12 of this Decree.

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Tax law provisions

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Sanctions for administrative violations on taxes and invoices (from December 05, 12)

What is an administrative violation on taxes and invoices? #

What is a tax administrative violation?

What is an administrative violation on invoices?

The statute of limitations for sanctioning administrative violations of tax and invoices #

General provisions on statute of limitations for sanctioning administrative violations:

Special case:

The time limit is considered to have not been sanctioned for administrative violations on taxes and invoices

The cases of not sanctioning administrative violations of tax, invoices #

What should businesses pay attention to to avoid administrative penalties for tax and invoice violations? #

FAQ - Frequently asked questions: Administrative violations on taxes and invoices #