Declaration and payment method applied for business households paying flat tax

Tax authority guided business household applied flat tax in the area to declare and pay tax in 2021.

Guidance on declaration and payment of flat tax for business households

To facilitate business households in tax declaration and payment, tax authorities have instructed business households paying flat tax in the area to declare and pay tax in 2021.

For business households paying flat tax if they use invoices, the revenue and flat tax rate in 2021 for business households does not include revenue and taxes due to using invoices.

Regarding submission of tax declaration dossiers, business households should submit a stable tax declaration at the beginning of the year to the working group at the People's Committees of communes, wards or townships no later than December 15, 2020. If a business household has just started a business or changes its business in the year, they should submit a declaration of tax arising in the year to the inter-ward tax team within 10 days of starting business.

Business households using book of invoices issued by tax authorities should submit reports on the use of invoices quarterly to the “single window” section of the Tax Department no later than the last day of the first month of the quarter following the quarter in which the use of invoice occurs. Business households using single invoices of tax authorities should submit declarations of tax arising together with dossiers of request to buy single invoices in accordance with regulations.

Regarding flat tax payment, business households pay tax into the State budget or through an organisation of encashment order (if any) in accordance with tax authorities' notices. Notifications of tax authorities are sent to business households no later than January 20, 2021, or on the 20th of every month for new business households that have started their business in the year.

The deadline for paying monthly taxes and fees of household businesses is the final day of the month. If a household has just started a business or changes its business, the deadline for payment is the last day of the following month.

After paying tax into the State budget, the business household will receive a tax payment document certified by the Commercial Bank/State Treasury or an electronic document (if tax is paid electronically) to serve as a basis for determining the business household has fulfilled tax obligations. In cases where the business household paying tax through organisation of encashment order, the business household will receive a payment receipt from the authorised organisation.

Disclose information of business households paying flat tax

According to the Hanoi Tax Department, the tax authority publicly discloses information about business households paying flat tax for the first time from December 20, 2020, while the second disclosure is from January 20, 2021.

The information includes: List of individuals subject to tax exemption; list of individuals subject to tax obligation; list of individuals using invoices of tax authority; and a list of business households paying flat tax in the same area/category.

Information is disclosed by posting documents publicly at the "Single Window" Division of Tax Department; People's Committees of districts, towns; at appropriate locations of People's Committees of communes, wards and towns; headquarters of Tax unit; Market Management Board or Trade Centre.

Tax authorities can send public documents to People's Councils and Fatherland Fronts of districts, communes, wards and towns, or directly to business households including: announcement on the amount of payable tax together with a list of business households paying flat tax in the same area/industry or posting information of business households in each location on the website of the tax sector.

If business households have problems and feedback on the turnover and flat tax rates, they should contact tax authorities for answering in the following ways: directly contact the Inter-ward Tax Team; directly contact the “Single Window” Division of the Tax Department; make a phone call to the Taxpayer Assistance Unit of Tax Branch, which is publicly posted at the Tax branch's "Single Window" Division; sending documents to tax authorities at all levels; send comments to the e-mail of the Tax branch which is publicly posted at the "Single Window" Division of the Tax branch.

The Tax Authority is responsible for replying within two working days from the date of receiving the feedback.