Extend deadline for paying Special Consumption Tax on domestically produced and assembled cars

	It is necessary to adjust the special consumption tax on harmful goods to health
	Proposal to extend the special consumption tax payment deadline for domestically produced and assembled cars

Production activities at the factory of Hyundai Thanh Cong Vietnam Auto Manufacturing Corporation. Photo: Hong Nu

The Decree stipulates that the payment deadline for the Special Consumption Tax for the Tax terms of May, June, July, August and September in 2024 for domestically produced and assembled cars. The extended deadline is from the expired date the payment of the Special Consumption Tax under the provisions of the Law on Tax Administration until November 20, 2024.

If the tax payer implements an additional tax declaration of the extended tax term, leading to an increase in the Special Consumption Tax payable, and submit it to the Tax authority before the expired date of the extended tax payment deadline, the extended tax amount includes the additional tax payable due to additional declaration.

If the taxpayer is eligible for extension of declaration and submission of Special Consumption Tax declaration under current regulations, the tax payer is not required to pay declared Special Consumption Tax during the extended time.

If branches and affiliated units of the tax payer declare Special Consumption Tax with the Tax authorities directly managing them, they are also eligible for the extension of the payment deadline of the Special Consumption Tax. If the branches and affiliated units of the tax payer do not operate automobile manufacturing or assembly activities, they are not eligible for extension of payment deadline.

Regarding the order and procedures for the extension, the Decree stipulates that the taxpayer eligible for extension will send an application for extension of Special Consumption Tax under the form in the Appendix issued with this Decree to the Tax authority once for all extended terms at the same time of submitting the declaration of the Special Consumption Tax.

If the application for extension of the payment deadline is not submitted at the same time of submitting the Special Consumption Tax declaration, the application for extension of the payment deadline is not later than November 2024, and the Tax authority will implement the extension under regulations.

The Taxpayers themselves determine and are responsible for application for the extension in line with the provisions of the Decree.

The Tax Authority is not required to notify the taxpayer about accepting an extension of the payment deadline. During the extended deadline, if the tax payer is not eligible for the extension, the Tax authority will notify the taxpayer in writing about stopping the extension, and the taxpayer must pay the tax and late payment interest during the extended deadline to the State budget.

After the extended deadline expires, If the Tax authority detects that the taxpayer is not eligible for extension under the provisions of the Decree, the taxpayer must pay the outstanding tax, fines and late payment interest assessed by the tax authority into the State budget.

During the extended deadline, the tax authority does not calculate the late payment interest for the extended tax amount. If the tax authority has calculated late payment interest for Special Consumption Tax declaration dossiers, it will not calculate late payment interest for Special Consumption Tax.

After the extended deadline is terminated under the Decree, the payment of Special Consumption Tax on domestically produced or assembled cars will be complied with the current regulations.