VCN – In order to support taxpayers to comply with regulations, Hanoi Tax Department has provided specific instructions on the declaration and payment of license fees.
|License fees in 2020 should be paid on 30/1/2020 at the latest|
|Ministry of Finance proposes exempting license fees for subjects|
|The deadline for payment of license fees is no later than January 30, 2022. Photo: Thuy Linh|
The regulations on declaration and payment of license fees are stated in Decree 139/2016/ND-CP, Decree 22/2020/ND-CP, Decree 126/2020/ND-CP, Circular 302/2016/TT-BTC and Circular 80/2021/TT-BTC.
Accordingly, the rate of license fees in 2022 for enterprises and organizations engaged in production and business activities of goods and services, based on the charter capital stated in the certificate of business registration or on the investment capital written on the certificate of investment registration in case of no charter capital, the payer will determine the level and rate of license fees.
If the enterprise has charter capital stated in the certificate of business registration of over VND10 billion, the rate of license fees is VND3 million/year; for less than VND10 billion at VND2 million/year; for branches, representative offices, business locations, public service providers, and other business organizations at VND1 million/year.
The rate of license fees for individuals, groups of individuals and households with revenues over VND500 million/year is VND1 million/year; for those with revenues between VND300 and VND500 million/year at VND500,000/year; for those with revenues between VND100 and 300 million/year at VND300,000/year.
Regarding the deadline for paying license fees, the Department guides that if the license fee payers (except business households and individuals) have been newly established in 2021 (including small and medium enterprises transferred from a business household) or have established additional subordinate units, business locations or started production and business activities without making a license fee declaration, they must submit an application for license fee declaration no later than January 30, 2022.
In case there is a change in capital in 2021, the license fee payers will submit an application for license fee declaration no later than January 30, 2022.
For business households and individuals, who are not required to submit license fee declarations, the tax authorities will base on tax declaration dossiers and tax administration databases to determine turnover for calculating the rate of license fees and request fee payers to comply with regulations of Article 13 of Decree 126/2020/ND-CP and Clause 1, Article 10 of Decree 126/2020/ND-CP.
The Hanoi Tax Department notes that license fee payers eligible for license fee exemption as prescribed in Article 3 of Decree 139/2016/ND-CP of the Government must determine the exempted and reduced tax amount and are not required to carry out procedures for tax exemption or reduction.
The Department also notes that businesses established in previous years that have submitted license fee declarations, if there is no change in charter capital or the establishment of a new branch or business location, they are not required to submit the additional license fee declaration for 2022 but they only pay license fee for 2022 no later than January 30, 2022.
By Thuy Linh/Ngoc Loan