Who is eligible for tax and land rent extension in 2023?

VCN - Decree 12/2023/ND-CP dated April 14, 2023 of the Government extending the deadline for payment of value-added tax, corporate income tax, personal income tax and land rent in 2023 stipulates subjects and procedures for a tax payment extension.
Continue applying financial solutions to support people and enterprises in 2023 Continue applying financial solutions to support people and enterprises in 2023
Already extending and exempting hundreds of thousand billion dong Already extending and exempting hundreds of thousand billion dong
Tax extension: Reducing financial pressure for enterprises Tax extension: Reducing financial pressure for enterprises
Four groups eligible for extending payment deadline of tax and land rent in 2023. Photo: H. Anh
Four groups eligible for extending payment deadline of tax and land rent in 2023. Photo: H. Anh

Four groups eligible for extending payment deadline of tax and land rent

On April 14, the Government issued Decree 12/2023/ND-CP extending the deadline for paying value-added tax, corporate income tax, personal income tax and land rent in 2023.

This Decree takes effect from the date of signing until the end of December 31, 2023. After the extension period according to this Decree, the deadline for paying tax and land rent shall comply with current regulations.

As soon as the Government issued the Decree, on the afternoon of April 14, the General Department of Taxation sent a telegram to request local tax departments to notify taxpayers.

Regarding the subjects eligible for the extension, the Decree stipulates four groups. Accordingly, group 1 includes enterprises, organizations, family households, business households and individuals engaged in production activities in the following economic sectors:

Agriculture, forestry and fisheries; food production and processing; textile; production of costumes; manufacture of leather and related products; wood processing and production of products from wood, bamboo and cork (except for beds, cabinets, tables and chairs), products from straw, straw and plaiting materials; production of paper and paper products; manufacture of products from rubber and plastic; manufacture of other non-metallic mineral products; metal production; mechanical processing; metal treatment and coating; manufacture of electronic products, computers and optical products; manufacture of automobiles and other motor vehicles; manufacture of beds, cabinets, tables and chairs;

Construction; publishing activities; cinematographic activities, television program production, sound recording and music publishing; exploitation of crude oil and natural gas (payment of corporate income tax on crude oil, condensate, collected natural gas under agreements and contracts shall not be extended); beverage production; printing and copying of all kinds; production of coke, refined petroleum products; manufacture of chemicals and chemical products; manufacture of products from prefabricated metal (except for machinery and equipment); manufacture of motorcycles and motorbikes; repair, maintenance and installation of machinery and equipment; drainage and wastewater treatment.

Group 2 includes enterprises, organizations, households, business households and individuals engaged in the following economic sectors: Transportation and warehousing; accommodation and catering services; education and training; health and social assistance activities; real estate business; labor and employment service activities; activities of travel agencies, tour businesses and support services, related to the promotion and organization of tours;

Creative, artistic and recreational activities; activities of libraries, archives, museums and other cultural activities; sports and entertainment activities; movie screening activities; radio and television activities; computer programming, consulting services and other computer-related activities; information service activities; and mining assistance services.

Group 3 includes enterprises, organizations, households, business households and individuals engaged in the production of supporting industrial products with priority for development; key mechanical products.

Group 4 includes small and micro enterprises defined in accordance with the provisions of the Law on Support for Small- and Medium-sized Enterprises and the Government's Decree No. 80/2021/ND-CP dated August 26, 2021, detailing a number of articles of the Law on Support for Small- and Medium-sized Enterprises.

The economic sectors or fields of an enterprise, organization, household, business household or individual specified in Clauses 1, 2 and 3, Article 3 are the sectors or fields that the enterprise, organization, business households, business households and individuals have production and business activities and generate revenue in 2022 or 2023.

Application for extension must be submitted by September 30, 2023

Regarding the order and procedures for extension, the decree stipulates that taxpayers eligible for extension shall send an application for an extension of one-time payment of tax and land rent for the entire tax and land rent arising in the extended tax period at the same time of submitting monthly (or quarterly) tax returns in accordance with the law on tax administration. If the application is not submitted at the same time as the tax return, the deadline for submission is September 30, 2023.

Taxpayers themselves determine and take responsibility for the extension application. If the taxpayer submits an application for the extension to the tax authority after September 30, 2023, the tax and land rent payment deadline shall not be extended as prescribed in this Decree.

The tax authority is not required to notify the taxpayer of the acceptance of the extension of tax payment and land rent. During the extension period, the tax authority has grounds to determine that the taxpayer is not eligible for the extension, the tax authority shall send a written notice to the taxpayer of the refusal of the extension and the taxpayer must pay in full the amount of tax, land rent and late payment interest during the extension period shall be paid to the state budget.

If, after the extension period expires, through inspection or examination by a competent state agency, it is discovered that the taxpayer is not eligible for the extension as prescribed in this Decree, the taxpayer must pay the outstanding tax, fines and late payment interest to the state budget.

The Decree also stipulates that late payment interest shall not be charged for the deferred tax and land rent amount during the extended payment period.

If the tax authority has already calculated the late payment interest (if any) for the tax dossiers eligible for the extension as prescribed in this Decree, the tax authority shall make adjustments and not charge late payment interest.

In addition, investors of capital construction works and work items funded by the state budget capital, payments from the state budget for capital construction works of ODA–funded projects subject to value-added tax, must submit a notice that the tax authority has received the application for an extension when carrying out payment procedures to the State Treasury.

The State Treasury shall base itself on the dossier sent by the investors to not yet deduct value-added tax during the extension period. When the extension period expires, the contractor must pay the deferred tax amount as prescribed.

Regarding the organization of implementation, the decree stipulates that the Ministry of Finance is responsible for directing, organizing the implementation and handling problems arising during the implementation of this Decree.

Ministers, heads of ministerial-level agencies, heads of government-attached agencies, chairpersons of People's Committees of provinces and centrally run cities and related enterprises, organizations, households, business households and individuals are responsible for the implementation of this Decree.

Extension of deadline for paying tax and land rent

6-month extension for value added tax amounts from March to May 2023 and the first quarter of 2023, 5-month extension for value added tax amounts of June 2023 and quarter 2 of 2023, a 4-month extension for the value-added tax amount of July 2023, a 3-month extension for the value-added tax amount of August 2023; a 3-month extension for the corporate income tax amount temporarily paid in the first and second quarters of the tax period of 2023; business households and individuals shall pay value-added tax and personal income tax in 2023 by December 30, 2023 at the latest; 6-month extension for 50% of the arising land rent payable in 2023.

By Hoai Anh/ Huyen Trang

Related News

Ensure deadline for payment of public investment capital at State Treasury

Ensure deadline for payment of public investment capital at State Treasury

VCN - In a recent official dispatch on allocation and entry of estimates into the Treasury and Budget Management Information System (Tabmis) and disbursement of the 2024 public investment capital plan, the Ministry of Finance requested the State Treasury to serious follow the principle of “post-payment audit”.
Amend Corporate Income Tax to implement Pillar 2 of global minimum tax

Amend Corporate Income Tax to implement Pillar 2 of global minimum tax

VCN - According to the Ministry of Finance, the specific goal of amending the Law on Corporate Income Tax (CIT) will contribute to creating conditions to promote and support businesses to expand production and business; Review and rearrange tax incentive policies to encourage and attract investment to develop priority industries, fields and areas according to the Party and State's orientation.
Reasons for ups and downs of land rent

Reasons for ups and downs of land rent

VCN - Based on the provisions of the land law, the land rental payable of projects is high or low depending on four factors: the land area for lease; land rent price; percentage rate; State’s policies of deduction, exemption. Of which, the main factors are the land area and the land rent price.
In 5 months, Customs sees a year on-year decrease of 18% in revenue

In 5 months, Customs sees a year on-year decrease of 18% in revenue

VCN - According to statistics from the General Department of Customs, in the first 5 months of the year, the state budget collection and payment of the custroms faced many difficulties for many reasons. Accordingly, by the end of May 31, the sector collected VND 152,942 billion, equal to 36% of the estimate, down 18% compared to last year.

Latest News

Procedures for import tax incentives for non-domestically produced raw materials and components

Procedures for import tax incentives for non-domestically produced raw materials and components

VCN - The General Department of Vietnam Customs (GDVC) has just responded and instructed Kim Long Motors Hue Joint Stock Company to carry out procedures to enjoy import tax incentives for non-domestically produced raw materials and components.
E-commerce frauds require utmost in attention from regulators

E-commerce frauds require utmost in attention from regulators

Great efforts have been made to combat counterfeit goods and trade fraud products on e-commerce channels as online shopping has become increasingly popular for many people amid booming e-commerce activities.
Is animal feed containing Formic Acid precursors "helpless" in management?

Is animal feed containing Formic Acid precursors "helpless" in management?

VCN - According to regulations, import activities of precursors must be controlled from raw materials to final products. However, there are some items containing precursors that have management inadequacies and it is not clear which sector is responsible for?
Businesses and people expect VAT cut extension to be approved

Businesses and people expect VAT cut extension to be approved

People and businesses are looking forward to the Government's proposal on extending VAT reduction in the last six months being considered and approved by the National Assembly.

More News

Proposal to continue reducing VAT by 2% to support people and businesses

Proposal to continue reducing VAT by 2% to support people and businesses

In the first 4 months of 2024, Vietnam's economy achieved a higher growth rate than the same period of 2020-2023. However, the difficulties of the economy are still great, the recovery of the business community is still slow. Therefore, the Government has just submitted a proposal to the National Assembly for consideration, allowing to the continued implementation of the policy of reducing the value-added tax (VAT) rate by 2% for a number of groups of goods and services that are being subjected to VAT rate of 10% in the last 6 months of 2024. This is a support policy that is bringing many practical effects to people and businesses.
Research and correct customs supervision processes at international airports

Research and correct customs supervision processes at international airports

VCN - To continue to improve professional processes related to customs inspection and supervision, General Department of Vietnam Customs has drafted a decision to amend Decision No. 3280/QD-TCHQ dated September 30, 2016 on the inspection and supervision process for luggage of people on exit and entry; customs supervision activities at international airports.
Small, low-value items imported on e-commerce platforms should be taxed

Small, low-value items imported on e-commerce platforms should be taxed

Millions of packages of small, low-value items that are crossing the border into Vietnam daily should be subjected to VAT, special consumption and environmental taxes, according to industry experts and domestic e-commerce sellers.
Customs finds difficulties because there is no e-cigarette management policy

Customs finds difficulties because there is no e-cigarette management policy

VCN - E-cigarette products are invading and being used more and more commonly in our country, especially among young people, teenagers, and students. Meanwhile, there is currently no management policy for this item, making it difficult for Customs to determine violations and apply sanctions.
Are goods imported on-spot for export production eligible for tax refund?

Are goods imported on-spot for export production eligible for tax refund?

VCN - That is a problem of the Binh Duong Customs Department related to the process of handling tax refunds for goods imported to produce exported goods and exported by Thai Binh Investment Joint Stock Company.
Risk prevention solutions for export processing and production enterprises

Risk prevention solutions for export processing and production enterprises

VCN - Identifying common errors to comply with regulations, prevent risks, and limit mistakes arising in preparing final settlement reports is an issue which many export processing and production enterprises concern.
Conditions for price reduction of imported goods

Conditions for price reduction of imported goods

VCN - To meet the price reduction conditions, the documents, sales contracts, and price reduction agreements must state the reason for the price reduction.
Circular 83/2014/TT-BTC will be abolished from June 8

Circular 83/2014/TT-BTC will be abolished from June 8

VCN - On April 23, the Minister of Finance issued Circular 25/2024/TT-BTC on abolishing Circular 83/2014/TT-BTC guiding the implementation of Value Added Tax (VAT) under Vietnam's Nomenclature of imports. Accordingly, Circular 83/2014/TT-BTC will be abolished from June 8, 2024.
Proposal to continue reducing VAT by 2% in the last  6 months of 2024

Proposal to continue reducing VAT by 2% in the last 6 months of 2024

VCN - The Government has just submitted a proposal to the National Assembly to consider and allow the continued implementation of the policy of reducing Value Added Tax (VAT) by 2% for a number of groups of goods and services that are currently subject to a VAT rate of 10% in the last 6 months of 2024 (from July 1, 2024 to December 31, 2024). According to the Government's calculations, applying the policy of reducing the VAT rate by 2% for the last 6 months of 2024 reduces revenue by about 24 trillion VND.
Read More

Your care

Latest Most read
Procedures for import tax incentives for non-domestically produced raw materials and components

Procedures for import tax incentives for non-domestically produced raw materials and components

VCN - Appendix III on the List of areas eligible for investment incentives attached to Decree 31/2021/ND-CP of the Government stipulates economic zones and high-tech zones in an extremely disadvantaged area.
E-commerce frauds require utmost in attention from regulators

E-commerce frauds require utmost in attention from regulators

Great efforts have been made to combat counterfeit goods and trade fraud products on e-commerce channels as online shopping has become increasingly popular for many people amid booming e-commerce activities.
Is animal feed containing Formic Acid precursors "helpless" in management?

Is animal feed containing Formic Acid precursors "helpless" in management?

VCN - According to regulations, import activities of precursors must be controlled from raw materials to final products. However, there are some items containing precursors that have management inadequacies and it is not clear which sector is responsible
Businesses and people expect VAT cut extension to be approved

Businesses and people expect VAT cut extension to be approved

People and businesses are looking forward to the Government's proposal on extending VAT reduction in the last six months being considered and approved by the National Assembly.
Proposal to continue reducing VAT by 2% to support people and businesses

Proposal to continue reducing VAT by 2% to support people and businesses

The Government has just submitted a proposal to the National Assembly for consideration, allowing to the continued implementation of the policy of reducing the VAT rate by 2% in the last 6 months of 2024
Mobile Version