Công văn 2393/TCT-DNNCN năm 2021 về khai thuế thu nhập cá nhân do Tổng cục Thuế ban hành

To: Departments of Taxation of provinces and central-affiliated cities.

General Department of Taxation has received certain inquiries from Departments of Taxation during the implementation of the Law on Tax Administration No. 38/2019/QH14 and the Government’s Decree No. 126/2020/ND-CP dated October 19, 2020 on elaboration of the Law on Tax Administration. In this regard, General Department of Taxation hereby gives advisory opinion as follows:

1. Monthly or quarterly declaration of personal income tax

- Article 8 of the Government’s Decree No. 126/2020/ND-CP dated October 19, 2020 on elaboration of the Law on Tax Administration stipulates as follows:

“Article 8. Taxes declared monthly, quarterly, annually, separately; tax finalization

1. The following taxes AND other amounts collected by tax authorities have to be declared monthly:

a) Value-added tax (VAT), personal income tax. Taxpayers who satisfy the requirements specified in Article 9 of this Decree may declare these taxes quarterly.

…

2. The following taxes and other amounts shall be declared quarterly:

…

c) Personal income tax withheld by income payers that are eligible to declare VAT quarterly and also decide to declare personal income tax quarterly; individuals earning salaries or remunerations (hereinafter referred to as “salary earners”) who decide to declare personal income tax quarterly with tax authorities.

…”

- Clause 1 Article 9 of the Government’s Decree No. 126/2020/ND-CP dated October 19, 2020 stipulates as follows:

“Article 9. Conditions for quarterly declaration of VAT and personal income tax

1. Conditions for quarterly declaration

a) The following taxpayers may declare VAT quarterly:

a.1) Any taxpayer that declares VAT monthly as prescribed in Point a Clause 1 Article 8 of this Decree and has a total revenue from sale of goods and services in the previous year of up to 50 billion VND.  The total revenue shall be determined according to the VAT returns during the calendar year.

…

b) Quarterly declaration of personal income tax:

b.1) A taxpayer who has to declare personal income tax monthly as prescribed in Point a Clause 1 Article 8 of this Decree may declare personal income tax quarterly if all requirements for quarterly declaration are fulfilled.

…”

Based on the foregoing provisions, if regulatory agencies, public sector entities, Party organizations, unions, socio-political organizations, etc. pay salaries or wages but do not earn revenues from goods sold or services rendered, they are eligible for quarterly tax declaration.

2. Declaration of personal income tax by organizations or individuals who do not pay income

- Clause 6 Article 1 of the Law on amendments to the Law on personal income tax dated November 22, 2012 stipulates as follows:

“6. Article 24 shall be amended as follows:

“Article 24. Responsibilities of income payers and responsibilities of resident taxpayers

1. Responsibility to make tax declaration, withholding, payment and finalization is specified as follows:

a) Income payers shall make tax declaration, withhold and remit tax into the state budget, and make tax finalization for all kinds of taxable income on behalf of taxpayers;

…”

- Point 9.9 Clause 9 Appendix I - List of tax declaration dossiers issued together with the Government’s Decree No. 126/2020/ND-CP dated October 19, 2020 stipulates as follows:

“9.9. Tax declaration dossiers of income payers that withhold taxes on salaries and wages

a) Monthly and quarterly tax declaration dossiers

Declaration form of personal income tax (applicable to payers of salaries and wages) No. 05/KK-TNCN.”

Based on above provisions, only payers of income subject to personal income tax must declare personal income tax. Therefore, if organizations or individuals do not pay income subject to personal income tax, they are not regulated by the Law on personal income tax. Accordingly, organizations or individuals are not required to declare personal income tax for a month/quarter in which they do not pay income subject to personal income tax.

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This document is handled by Dữ Liệu Pháp Luật . Document reference purposes only. Any comments, please send to email: [email protected]