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

On August 23, 2018, the Government promulgates Decree No. 108/2018/ND-CP on amendments to a number of Articles of Decree No. 78/2015/ND-CP dated September 2015 providing guidelines for enterprise registration which comes into force from October 10, 2018. According to Decree No. 108/2018/ND-CP, the enterprises may establish new business locations in provinces and cities other than where the enterprises are currently based in but may not form any branch agencies.

Pursuant to the guidelines under Point c, Point d Clause 1 Article 11 of Circular No. 156/2013/TT-BTC dated November 06, 2013 of the Ministry of Finance on elaboration to a number of Articles of the Law on Tax Administration; The Law on amendments to a number of Articles of the Law on Tax Administration and Decree No. 83/2013/ND-CP dated July 22, 2013 of the Government;

Pursuant to the guidelines under Clause 3 Article 3 of Circular No. 119/2014/TT-BTC dated August 25, 2014 of the Ministry of Finance on amendments to Clause 4 Article 12 of Circular No. 219/2013/TT-BTC dated December 31, 2013 of the Ministry of Finance providing guidelines for implementation of the Law on Value-Added Tax and Decree No. 209/2013/ND-CP dated December 18, 2013 of the Government on elaboration to a number of Articles of the Law on Value-Added tax;

Pursuant to the guidelines under Article 5 of Circular No. 39/2014/TT-BTC dated March 31, 2014 of the Ministry of Finance providing guidelines for implementation of Decree No. 51/2010/ND-CP dated May 14, 2010 and Decree No. 04/2014/ND-CP dated January 17, 2014 of the Government on goods sale and service provision invoices; Clause 3 Article 1 of Circular No. 37/2017/TT-BTC dated April 27, 2017 of the Ministry of Finance on amendments to Clause 4 Article 9 of Circular No. 39/2014/TT-BTC;

Pursuant to the guidelines under Article 5 of Circular No. 95/2016/TT-BTC dated June 28, 2016 of the Ministry of Finance on tax registration;

Pursuant to the guidelines under Decision No. 2845/QD-BTC dated December 30, 2016 of the Ministry of Finance on assignment of managing tax authorities.

Pursuant to the provisions mentioned above, in case an enterprise or one of its branches establishes a business location in another province other than where the enterprise or its branch (provided the branch is assigned to manage the business location, to declare and pay taxes directly to its supervisory tax authority) is based. Currently, the General Department of Taxation has proposed the Ministry of Finance amendments to Circular No. 95/2016/TT-BTC. While waiting for the promulgation of Circular on amendments to Circular No. 95/2016/TT-BTC, the General Department of Taxation hereby requests the Tax Departments to follow these instructions:

1. Assignment of the supervisory tax authorities:

Based on the target revenue and tax administration developments within their provinces, the Departments of Taxation shall assign the tax authorities of the business locations based on their information registered in the list of business locations that are based in other provinces than those of their enterprises or their branches (the management bodies of the business locations) according to the Tax Management System and submit notifications to the tax authorities assigned to implement tax administration.

2. Tax registration:

The supervisory tax authorities of the business locations of the enterprises, based on the information in the list of business locations allocated by the Departments of Taxation, shall issue 13-digit TINs to the business locations, send the notification of the TIN (form No. 11-MST) to the management bodies of the business locations and the business locations to enable them to declare and pay their taxes. The business registration agencies shall not issue 13-digit TINs.

in case a business location changes any of the registered information, suspend or terminate its operation as informed by the business registration agency, based on the information in the list of the business locations having supervisory tax authorities as assigned by the Departments of Taxation of the province, the assigned supervisory tax authority shall update the registered information relating the 13-digit TIN of the respective business location on the Tax Management System.

3. Invoice issue notice:

The management bodies of the business locations shall use the same invoice template for every business location thereof and send the invoice issue notice of each business location to their supervisory tax authorities.

4. VAT declaration and payment:

The assigned supervisory tax authorities of business locations shall instruct their management bodies to use the 13-digit TINs to declare and pay the taxes for each business location in provinces other than where the management bodies are based to the supervisory tax authorities of the business locations as specified in Point c, Point d Clause 1 Article 11 of Circular No. 156/2013/TT-BTC and Clause 4 Article 12 Circular No. 219/2013/TT-BTC receiving amendments under Clause 3 Article 3 of Circular No. 119/2014/TT-BTC mentioned above from the issuance date of this Official Dispatch.

 Departments of Taxation shall instruct the taxpayers and the tax agencies in their provinces to implement this document. Difficulties that arise during the implementation of this Circular should be reported to the General Department of Taxation by the Departments of Taxation (via the Department of Accounting and Auditing Regulations) for research and guidelines./.

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