DECREE

ON THE IMPLEMENTATION OF A NUMBER OF ARTICLES OF THE LAW ON TAX ADMINISTRATION AND THE LAW ON AMENDMENTS TO THE LAW ON TAX ADMINISTRATION

Pursuant to the Law on Government organization dated December 25, 2001;

Pursuant to the Law on Tax administration dated November 29, 2006;

Pursuant to the Law No. 21/2012/QH13 dated November 20, 2012 on the amendments to the Law on Tax administration dated November 20, 2012;

At the request of the Minister of Finance;

The Government issues a Decree on the implementation of a number of articles of the Law on Tax administration and the Law on amendments to the Law on Tax administration,

Chapter 1.

GENERAL PROVISIONS

Article 1. Scope of regulation

This Decree elaborates the implementation of a number of articles of the Law on Tax administration and the Law on amendments to the Law on Tax administration, applicable to the management of taxes, fees, land rent, water surface rent, land levy; revenues from resource extraction, and other revenues classified as government revenues collected by tax authorities in accordance with law.

Article 2. Taxpayers

Taxpayers in this Decree include:

1. Organizations, households, and individuals that pay tax, fees, and other revenues classified as government revenues managed and collected by tax authorities in accordance with law.

2. The organizations assigned to collect fees classified as government revenues.

3. The organizations and individuals that deduct tax; the organizations and individuals that follow taxation procedures on behalf of taxpayers, including:

a) Vietnamese organizations and individuals that sign contracts with foreign organizations and individuals doing business in Vietnam that do not follow Vietnam’s laws on investment and accounting regime;

b) The organizations and individuals that deduct tax when paying the people whose incomes incur personal income tax;

c) Shipping agencies and agents of foreign shipping lines that deduct corporate income tax on transportation of goods by ship from Vietnam’s ports to abroad or among Vietnam’s ports;

d) Providers of taxation services;

dd) Customs brokerage agents for exported and imported goods;

e) Organizations and individuals that provide postal services and express mail services to serve the payment of tax on behalf of the taxed organizations and individuals;

g) The credit institutions that guarantee tax payment of taxed organizations and individuals in accordance with the Law on credit institutions.

Article 3. Delegating tax collection

1. Tax authorities shall delegate other organizations and individuals to collect some taxes decided by the Ministry of Finance.

2. The delegation of tax collection must be made into a contract between the head of the tax authority and the delegated organization or individual, except for some cases in which the revenues are not regular as defined by the Ministry of Finance.

3. The party delegated to collect tax shall notify and urge the taxpayer to pay tax in accordance with the delegation contract, issue receipts to taxpayers when collecting tax, remit the tax collected to accounts of the tax authority at State Treasuries; report the amount of collected tax and issued receipts to the tax authority; send reports to the tax authority on new taxpayers or changes in the business lines or business scale of the local taxpayers.

4. The tax authority shall announce the delegation of tax collection for taxpayers to know, provide receipts, provide guidance, instruct and supervise the tax collection of the organizations and individuals delegated to collect tax.

5. The organizations and individuals delegated to collect shall be provided with funding deducted from the budget of the tax authority. The Ministry of Finance shall provide guidance on the deduction and use of funding mentioned in this Clause.

Article 4. Application of risk management to tax administration

1. Application of risk management to tax administration of tax authorities

a) The Ministry of Finance shall;

- Issue regulations on risk management for taxation to raise the efficiency of tax administration and prevent violations legislation on taxation;

- Establish risk assessment criteria that meet the tax administration demand in each period.

b) Tax authorities shall;

- Use information about taxpayers to build a database serving risk management for taxation;

- Manage, apply information technology, information systems, and the database about taxpayers to assessment of risk to tax administration; assess the conformity with law of taxpayers to serve tax administration, identify and select subjects of tax inspection in accordance with law.

2. Application of risk management to tax administration of the customs

a) The Ministry of Finance shall:

- Issue regulations on risk management for customs;

- Establish risk assessment criteria that meet the tax administration demand in each period. Assess the conformity with law of taxpayers;

b) The General Department of Customs shall develop, manage and apply concentrated information systems related to taxpayer to serve risk assessment and:

- Inspect the conditions for registering tax declarations;

- Decide method of inspecting tax declarations;

- Decide the method and level of inspection of exported and imported goods;

- Identify and select subjects of post-customs clearance inspections and tax inspections in accordance with law;

- Assess the conformity with law of taxpayers.

c) The customs authorities shall adhere with regulations on risk management, criteria for assessing risk and conformity with law of taxpayers.