Reduction of deferred tax payment to 0.03% per day

The Government amended the provisions regarding to deferred tax payment. Photo: T.Hang

Specifically, deferred tax payers who fail to comply with the regulated period, the extension of the period, the period that recorded in the notice of the tax authorities, and the time noted in settlement decisions of tax authorities have to fully pay taxes and the deferred payment at the rate of 0.03%/day (formerly 0.05% /day) on the late payment.

From 1/7/2016, liabilities of taxpayers incurred before this date including taxes that were retrospectively collected as a result of inspection and examination by competent authorities have to be paid into the State budget under the new rate provision.

In the case of goods and services that are paid from the State budget, meanwhile the budget has not been disbursed. Thus, taxes from the goods and services can not be paid on time, which leads to a deferred tax payment. In this situation, tax authorities will fail to conduct compulsory collection. Also, taxpayers do not have to pay any fines of deferred tax which do not exceed the amount incurred during the unpaid State budget period.

During the progressive payment period of taxes liabilities, taxpayers still have to pay for deferred taxes at the rate of 0.03%/day. Taxpayers are responsible for full payment of taxes and the deferred payments that are committed.