1.Freeze tax debt
On January 11, 2024, the General Department of Taxation issued Official Dispatch No. 140/TCT-QLN on debt freezing. Accordingly, in case a taxpayer's debt is frozen according to the provisions of Clause 5, Article 83 of the Law on Tax Administration, the debt freezing period is calculated from the date the tax administration agency sends a written request to the competent authority to recover or from the effective date of the decision to revoke the business registration certificate. During the period from the date the tax administration agency sends a written request for revocation to the business registration agency until the date the business registration agency issues a decision to revoke or has a document not to revoke, the tax administration agency Tax authorities can apply appropriate enforcement measures to ensure the effectiveness of tax administration.
2. Value Added Tax
On January 11, 2024, the General Department of Taxation issued Official Dispatch No. 141/TCT-QLN on Value Added Tax. Accordingly, it is necessary to study the regulations in Decree No. 15/2022/ND-CP and Point 1 of Official Dispatch No. 2688/BTC-TCT to determine goods subject to tax reduction. In case it is determined that the VAT rate recorded on the purchase invoice is higher than the tax rate specified in Decree No. 15/2022/ND-CP, businesses to comply with the provisions in Clause 5, Article 1. Decree No. 15/2022/ND-CP.
3. Handling land rent collection in cases where the State allocated land before the 2013 Land Law took effect and now converts to land lease
On January 10, 2024, the General Department of Taxation issued Official Dispatch No. 124/TCT-CS on tax policy. The General Department of Taxation has the following opinions:
- Economic organizations that lease land according to the provisions of the 2013 Land Law and are allocated land by the State and have paid land use fees before the effective date of the 2013 Land Law may continue to use the land according to the law. remaining land use term, no need to convert to land lease. At the end of the land use term, if extended by a competent state agency according to the provisions of Clause 1, Article 60 of the Land Law, must convert to land lease and must pay land rent according to regulations (Clause 1, Article 31 of Decree No. Decision No. 46/2014/ND-CP dated May 15, 2014 of the Government).
- Economic organizations that lease land according to the provisions of the 2013 Land Law have been allocated land by the State and have paid land use fees before the 2013 Land Law takes effect, and now have a need to transfer land. If you want to rent land, you do not have to pay land rent for the remaining land use term (Clause 2, Article 31 of Decree No. 46/2014/ND-CP mentioned above).
- Economic organizations that are allocated land by the State for non-agricultural production and business with land use fees have fulfilled their financial obligations regarding land use fees and have been granted exemption or reduction by a competent state agency. Land use fees according to the provisions of the land law before July 1, 2014. When transferring land use rights from July 1, 2014 onwards, the transferor must pay the full amount that has been exempted or reduced. into the state budget according to the land price at the time of land use rights transfer (Clause 5, Article 2, Decree No. 123/2017/ND-CP dated November 14, 2017 of the Government).
4. Corporate income tax policy
On January 10, 2024, the General Department of Taxation issued Official Dispatch No. 116/TCT-CS on corporate income tax policy. The General Department of Taxation has the following opinion: Investment projects that were granted Investment Licenses or Investment Certificates before January 1, 2014 but are in the investment process, have not yet come into operation, and have not yet generated revenue. collected and granted an Investment License Adjustment Certificate or Adjusted Investment Certificate from January 1, 2014, will be entitled to corporate income tax incentives specified in Article 15 and Article 16 of Decree No. 218. /2013/ND-CP of the Government. The time to apply corporate income tax incentives for investment projects is determined from the time the project has revenue according to the provisions of Decree No. 218/2013/ND-CP and legal documents guiding implementation.
For income from warehouse rental activities arising in 2013 and steel product trading activities, raw fuel trading arising in 2014 are commercial business activities not associated with investment activities of the project. In this case, the Company is not entitled to corporate income tax incentives for income from warehouse rental activities, steel product trading, and raw fuel trading.
