On December 21, 2015, the Ministry of Finance issued the Circular No. 204/2015/TT-BTC providing for application of risk management in tax management including tax registration, declaration, payment, tax debt and enforcement of implementation of administrative decisions on tax, tax refund, tax verification and inspection, creation, printing, issue, management and use of printed matters of tax and other tax management operations during the implementation of operations.
In accordance with this Circular, the taxpayers are assessed to be good compliant taxpayers if meeting all of the conditions such as operating and making timely and complete declaration and paying prescribed taxes; the taxes paid are consistent with scale and investment and business area of enterprises; well complying with regulations on management and use of printed matters of tax within two (02) years and earlier to the date of assessment; the proportion of payment of taxes related to production and business (value-added tax, corporate income tax …) on the turnover has reached over the average level compared with the average level of enterprises doing business and production of the same areas and industries…
The taxpayers are assessed as the low compliant taxpayers and are subject to one of the cases as being subject to one of the following cases to the time of assessment: not yet making tax declaration and submitting tax declaration dossier completely and on schedule of at least 01/3 (one third) of number of prescribed declaration forms within 12 months; the periods of negative declaration of value added tax are continuous and above the average level compared with the general average of enterprises doing business and production of the same area and business line; having the cumulative number exceeding 50% (fifty percent) of owner’s equity of enterprise to the time of assessment, within 02 (two) continuous years and earlier to the date of assessment; or from the date of establishment to the date of assessment for the taxpayers having the time of establishment of less than 02 (two) years.
Besides, the Circular also requires closely monitoring taxpayers with signs of violation of tax law, the taxpayers in the following cases of close monitoring about tax are the taxpayers with the signs such as the taxpayers doing transactions through banks have doubtful signs as prescribed by law on prevention and control of money laundry related to the tax evasion and tax fraud; the taxpayers or their legal representatives are prosecuted for acts of violation of tax and printed matters of tax; the taxpayers with high risk levels of tax about major issues need monitoring of tax management.
This Circular takes effect on February 04, 2016.
