On October 02, 2015, the Ministry of Finance issued the Circular No. 152/2015/TT-BTC guiding the severance tax, and the taxable items are metallic minerals; non-metallic minerals; products of natural forests; natural aquatic organisms, including marine animals and plants; natural water; natural bird’s nests other than those collected from construction of houses…
This Circular prescribes the details on the cases of exemption from severance tax are entities extracting natural marine organisms; entities extracting branches, firewood, bamboo, rattan, etc.; entities extracting natural water for hydroelectricity generation; natural water; land areas given/leased out to organizations and individuals and used on the spot; earth used for leveling, construction of security, military works, dykes…
In the case that taxpayers who suffer from a natural disaster, conflagration, or accident that inflicts damage the declared resources may be given exemption or reduction of
severance tax on the amount of damaged resources. If tax has been paid, taxpayers shall receive a refund or have it offset against severance tax payable in the next period.
Also in accordance with this Circular, the basis for calculation of severance tax is the taxable extraction quantity of natural resources, unit price, and tax rate. Severance tax payable in the period equals to Taxable extraction quantity of natural resources multiplied by unit price and tax rate. In case an authority imposes a certain amount of severance tax on a unit of natural resources extracted, severance tax payable in the period equals Taxable extraction quantity multiplied by the severance tax on a unit of natural resources extracted. Imposition of severance tax must be based on the database of tax authorities and conform to regulations on tax imposition.
This Circular takes effect on November 20, 2015 and replaces Circular No. 105/2010/TT-BTC dated July 23, 2010 of the Ministry of Finance.
Source: luatvietnam.vn
