blue-check Policy on tax and land rent deferral in the context of Covid-19

Decree No. 41/2020/ND-CP dated April 8th, 2020 of the Government on tax and land rent deferral
Posted: 9/4/2020 9:22:12 AM | Latest updated: 26/8/2020 11:42:19 AM (GMT+7) | LuatVietnam: 4934 | Vietlaw: 453

This Decree provides for deferral of added value tax (VAT), corporate income tax (CIT), personal income tax (PIT) and land rent incurred by enterprises and business households and individuals during the Covid-19 pandemic

Accordingly , other than small enterprises and microenterprises, only enterprises engaging in the following business lines are entitled to defer their tax payments: agriculture, forestry, aquaculture production and processing of food; textiles; garments; manufacture of leather and leather products; wood treatment and manufacture of products from wood, bamboo, rattan (except furniture); manufacture of products from straw and plaiting materials; manufacture of paper products; manufacture of rubber and plastic products; manufacture of products from other non-metallic minerals; metal production; mechanical working; metal treating and coating; manufacture of electronics, computers and optical products; manufacture of automobiles and other motor vehicles; furniture production; construction; transport and warehousing; accommodation, food and drink; education and training; healthcare and social assistance; real estate trading; employment services; travel agencies, tourism services and auxiliary tourism services; sing, art and entertainment; library, archive, museum operation and other artistic activities; sports and entertainment; cinemas.

The deferral period is 5 months and it is only applied to tax amounts incurred in these tax periods:

- With regard to VAT, it is only allowable to defer the deadlines for payment of VAT incurred from March to June/2020 or the first and second quarter of 2020. Deadlines for payment of VAT shall be deferred to September 20th, 2020 (for VAT incurred in March 2020); October 20th, 2020 (for VAT incurred in April); November 20th, 2020 (for VAT incurred in May); December 20th, 2020 (for VAT incurred in June); September 30th, 2020 (for VAT incurred in the first quarter); December 30th, 2020 (for VAT incurred in the second quarter)

- With regard to CIT: It is only allowable to defer CIT declared in the 2019’s annual statement and CIT declared in the first and second quarters

- With regard to land rent: It is only allowable to defer the deadline for annual payment of rents that are due in beginning of 2020. The deferral period is 5 months, counted from May 31st, 2020.

With regard to business households and individuals, they are entitled to defer deadlines for payments of all VAT, PIT payable in 2020 to December 31st, 2020.

Enterprises shall themselves determine and take responsibility for their applications for deferral of tax payment and must submit the applications before July 30th, 2020.

This Decree takes effect from the date of its signing.

See more the corrections at Official letter No. 132/CP-KTTH dated April 10th, 2020.

Related documents

Penalty document



Effective Date 8-Apr-2020
ExpiredDate Unknown
Published Vietlaw's Newsletter No. 453

Files attachment

enflag pdficon ND41_08042020CP[ENGLISH].pdf


Ân hạn thuế 2020Cập nhật đến: 19-Nov-2020


No data

Tax policies

blue-check Policies on deferral of taxes in 2022
blue-check Tax reform strategy until 2030
blue-check Tax incentives given to projects of expansion investment
blue-check Guidelines for determination of imported goods ineligible for 2% reduction in VAT
red-check Detailed regulations on VAT reduction policy in 2022
blue-check 2022 tax exemption, reduction policies
blue-check Summarization of tax policies supporting enterprises affected by Covid-19 in 2021
blue-check Regarding policy on tax deferral applicable to importing/exporting enterprises amid Covid-19
blue-check Conditions and procedures for entitlement to a 30 % reduction in CIT, VAT due to Covid-19
blue-check In the third and fourth quarters of 2021: CIT, VAT shall be reduced 30%; PIT shall be exempt
blue-check Deposit interests generated outside preferential areas shall not be entitled to EIT incentives
blue-check Guidelines for additional submission of CIT arisen before satisfaction of criteria and standards on socialization
blue-check Regarding promulgation of tax exemption and reduction policy in 2020
blue-check Regarding exemption from fines, late payment interests in force majeure
blue-check Application for deferral of tax payment must be submitted before July 31st, 2021
blue-check Policy on deferral of tax payment in 2021
blue-check The Government is considering allowing tax payment deferral in 2021 due to effects of Covid-19
blue-check Introduction of new points relating to tax declaration from 2021
blue-check It is not allowable to defer payment of withholding tax paid on behalf of foreign contractors due to Covid-19
blue-check Procedures and application for tax debt charge-off