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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
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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.

Notes
See more the corrections at Official letter No. 132/CP-KTTH dated April 10th, 2020.
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Effective Date 8-Apr-2020
ExpiredDate Unknown
Published Vietlaw's Newsletter No. 453

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

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