Circular No. 10/2006/TT-BTC dated February 14, 2006 of the Ministry of Finance guiding the implementation of the Prime Minister’s Decision No. 75/1998/QD-TTg dated April 4, 1998, providing for taxpayers’ identification numbers

CIRCULAR

GUIDING THE IMPLEMENTATION OF THE PRIME MINISTER’S DECISION No. 75/1998/QD-TTg OF APRIL 4, 1998, PROVIDING FOR TAXPAYERS’ IDENTIFICATION NUMBERS

Pursuant to tax laws and ordinances, charge and fee ordinances;

Pursuant to the Customs Law;

Pursuant to the Prime Minister’s Decision No. 75/1998/QD-TTg of April 4, 1998, providing for taxpayers’ identification numbers;

The Ministry of Finance hereby guides the registration and grant of identification numbers of tax-paying organizations and individuals (called tax identification numbers for short) and the use thereof as follows:

I. GENERAL PROVISIONS ON TAX IDENTIFICATION NUMBERS

1. Definition of tax identification number: A tax identification number is a sequence of numerals encoded according to a unified principle and granted to every organization or individual that pays taxes, charges, fees and other revenues according to the provisions of laws and ordinances on taxes, charges and fees (hereinafter referred to collectively as tax laws), including import tax and export tax. Tax identification numbers are used to identify each tax-paying organization or individual and are managed uniformly throughout the country.

2. Subjects to be granted tax identification numbers: All organizations and individuals that pay taxes to tax offices and customs offices according to the provisions of tax laws (excluding subjects only liable to pay housing tax, agricultural land-use tax, land use levy, tax on transfer of land-use rights, and individuals paying registration fees).

3. Structure of tax identification number: A tax identification number is a sequence of numerals divided into the following groups:

N1N2- N3N4N5N6N7N8N9- N10- N11N12N13

In which:

The first two numerals N1N2 represent the province code according to the list of province codes promulgated together with this Circular (not printed herein).

The seven numerals N3N4N5N6N7N8N9 are ordinal numbers starting from 0000001 to 9999999. N10 is the control numeral.

The ten numerals from N1 to N10 are granted to independent tax-paying organizations and individuals and principal units.

The three numerals N11N12N13 are ordinal numbers starting to 001 to 999 assigned to dependent units or branches.

4. Principles for the grant of tax identification numbers

One tax-paying organization or individual shall be granted a sole tax identification number for use throughout the course of operation from its establishment till the termination of its existence. The taxpayer shall use his/her/its tax identification number for declaration and payment of all kinds of tax payable, including cases where the taxpayers pays taxes for different business lines or for production and business activities carried out in different geographical areas.

A tax identification number is associated with the existence of a tax-paying organization or individual. A granted tax identification number shall not be re-granted to another tax-paying organization or individual. When tax-paying organizations or individuals cease to exist, their tax identification numbers shall be no longer valid for use. For enterprises and business organizations which cease to exist, their tax identification numbers shall be closed and must not be reused. Tax identification numbers already granted to individuals being owners of private enterprises, heads of business households or business individuals shall not change throughout their life. In cases such individuals cease but later resume their business activities, they shall still have to use the previously granted tax identification numbers. Tax offices shall only grant a sole tax identification number once to a tax registrant.

4.1. Ten-numeral tax identification numbers (N1N2-N3N4N5N6N7N8N9-N10) shall be granted to all tax-paying organizations and individuals, except for cases defined at Point 4.2 below where 13-numeral tax identification numbers shall be granted.

4.2. Thirteen-numeral tax identification numbers (N1N2-N3N4N5N6N7N8N9-N10- N11N12N13) shall be granted to:

- Branches and representative offices of enterprises, which conduct business activities and register and pay taxes directly with tax offices (except for branches of foreign companies headquartered in foreign countries);

- Dependent cost-accounting member enterprises of corporations;

- Contractors to oil and gas prospecting, exploration and exploitation contracts (except for contract-administering contractors); contracts and sub-contractors that do not directly pay taxes to tax offices.

- Non-business units dependent to corporations and enterprises, which generate taxable revenues;

- Owners of private enterprises, business individuals and heads of business households who have their business establishments or shops located in different districts, provincial capitals or provinces. These individuals shall, apart from the principal ten-numeral tax identification numbers, be also granted 13-numeral tax identification numbers to make tax declaration and payment for their establishments or shops to tax offices that directly manage and collect taxes from such establishments and shops.

- Cooperative members, individuals and groups of individuals belonging to economic organizations, who do business on a contractual basis, take own responsibility for their business results and pay taxes directly to tax offices.

Subjects defined at Point 4.2 above are hereinafter referred to as “dependent units.” Units having dependent units are hereinafter referred to as “managing units.” Dependent units, whether practicing independent or dependent cost-accounting, shall be granted 13-numeral tax identification numbers.

For dependent units which are managed by managing units but register and pay taxes directly with tax offices, their managing units (having ten-numeral tax identification numbers) shall have to declare these units in the list of dependent units so that tax offices shall grant them 13-numeral tax identification numbers. Where the managing units fail to make additional declaration of their dependent units, these units shall have to make declaration and registration directly with tax offices so as to be granted tax identification numbers. Tax offices shall send notices on 10-numeral tax identification numbers to these units for use in tax declaration and payment.

5. Certification of the grant of tax identification numbers

5.1. Tax registration certificates: Tax-paying organizations and individuals that have completed the procedures for tax identification number registration shall be certified by tax offices as having been granted tax identification numbers in the form of tax registration certificate, made according to form No. 10-MST (not printed herein) (except for individuals liable to pay income tax on high-income earners).

5.2. Personal tax identification number cards: Individuals liable to pay income tax on high-income earners who have completed the procedures for tax identification number registration shall be granted personal tax identification number cards, made according to form No. 12-MST (not printed herein).

5.3. Tax identification number notices: Taxpayers that are ineligible for being granted tax registration certificates shall be issued by tax offices tax identification number notices, made according to form No. 11-MST (not printed herein).

6. Tax registration: Tax-paying organizations and individuals shall have to make tax registration according to a set form with tax offices within 10 days as from: the date of grant of business registration certificates or the date of commencement of business activities which do not require business registration certificates, or the date of arising of tax obligations, in cases where taxpayers are non-business organizations or individuals.

7. Changes in tax registration information: If there is any change in tax registration information, tax-paying organizations and individuals shall have to make additional notification thereof according to form No. 08-MST (not printed herein) to their managing tax offices within 10 days as from the date of change in information or before the termination of all activities that give rise to tax obligations.

8. Closure of tax identification numbers: Closure of tax identification numbers means the determination by tax offices that tax identification numbers are no longer valid for use. Tax identification numbers shall be closed when business organizations dissolve, go bankrupt or cease to exist, business individuals flee, die, are missing or have their civil act capacity restricted or lost, or tax obligations terminate; for foreign contractors or sub-contractors that pay taxes through Vietnamese parties, upon the termination of contracts, Vietnamese parties shall have to carry out procedures for closing tax identification numbers of such foreign contractors or sub-contractors. Tax offices shall make public the lists of closed tax identification numbers. Closure of tax identification numbers is followed by invalidation of tax registration certificates. Tax-paying organizations and individuals must not use the closed tax identification numbers notified by tax offices.

II. PROCEDURES FOR REGISTRATION OF TAX IDENTIFICATION NUMBERS

1. Places of registration and time limit for the grant of tax identification numbers

Enterprises, units and organizations engaged in production, business or service provision shall carry out registration procedures for the grant of tax identification numbers (hereinafter called tax identification number registration for short) at Tax Departments of provinces and centrally-run cities (hereinafter called provinces for short). Business individuals and households shall make tax identification number registration at Tax Sub-Departments of districts, provincial capitals or cities.

Tax offices shall have to grant tax identification numbers within 5 days, for tax registration dossiers submitted directly to Tax Departments, and within 10 days, for dossiers submitted directly to Tax Sub-Departments, after receiving complete dossiers of application for tax identification numbers (excluding the time for revision or supplementation of information wrongly or inadequately declared by tax-paying organizations or individuals in their dossiers). Days referred to in this Circular are working days specified in the Labor Code.

2. Tax registration declaration forms: Tax registration declaration forms include:

Form No. 01-DK-TCT: For use by organizations that produce and trade in goods and/or provide services, except dependent units.

Form No. 02-DK-TCT: For use by dependent units of organizations that produce and trade in goods and/or provide services.

Form No. 03-DK-TCT: For use by individuals or groups of individuals that produce and trade in goods and/or provide services.

Form No. 03.1-DK-TCT: For use by individuals who declare and pay taxes for their shops based outside the localities where their principal business units are located.

Form No. 04-DK-TCT: For use by foreign contractors or sub-contractors registering and paying taxes directly with Vietnamese tax offices.

Form No. 04.1-DK-TCT: For use by Vietnamese parties signing contracts with foreign contractors and having the responsibility to pay taxes for foreign contractors or sub-contractors.

Form No. 04.2-DK-TCT: For use by foreign contractors and sub-contractors and foreign parties to business cooperation contracts paying taxes through Vietnamese parties.

Form No. 05-DK-TCT: For use by individuals paying taxes under the Ordinance on Income Tax on High-Income Earners.

Form No. 06-DK-TCT: For use by diplomatic missions and representative offices of international organizations in Vietnam (according to the form defined in Circular No. 08/2003/TT-BTC of January 15, 2003).

Tax-paying organizations and individuals may receive tax registration declarations forms at the nearest tax office, get copies of forms enclosed with this Circular, or print the forms from the General Department of Tax’s website (at www.gdt.gov.vn). Tax-paying organizations and individuals may come to any tax office to ask for guidance on the declaration of tax registration. Tax registration dossiers shall be submitted directly or sent via mail to tax offices defined at Point 1 above.

For documents and dossiers which must be notarized as required in this Circular, if tax-paying organizations and individuals do not have enough time for the notarization, they may submit unnotarized copies but must produce their originals when submitting tax identification number registration dossiers. Tax officers who receive dossiers shall compare the copies with their originals, sign in the copies and return the originals to the submitters.

3. Dossiers of tax identification number registration

3.1. For business organizations (except dependent units), a dossier of tax identification number registration comprises:

- The tax registration declaration, made according to Form No. 01-DK-TCT and lists enclosed therewith (if any).

- The business registration certificate (notarized copy) or the license for foreign investment in Vietnam (copy).

- The establishment decision (copy), if any.

3.2. Dossiers of tax identification number registration for dependent units: Tax offices which manage the managing units shall grant tax identification numbers to the managing units and concurrently to every dependent unit on the list of dependent units, including those located in other provinces. The managing units shall have to notify their dependent units of their tax identification numbers (13-numeral numbers).

The dependent units shall make declaration with the tax offices which directly manage them so as to be granted tax registration certificates by submitting the following papers:

- The tax registration declaration, made according to form No. 02-DK-TCT and lists enclosed therewith (if any). On the tax registration declaration, the 13-numeral tax identification number notified by their managing unit must be written.

- The business registration certificate of the branch (notarized copy) or the license for foreign investment in Vietnam (copy).

3.3. For business individuals, groups of businesspeople and business households, a dossier of tax identification number registration comprises:

- The tax registration declaration, made according to form No. 03-DK-TCT, enclosed with a list of stores and shops located outside districts, provincial capitals or provinces where the main establishments are located (if any).

- The business registration certificate (notarized copy).

* For individuals having stores or shops located outside provinces, districts or provincial capitals where the main establishments are located and declaring and registering tax payment with the tax offices of localities where their stores or shops are located, a tax payment registration dossier comprises:

- The declaration on tax payment registration, made according to form No. 03.1-DK-TCT.

- The business registration certificate of the branch (notarized copy).

In this case, tax offices shall only issue the tax identification number notices.

3.4. For foreign contractors and sub-contractors that directly pay taxes in Vietnam, a dossier of tax identification number registration comprises:

- The tax registration declaration, made according to form No. 04-DK-TCT, enclosed with a list of sub-contractors (if any).

- The license for business operation in Vietnam.

3.5. Dossiers of tax identification number registration to be submitted by Vietnamese parties signing contracts with foreign contractors or business cooperation contracts and having the responsibility to pay taxes for foreign contractors and sub-contractors: Vietnamese parties signing contracts with, and paying taxes for, foreign contractors shall be granted 10-numeral tax identification numbers to declare and pay taxes for foreign contractors or sub-contractors. If the Vietnamese parties are enterprises which have their own tax identification numbers, they must not use such tax identification numbers to declare and pay taxes for foreign contractors or sub-contractors.

A dossier of tax identification number registration to be submitted by a Vietnamese party signing contracts and paying taxes for foreign contractors or sub-contractors comprises:

- The tax registration declaration, made according to form No. 04.1-DK-TCT, enclosed with a list of foreign contractors and sub-contractors for whom the Vietnamese party pays taxes.

- The contract signed with the foreign contractor (the Vietnamese extract).

Foreign contractors and sub-contractors on the list shall be granted 13-numeral tax identification numbers based on the tax identification numbers used by contractual Vietnamese parties to pay tax for such foreign contractors and sub-contractors. These 13-numeral tax identification numbers shall be used to identify payable and paid tax amounts of each foreign contractor or sub-contractor when the contractual Vietnamese parties declare and pay taxes for them to tax offices. The Vietnamese parties shall have to carry out procedures to close 13-numeral tax identification numbers of foreign contractors upon the termination of contracts signed with foreign contractors or sub-contractors.

3.6. For foreign contractors, sub-contractors and foreign parties to business cooperation contracts that pay taxes through Vietnamese parties, a dossier comprises:

- The tax registration declaration, made according to form No. 04.2-DK-TCT.

- The contract signed with the Vietnamese party (the Vietnamese extract).

3.7. A dossier of tax identification number registration for individuals paying income tax on high-income earners comprises:

- The tax registration declaration, made according to form No. 05-DK-TCT.

- The people’s identity card or passport, for foreigners (copy).

- Two 2 cm x 3 cm-sized photos of the tax registrant (one to be stuck on the tax registration declaration and the other to be stuck on the tax identification number card).

Individuals who directly declare and pay income tax on high-income earners to tax offices shall submit dossiers of tax identification number registration to such tax offices so as to be granted personal tax identification number cards.

Individuals who regularly pay income tax on high-income earners through income-paying agencies shall submit tax registration declarations to such agencies. The income-paying agencies shall receive tax registration declarations of individuals for submission to tax offices directly managing tax collection. Tax offices shall grant personal tax identification number cards through the income-paying agencies to each individual. Each income-paying agency shall be granted a tax identification number for use for declaration and payment of income tax as well as taxes for its business activities (if any).

3.8. For diplomatic missions, consulates and representative offices of foreign organizations in Vietnam (eligible for VAT refund), a dossier of tax identification number registration comprises:

- The tax registration declaration, made according to form No. 06-DK-TCT.

3.9. For organizations authorized to collect taxes, charges, fees and other revenues according to the provisions of law; project owners, principal foreign contractors of ODA projects; and non-business units withholding income tax on high-income earners, a dossier of tax identification number registration comprises:

- The tax registration declaration, made according form No. 01-DK-TCT (filling in elements 1, 2, 3, 4, 12 and 18 only). Particularly for organizations and individuals collecting charges and fees belonging to the state budget, they shall make charge and fee collection registration declarations according to form No. 1 issued together with the Finance Ministry’s Circular No. 63/2002/TT-BTC of July 24, 2002, providing guidance on charges and fees. Each charge- and fee-collecting unit shall be granted a tax identification number for use for declaration and payment of charges and fees as well as taxes for its production, business or service provision (if any).

4. Other provisions on tax registration dossiers

For a number of special business lines and professions licensed by ministries or branches (such as credit, law practice, petroleum, insurance…), such licenses shall be used instead of business registration certificates in the above-said tax identification number registration dossiers.

Enterprises may carry out procedures for tax registration and seal carving at the same time, but upon receiving tax registration certificates, enterprises shall have to additionally submit their seal specimens enclosed with signatures of persons who have signed tax registration dossiers already submitted to tax offices.

5. Guidance on some specific cases:

5.1. According to regulations, an individual can own only one private enterprise or one business household. Through tax registration, if an individual is detected to own many private enterprises or business households, he/she shall be handled by the tax office and the business registration certificate-granting agency according to the provisions of law. If such establishment conducts business activities, pending the withdrawal of its business registration certificate by the granting agency, the tax office shall have to issue to it a temporary 13-numeral tax identification number notice (this 13-numeral tax identification number is made based on the 10-numeral tax identification number of the owner of the private enterprise or business household granted upon the first declaration for tax identification number registration).

5.2. For corporations having more than 1,000 dependent units hierarchically organized from the provincial to commune level, provincial-level dependent units shall be allowed to use form No. 01-DK-TCT to make tax registration declaration and must fully declare their subordinate units located in the same province in the “list of dependent units.” These provincial-level dependent units shall be granted 10-numeral tax identification numbers and their subordinate units shall be granted 13-numeral ones.

5.3. Consignment business households shall make tax registration declarations at Tax Sub-Departments of districts or provincial capitals where their heads’ permanent residence is registered (according to form 03-DK-TCT) so as to be granted tax identification numbers. They shall have to write the granted tax identification numbers on tax payment vouchers and vouchers related to their consignment business.

5.4. For administrative and non-business units which have no business function but are engaged in activities for which custom procedures must be carried out such as for the receipt of foreign aid goods, including project management boards under state agencies, hospitals, schools and the like, before carrying out customs procedures, they must make tax identification number registration at tax offices of the localities where the units are headquartered.

5.5. After being granted tax identification numbers, if organizations or individuals conduct new production or business activities in or expand their business to other provinces and cities (without establishment of branches or dependent units), they shall have to make tax payment registration with the tax offices of such new localities according to the provisions of tax laws and ordinances. This tax declaration aims to register tax payment and notify tax identification numbers to the new tax offices, not for being granted new tax identification numbers (the granted tax identification numbers must be written on these tax registration declarations).

6. Re-grant of tax registration certificates: Tax offices shall re-grant tax registration certificates and personal tax identification number cards in the following cases:

6.1. Loss of tax registration certificates: When losing their tax registration certificates, tax-paying organizations and individuals must declare the tax offices that directly manage them so as to be re-granted tax registration certificates. A dossier of application for re-grant of tax registration certificate comprises:

- An application for re-grant of tax registration certificate, clearly stating the name, address, tax identification number, reasons for loss, the place where the certificate was lost, the request for re-grant and commitment to bear responsibility for the declaration and the use of the tax identification number.

- The business registration certificate (notarized copy).

Tax offices shall re-grant tax registration certificates within 5 days after receiving complete dossiers as prescribed.

6.2. Change of contents of tax registration certificates: When contents of tax registration certificates are changed, tax-paying organizations or individuals must carry out the procedures as guided in Section III below so as to be granted by tax offices adjusted tax registration certificates.

6.3. Torn or worn-out tax registration certificates: If their tax registration certificates are torn or worn-out, tax-paying organizations or individuals shall carry out procedures so as to be re-granted tax registration certificates. A dossier of application for re-grant of tax registration certificate comprises:

- An application for re-grant of tax registration certificate.

- The torn or worn-out original tax registration certificate.

Tax agencies shall re-grant tax registration certificates with the same contents within 5 days after receiving complete dossiers as prescribed.

6.4. Re-grant of personal tax identification cards: Individuals who lost their personal tax identification cards or have torn or worn-out cards should file their applications to tax offices for the re-grant thereof. Such an application should clearly state the applicant’s tax identification number, full name, number of the identity card or passport (for foreigners) and the place where the card was granted. In case of renewal of cards, the old cards must be handed over to tax offices. Tax offices shall re-grant personal tax identification number cards within 5 days after receiving applications for card renewal.

III. PROCEDURES FOR DECLARATION UPON CHANGES IN TAX REGISTRATION

1. Change of business establishments’ names: When changing their names, business establishments must make additional declarations to tax offices directly managing them. A dossier comprises:

- The declaration on the adjustment of tax registration, made according to form No. 08-MST.

- The adjusted business registration certificate with the new name (notarized copy).

- The tax registration certificate (the original).

Within 05 days after receiving complete additional declaration dossiers of business establishments, tax offices shall re-grant new tax registration certificates to such business establishments with new names and the same tax identification numbers already granted and concurrently withdraw the old ones.

2. Change of business locations: When changing their business locations, tax-paying organizations and individuals must declare such to their managing tax offices so as to carry out procedures for relocation. All cases of changing business locations shall not result in change of tax identification numbers.

2.1. Cases of changing business locations within the same province: Tax-paying organizations and individuals must declare to tax offices the place from which they leave and the place they move to. A dossier comprises:

- The declaration on the adjustment of tax registration, made according to form No. 08-DK-TCT, clearly indicating the change of the business location.

- The notarize copy of the business registration certificate for the new location (only for cases subject to application for new business registration certificates as prescribed).

Tax-paying organizations or individuals that are managed by Tax Departments shall send the dossiers to Tax Departments for adjustment of information on their new locations.

Tax-paying organizations or individuals that are managed by Tax Sub-Departments shall compile dossiers in two sets, send one to the Tax Sub-Department of the place from which they leave and the other to the Tax Sub-Department of the place they move to. The Tax Sub-Department of the place from which tax-paying organizations or individuals leave must notify the tax payment and invoice settlement by tax-paying organizations and individuals to the Tax Sub-Departments of the place which tax-paying organizations or individuals move to and the concerned Tax Department according to form No. 09-MST within 8 days after receiving dossiers of application for relocation.

2.2. Cases of changing business locations from one province to another:

* In the place from which tax-paying organizations or individuals leave: A declaration dossier comprises:

- The relocation decision or notice.

- The tax registration certificate (the original).

Within 5 days after receiving relocation declara-tion dossiers of tax-paying organizations or individuals, the tax office of the place from which tax-paying organizations or individuals leave shall withdraw their tax registration certificates and issue notices on tax payment by tax-paying organizations or individuals according to form No. 09-MST and send 01 copy to tax-paying organizations or indivi-duals and 01 copy to the tax office of the place which tax-paying organizations or individuals move to.

* In the place which tax-paying organizations or individuals move to: Within 5 days after being granted new business licenses for their new addresses, tax-paying organizations or individuals shall have to make tax registration at the tax office of the place which they move to. A dossier of tax registration comprises:

- The tax registration declaration (written with the previously granted tax identification number).

- The business registration certificate granted by the business registration office of the place which the tax-paying organization or individual moves to (notarized copy).

Within 5 days after receiving complete and accurate tax registration dossiers, tax offices shall have to re-grant tax registration certificates to tax-paying organizations or individuals which bear the tax identification numbers granted by the tax office of the place from which tax-paying organizations or individuals leave.

3. Declaration of changes in other elements in tax registration declarations: When changing any information declared in the tax registration declarations (other than changes stated at Points 1 and 2, Section III above), tax-paying organizations or individuals shall have to make additional tax registration declarations according to form No. 08-MST right after such changes are made. A dossier of additional tax registration declaration comprises:

- The declaration on the adjustment of tax registration, made according to form No. 08-MST.

- The additional business registration certificate (notarized copy), for changes subject to the grant of additional business registration certificates.

Tax offices shall have to update the adjusted tax registration information in the tax administration information system. Tax offices shall not re-grant tax registration certificates to these cases of information adjustment.

IV. TAX REGISTRATION FOR CASES OF ENTERPRISE REORGANIZATION AND REARRANGEMENT

1. Transformation of enterprises: Enterprises (except private enterprises) which are transformed from one enterprise type to another under the provisions of the Enterprise Law or the State Enterprise Law shall have to make tax registration declaration with tax offices. A tax registration dossier comprises:

- The declaration on the adjustment of tax registration, made according to form No. 08-MST.

- The business registration certificate of the new enterprise (notarized copy).

- The tax registration certificate of the transformed enterprise (the original).

- The enterprise transformation decision.

Within 5 days after receiving complete dossiers as prescribed, tax offices shall re-grant the adjusted tax registration certificates to the new enterprises. Tax identification numbers of new enterprises shall be the same as those of transformed enterprises.

2. Division of enterprises: After enterprise division decisions are issued, divided enterprises must carry out procedures for closing their tax identification numbers at tax offices. Dividing enterprises shall have to make tax registration declarations with tax offices within 10 days after being granted business registration certificates. A dossier comprises:

2.1. For divided enterprises: A declaration dossier comprises:

- The written request for closure of the tax identification number.

- The decision on enterprise division (a copy certified as a true copy)

- The tax registration certificate (the original)

- The written commitment on the continued performance of tax obligations (if any) of each dividing enterprise (certified by dividing enterprises).

Within 5 days after receiving the complete dossiers, tax offices shall have to announce that enterprises have terminated their operation and are carrying out procedures for closing their tax identification numbers.

2.2. For dividing enterprises: A dossier of tax identification number registration comprises:

- The enterprise’s tax registration declaration.

- The business registration certificate (notarized copy).

- The written commitment on the continued performance of tax obligations.

Tax offices shall grant new tax identification numbers and tax registration certificates to dividing enterprises like other newly established enterprises.

3. Separation of enterprises: After enterprise separation decisions are issued, separated enterprises must carry out procedures for adjustment of tax registration with tax offices. Separating enterprises must make declarations with tax offices within 10 days after receiving business registration certificates. A tax registration dossier comprises:

3.1. For separated enterprises:

- The enterprise separation decision (copy).

- The declaration of changed tax registration information, made according to form No. 08-MST.

- The written commitment on the continued performance of tax obligations (if any) made between the separated enterprises and separating enterprises (certified by separating enterprises).

Within 5 days after receiving complete dossiers, tax offices shall carry out procedures for adjusting tax registration information of separated enterprises in the tax identification number management system. Separated enterprises shall continue using the previously granted tax identification numbers and tax registration certificates for the continued performance of their tax obligations.

3.2. For separating enterprises:

- The enterprise’s tax registration declaration.

- The business registration certificate (notarized copy).

- The written commitment on the continued performance of tax obligations divided to the separating enterprise (if any).

Tax offices shall grant new tax identification numbers and tax registration certificates to separating enterprises like other newly-established enterprises.

4. Merger and consolidation of enterprises: Consolidating or merging enterprises shall have to take over all tax obligations of consolidated or merged enterprises. The tax identification numbers of consolidated or merged enterprises shall be closed.

When the consolidation or merger contracts are signed under the provisions of the Enterprise Law, the consolidated or merged enterprises shall have to carry out procedures for closing their tax identification numbers with tax offices. A dossier comprises:

- The written request for closure of the tax identification number.

- The consolidation or merger contract (copy).

Within 5 days after receiving complete dossiers, tax offices shall have to announce that consolidated or merged enterprises have terminated their operation and are carrying out procedures for closing their tax identification with tax offices.

Within 10 days after being granted business registration certificates, consolidating or merging enterprises shall have to carry out tax registration procedures so as to be granted new tax identification numbers and tax registration certificates. A tax registration dossier comprises:

4.1. For consolidating enterprises:

- The tax registration declaration.

- The business registration certificates (notarized copy).

- The consolidation contract (copy).

- The list of tax obligations of consolidated enterprises (enclosed with the list of consolidated enterprises and their tax identification numbers and tax amounts payable to tax offices and customs offices (if any) to be transferred to the consolidating enterprise).

Within 5 days after receiving complete and accurate tax registration dossiers of consolidating enterprises, tax offices shall have to grant tax identification numbers and tax registration certificates to consolidating enterprises.

4.2. For merging enterprises:

- The declaration on the adjustment of tax registration, made according to form No. 08-MST.

- The new business registration certificate of the merging enterprise (notarized copy).

- The merger contract (if any).

- The list of tax obligations of merged enterprises (enclosed with a list of merged enterprises and their tax identification numbers and tax amounts payable to tax offices and customs offices (if any) to be transferred to the merging enterprise).

Within 5 days after receiving complete and accurate tax registration dossiers of merging enterprises, tax offices shall have to update information on adjustment of tax registration into the tax administration information system. Merging enterprises shall continue using their tax identification numbers. If the changes in tax registration information are related to the information in tax registration certificates, tax offices shall re-grant tax registration certificates with the same tax identification numbers and withdraw the old tax registration certificates. If the changes in tax registration information are related to information in the tax registration certificates, tax-paying organizations or individuals shall continue using the granted tax registration certificates.

5. Sale of enterprises: When contracts or agreements on the sale of enterprises are made, the sold enterprises must send to tax offices written notices thereon together with the contracts on the sale and purchase of enterprises, the original tax registration certificates and tax settlement reports.

Within 10 days after being granted business registration certificates, the purchasing enterprises shall have to carry out tax registration procedures with tax offices. A registration dossier comprises:

- The tax registration declaration.

- The new business registration certificate (notarized copy).

- The contract on the purchase of enterprise (copy).

- The written agreement on the transfer of outstanding tax debts between the purchasing enterprise and the sold enterprise (if any).

Within 5 days after receiving complete and accurate tax registration dossiers of enterprises, tax offices shall have to grant tax registration certificates to purchasing enterprises.

Tax identification numbers of purchasing enterprises shall be those of sold enterprises. Particularly for cases where sold enterprises are private enterprises, purchasing enterprises shall be granted new tax identification numbers.

6. Transformation of dependent enterprises into independent ones and vice versa: Upon the issuance of decisions on the transformation of dependent enterprises into independent ones or vice versa, the enterprises concerned must re-declare their tax registration so as to be granted by tax offices new tax identification numbers. Before transformation, enterprises must settle taxes and invoices and carry out procedures for closing tax identification numbers with tax offices.

Dependent units to be transformed into independent enterprises must make tax identification number registration so as to be granted 10-numeral tax identification numbers. A registration dossier comprises:

- The tax registration declaration, made according to form No. 01-DK-TCT.

- The new business registration certificate (the original).

- The decision on enterprise transformation (copy).

- The written commitment or agreement on the continued performance of tax obligations of the transformed unit.

When an independent enterprise is transformed into a dependent unit of another independent enterprise, its tax identification number shall be changed into a 13-numeral one, with the first 10 numerals being the tax identification number of the new managing unit. The to-be-transformed unit shall carry out procedures for closing its tax identification number with the tax office. The managing unit shall have to make additional tax registration, declaring the new dependent unit in the list of dependent units so as to be granted the 13-numeral tax identification number by the tax office. The new dependent unit shall make tax registration with the tax office directly managing it so as to be granted a tax registration certificate.

When a dependent unit of an independent unit is transformed into a dependent unit of another independent unit, it must carry out procedures for closing its old tax identification number. The new managing unit shall have to make additional tax registration, declaring the new dependent unit in the list of its dependent units so that the new dependent unit shall be granted a 13-numeral tax identification number by the tax office. The new dependent unit shall make tax registration with the tax office directly managing it so as to be granted a tax registration certificate.

7. Temporary cessation of operation

Business units and organizations that temporarily cease their operation must notify tax offices thereof in writing at least 5 days in advance. Such a notice must clearly state the time when the operation temporarily ceases and the time the operation resumes, and the reasons therefor.

8. Termination of existence:

8.1. For enterprises: When enterprises terminate their existence, such as dissolving, going bankrupt, terminating business…, they must carry out procedures for closing their tax identification numbers with tax offices. A dossier of tax identification number closure comprises:

- The tax registration certificate (the original).

- The decision on dissolution of the enterprise or the decision on the opening of the procedures for settling the request for enterprise bankruptcy declaration or the notice on termination of business activities of the business individual or household.

Within 5 days after receiving dossiers, tax offices must announce that enterprises have ceased their operation and are carrying out procedures for closing their tax identification numbers.

8.2. For units having dependent units: When the managing units have their tax identification numbers closed, all of their dependent units shall also have their tax identification numbers closed. The managing units shall have to notify the termination of their existence to their dependent units. Dependent units shall have to carry out the procedures for closing their tax identification numbers at the managing tax offices. A dossier comprises:

- The tax registration certificate (the original).

- The managing unit’s notice in the termination of its existence.

After closing the tax identification numbers of managing units under its management, the provincial/municipal Tax Department must immediately notify such to the Tax Departments of the locality where dependent units are located so that the latter shall oversee the dependent units in carrying out procedures for closing their tax identification numbers. If dependent units do not close their tax identification numbers, tax offices shall ask them to carry out procedures for closing tax identification numbers according to regulations.

After the managing units are dissolved, go bankrupt or terminate their existence, if some of their dependent units continue operation, these dependent units must carry out procedures for closing their tax identification numbers and make new tax registration with tax offices like independent units. All cases where the dependent units of a managing unit which has closed its tax identification number still use the 13-numeral tax identification numbers containing the managing unit’s tax identification number shall be regarded as using illegal tax identification numbers.

8.3. For enterprises and business organizations which cease their tax declaration and payment but fail to declare such to tax offices: Past the time limits for submitting declarations and paying taxes and after sending the third notice urging taxpayers to make tax declaration and payment, if receiving no response from such tax-paying organizations or individuals, tax offices shall contact local administrations to obtain information and look into the actual existence of such tax-paying organizations or individuals. If the taxpayers have stopped business activities and still reside in the localities, they shall be required to carry out procedures for closing their tax identification numbers. If the taxpayers have stopped business activities in their registered business offices and their whereabouts is unknown, tax offices shall, together with local administrations, make a written certification of the non-existence of tax-paying organizations or individuals. Tax offices shall then publicly announce the non-existence of tax-paying organizations or individuals.

8.4. For individuals who are dead, missing or have their civil act capacity restricted or lost: Tax offices shall have to contact local administrations for information on tax-paying individuals who have not yet paid taxes for more than 3 months. If such individuals are identified as dead, missing or having their civil act capacity restricted or lost, tax offices shall request local administrations to make certification thereof which shall serve as a basis for closing tax identification numbers of such individuals.

9. Several provisions on personal tax identification numbers:

Business individuals, owners of private enterprises, or individuals paying income tax on high-income earners shall be granted a sole tax identification number once. An individual who has been granted a tax identification number shall have to use his/her sole tax identification number for declaration of all taxes and all taxable activities.

If forgetting the previously granted tax identification numbers, individuals shall contact tax offices for information thereon. When contacting tax offices, they should state their full names, permanent addresses and numbers of their people’s identity cards.

Individuals who pay income tax on high-income earners through different income-paying agencies shall make tax registration only with one income-paying agency so as to be granted tax identification numbers. They shall then notify their tax identification numbers to the remaining income-paying agencies for use in tax declaration and payment. If an individual has been granted a tax identification numbers for paying income tax on high-income earners before starting business activities, he/she shall use such number for declaring and paying taxes for business activities according form No. 03-DK-TCT (writing the granted tax identification number in the tax identification number box of the form). On the contrary, business individuals who have been granted tax identification numbers shall use such numbers for declaring and paying income tax on high-income earners. They shall carry out procedures for declaration and registration of tax payment at tax offices according to form No. 05-DK-TCT (writing the granted tax identification numbers in the tax identification number box).

V. RESPONSIBILITY FOR MANAGEMENT AND USE OF TAX IDENTIFICATION NUMBERS

1. For tax-paying organizations and individuals

1.1. Tax-paying organizations and individuals shall have to make tax identification number declaration and registration and make additional declarations of changes in information on tax, charge and fee registration according to the provisions of this Circular. When terminating or suspending their operation, tax-paying organizations and individuals must declare such to tax offices and shall be allowed to use tax identification numbers only in transactions for the fulfillment of their tax obligations.

1.2. Tax-paying organizations and individuals must use tax identification numbers to carry out procedures for declaration and payment of taxes, charges and fees with tax offices and procedures for tax declaration and payment with customs offices. Tax-paying organizations and individuals engaged in import and/or export activities must produce tax registration certificates to customs offices when carrying out procedures for import and export declaration.

1.3. Tax-paying organizations and individuals shall have to write their tax identification numbers in all transaction papers such as invoices, vouchers on the purchase and sale of goods and services, accounting books, economic contracts and papers and documents related to the determination of tax obligations. Tax-paying organizations and individuals must use their tax identification numbers when opening deposit accounts at banks or other credit institutions. For papers, books and vouchers without the section for writing tax identification numbers, tax-paying organizations and individuals must write their tax identification numbers at the upper right corner of front pages of these papers, books and vouchers. Units using self-printed invoices must print their tax identification numbers on every invoice.

1.4. Tax-paying organizations and individuals shall have declare their changed information to tax offices that have granted tax registration certificates according to regulations. Tax-paying organizations and individuals shall have to fulfill their tax obligations with tax offices and customs offices (if they conduct import and/or export activities) before closing down, ceasing the operation of, reorganizing or rearranging their businesses.

1.5. Past the time limit for granting tax identification numbers, if tax-paying organizations or individuals have not yet received tax registration certificates or tax identification number notices, they may lodge their complaints to provincial/municipal Tax Departments which grant tax identification numbers. Past 15 days after the date of lodging their complaints, if they receive no reply from the Tax Departments, they may lodge their complaints to the General Department of Tax for settlement.

1.6. Lending, erasing, destroying or falsifying tax registration certificates are strictly prohibited.

2. For tax offices

2.1 Tax offices shall have to supply tax registration declaration forms, guide the procedures for declaration of tax registration dossiers, and grant tax identification numbers and tax registration certificates within the prescribed time limits. Where tax offices inspect and detect that tax-paying organizations’ or individuals’ tax registration dossiers are incomplete or incompliant with regulations, or declared information are inaccurate, they shall notify such to tax-paying organizations or individuals within 3 days after receiving dossiers, clearly stating incomplete or inaccurate contents and requesting supplementation or modification thereof.

2.2. Tax offices shall have to use tax identification numbers to manage tax-paying organizations and individuals and write tax identification numbers in all papers on transactions with tax-paying organizations and individuals such as tax payment notices, fine notices, collection orders, decisions on tax-related administrative sanctions, reports of tax-related inspection, etc.

2.3. Tax offices shall have to process and keep tax registration dossiers, grant tax registration certificates or tax identification number notices. Tax offices shall build and manage the whole system of tax identification numbers of tax-paying organizations and individuals and update adjusted tax registration information in the computer network of the tax service.

2.4. Tax offices shall have to coordinate with concerned ministries and branches in loading tax identification numbers into the existing information systems of ministries and branches involved in managing tax-paying organizations and individuals. Daily, the General Department of Tax shall have to promptly and fully supply information on taxpayers that are granted tax identification numbers, including the grant of new tax identification numbers, change of tax registration information, operation cessation or re-organization or rearrangement of enterprises throughout the country to the General Department of Customs.

3. For customs offices

3.1. Customs offices shall have to check the writing of tax identification numbers by subjects carrying out customs procedures. Customs offices shall use tax identification numbers consistently in all professional customs operations.

3.2. The General Department of Customs shall have to receive information on tax-paying organizations and individuals granted tax identification numbers from the General Department of Tax for developing a database in service of customs management.

4. For ministries, state management branches and concerned agencies

Treasuries shall have to update the tax identification numbers of all tax-paying organizations and individuals for use in the management of tax revenues remitted into the treasuries and conduct professional operations related to tax work such as tax refund, transfer of part of deposit accounts of tax-paying organizations or individual into the state budget account upon receiving tax collection orders. To exchange information on tax amounts already paid by each tax-paying organization and individuals with tax offices of the same level.

State treasuries, banks and credit institutions shall have to reflect tax identification numbers in account-opening dossiers of tax-paying organizations and individuals and vouchers on via-account transactions.

Ministries, state management agencies and other specialized agencies shall have to notify information on changes related to tax-paying organizations and individuals (such as dissolution, bankruptcy, withdrawal of business registration certificates, re-organization and rearrangement of enterprises, etc.); add a section for writing tax identification number in declaration forms and vouchers related to tax-paying organizations and individuals under their management and update information on tax identification numbers of tax-paying organizations and individuals in their data systems, and exchange information with the Ministry of Finance in order to enhance the management and create favorable conditions for tax-paying organizations and individuals in their production, business and service activities.

VI. HANDLING OF VIOLATIONS

1. For tax-paying organizations and individuals: Tax-paying organizations and individuals that commit violations in tax registration and improperly use tax identification numbers shall be sanctioned for acts of violation related to tax declaration and registration, customs declaration as prescribed in tax laws, the Customs Law and legal documents on handling of administrative violations in the tax and customs domains.

2. For tax offices and tax officers: Heads of tax offices shall be responsible for strictly implementing the regulations on registration and grant of tax identification numbers. Tax officers who violate the regulations on tax registration, such as troubling tax registrants, delaying the grant of tax identification numbers and tax registration certificates, granting tax identification numbers in contravention of regulations, shall be handled according to the provisions of tax laws, the Customs Law and legal documents on handling of administrative violations in the tax and customs domains and the Ordinance on Public Employees.

VII. ORGANIZATION OF IMPLEMENTATION

This Circular takes effect 15 days after its publication in “CONG BAO” and replaces the Finance Ministry’s Circular No. 80/2004/TT-BTC of August 13, 2004.

Tax-paying organizations and individuals that have been granted tax identification numbers under the Finance Ministry’s Circular No. 79/1998/TT-BTC of June 12, 1998, Circular No. 68/2003/TT-BTC of July 17, 2003, and Circular No. 80/2004/TT-BTC of August 13, 2004, shall be allowed to continue using them.

The General Department of Tax shall have to organize the registration for granting of tax identification numbers, grant tax registration certificates and manage the use of tax identification numbers.

If meeting any problems in the course of implementation, organizations and individuals should report them promptly to the Finance Ministry for consideration and solution.