Circular No. 87/2018/TT-BTC dated September 27, 2018 of the Ministry of Finance on amending and supplementing a number of Articles of the Circular No. 215/2013/TT-BTC dated 12/31/2013 of the Ministry of Finance on providing guidance on the enforcement of administrative decisions on taxation

CIRCULAR

On amending and supplementing a number of Articles of the Circular No. 215/2013/TT-BTC dated 12/31/2013 of the Ministry of Finance on providing guidance on the enforcement of administrative decisions on taxation

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Pursuant to the Law on Tax Administration No. 78/2006/QH11 dated November 29, 2006 and the Law on amending and supplementing a number of Articles of the Law on Tax Administration No. 21/2012/QH13 dated November 20, 2012;

Pursuant to the Law on Handling of Administrative Violations No. 15/2012/QH13 dated June 20, 2012;

Pursuant to the Government s Decree No. 83/2013/ND-CP dated July 22, 2013 on detailing a number of Articles of the Law on Tax Administration and the Law on amending and supplementing a number of Articles of the Law on Tax Administration;

Pursuant to the Government s Decree No. 129/2013/ND-CP dated October 16, 2013 on penalties for administrative violations pertaining to taxation and enforcement of an administrative decision on taxation;

Pursuant to the Government s Decree No. 166/2013/ND-CP dated November 12, 2013 on enforcement of decisions on penalties for administrative violations;

Pursuant to the Government’s Decree No. 87/2017/ND-CP dated July 26, 2017 on defining the functions, tasks, powers and organizational structure of the Ministry of Finance;

At the request of the Director-General of the General Department of Taxation,

The Minister of Finance hereby promulgates the Circular on amending and supplementing a number of Articles of the Circular No. 215/2013/TT-BTC dated 12/31/2013 of the Ministry of Finance on providing guidance on the enforcement of administrative decisions on taxation as follows:

Article 1. To amend and supplement a number of Articles of the Circular No. 215/2013/TT-BTC dated 12/31/2013 of the Ministry of Finance on providing guidance on the enforcement of administrative decisions on taxation

1.To amend Clause 3, Article 5 as follows:

“3. To temporarily suspend or not yet apply enforcement measures to taxpayers owing taxes, fines, late payment interest, fines for late payment which are being enforced or due to the time of application of enforcement measures, and such taxpayers have been issued one of the following documents by tax authorities:

a) A decision on permitting for tax debt payment by installments;

b) A decision on extending the time limit for tax payment;

c) A notice on no charges for late payment”.

2.To amend Article 6 as follows:

“1. For organizations and individuals subject to enforcement:

a) A decision on enforcement must be sent to the taxpayer subject to enforcement before taking each enforcement action. In case the taxpayer already has an electronic tax transaction account, the decision on enforcement shall be sent online. In case the taxpayer does not have an electronic tax transaction account yet, the decision on enforcement shall be sent directly or via the post office.

b) The decision shall be considered received in the following cases:

- In case the decision is sent directly: If the taxpayer subject to enforcement refuses to receive the decision, the competent person or tax official in charge of decision delivery shall make a record on the refusal of decision and have it certified by the local governments where being registered as such organization or individual’s address with tax agencies. Then, the decision is considered received.

- In case the decision is sent via post office: The decision on enforcement shall be considered received if past the time limit of 10 days after being sent via the post office, it is returned for the 3rd time because the taxpayer subject to enforcement refuses to receive it; or it has been posted at the headquarter or place of residence of the taxpayer subject to enforcement, or there is evidence that the taxpayer subject to enforcement refuses to receive the decision on enforcement.

2. For relevant organizations and individuals:

A person competent to issue a decision on enforcement or tax official in charge of the enforcement of such decision must send decisions on enforcement to relevant organizations and individuals before taking enforcement actions.

If the enforcement needs cooperation from the commune-level People’s Committee, the decision on enforcement shall be sent to the Chairperson of the commune-level People’s Committee where the enforcement takes place before the enforcement is carried out”.

3.To amend Clause 3, Article 9 as follows:

“3. The decision on enforcement shall be invalidated when the taxpayer subject to enforcement finishes implementing the decision on administrative penalties for tax offenses, or when the such taxpayer has paid enforced tax debt, fines, late payment interest and late payment of fines in full to the state budget; or has paid the enforced tax debt, fines, late payment interest and late payment of fines, for the cases of tax debt payment by installments, extending the time limit for tax payment and bearing no charges for late payment.

The basis for invalidating the decision on enforcement is the proof of sufficient payment of tax, fines, late payment interest to the state budget for the taxpayer subject to enforcement; or the decision on permitting for tax debt payment by installments or decision on extending the time limit for tax payment or notice on no charges for late payment”.

4.To amend Clause 2, Article 11 as follows:

“2. The basis for issuing a decision on enforcement by drawing money from the delinquent taxpayer s account or request for freezing the delinquent taxpayer s account at a State Treasury or credit institution:

a) Information on the taxpayer s account in the database on tax management or the data of relevant organizations and individuals;

b) Information on account number, the current amount of money in the account of the taxpayer subject to enforcement provided by the State Treasury or credit institution upon request of the person competent to issue a decision on enforcement, in case the tax agencies’ database is insufficient.

A person competent to issue a decision on enforcement shall be responsible for keep confidentiality of account information of such taxpayer”.

5.To amend Points b and dd, Clause 3, Article 11 as follows:

“b) Time to issue the decision on enforcement:

- After the 90th day from the deadline for paying tax, fines, or late payment interest or the deadline for tax payment in installments as prescribed by law.

- Right after the deferred deadline for paying tax.

- Right after the deadline for implementing the decision on administrative penalties for tax offenses according to the deadline stipulated in such decision (unless the decision is postponed or temporarily suspended.

b) In case the taxpayer subject to enforcement has many accounts at different credit institutions and State Treasuries, the competent person shall base on the number of accounts opened at credit institutions and State Treasuries to issue a decision on enforcement of extracting money from one account or many accounts while requesting credit institutions and State Treasuries to freeze the remaining accounts of such taxpayer in corresponding to the enforced money when needed.

During the implementation of the decision, if any of the credit institutions and State Treasuries have already transferred or transferred sufficient money according to the decision on enforcement (with proof of payment to the state budget under the decision on enforcement), such credit institutions or State Treasuries or taxpayer shall immediately notify the agency that issues the decision on enforcement in the transferring date. The tax agency shall be responsible for promptly notifying credit institutions and State Treasuries in the date of receiving sufficient tax to stop freezing accounts and enforcing money extraction”.

6.To amend Clause 2, Article 13 as follows:

“2. The basis for issuing a decision on enforcement by invalidating invoices:

a) Invoice information of a taxpayer subject to enforcement in the tax agencies’ database or the data of other competent agencies (if any);

b) Information on the use of invoices provided by the taxpayer subject to enforcement and relevant organizations and individuals (if any) upon request of the person competent to issue a decision on enforcement in case the tax agencies’ database is insufficient”.

7.To amend Point c, Clause 4, Article 13 as follows:

“c) The tax agency shall notify the termination of this enforcement action when the delinquent taxpayer pays tax debt, fines, late payment interest and late payment of fines in full to the state budget; or pays the tax debt, fines and late payment interest, which has been permitted to be extended or paid by installments or bear no charges for late payment by the tax agency. Then, the tax agency shall issue a Notification of revalidated invoices (such Notification is made according to Form 09/CC attached to this Circular).

Within the date of issuance of the Notification of revalidated invoices, the tax agency shall post such Notification on the website of the General Department of Taxation (www.gdt.gov.vn).”

8.To amend Point b, Clause 5, Article 13 as follows:

“b) The tax agency shall take enforcement actions according to the prescribed order and procedures, send a written notice to the customs agency for coordination upon receiving a written request for enforcement by invalidating invoices from the customs agency.

In case of refusal, the tax agency must send a written notice to the customs agency with clear reasons”.

9. To amend and supplement some forms as follows:

a) To amend Forms 01/CC, 07/CC, 08/CC and 09/CC specified in the Circular No. 215/2013/TT-BTC according to Appendix 01 attached to this Circular.

b) To add Forms 10/CC and 11/CC as prescribed in Appendix 02 attached to this Circular.

Article 2.

1.To repeal Point d, Clause 3, Article 11 of the Circular No. 215/2013/TT-BTC dated December 31, 2013.

2.To replace the phrase “tax debt, fines and late payment interest” as prescribed in the Circular No. 215/2013/TT-BTC dated December 31, 2013 by the phrase “tax debt, fines, late payment interest and late payment of fines”.

Article 3. Effect

This Circular takes effect on November 15, 2018.

Any problem arising in the course of implementation should be promptly reported to the Ministry of Finance for consideration and settlement./.

* All Appendices are not translated herein.