From April 08, enterprises are entitled to extend the time limit for paying taxes and land rent for another 5 months
On April 08, 2020, the Government issues the Decree No. 41/2020/ND-CP on extending time limits for tax and land rental payment.
The extension of time limits for payments of value-added tax, enterprise income tax, personal income tax and land rentals shall be applied to: Enterprises, organizations, households, and individuals engaged in business and production activities; Products of supporting industries prioritized for development; Key mechanical engineering products; Small and super small enterprises; Credit institutions, branches of foreign banks shall conduct measures to support customers being enterprises, organizations and individuals affected by the COVID-19 epidemic.
The extension time shall be 05 months for the payable value-added tax amount arising in the tax period of March, April, May and June 2020 and the tax period of the 1st and the 2nd quarter of 2020. For enterprise income tax, the extension time also is 05 months, applied for the payable enterprise income tax amount in accordance with the tax finalization of the tax period of 2019 and the temporarily paid amount of enterprise income tax for the 1st and the 2nd quarters of the tax period of 2020 of such enterprise.
For value-added tax, personal income tax of business households and individuals, business households and individuals must pay the payable tax amount in 2020 no later than December 31, 2020. Besides, the Government also extends the time limit for paying the land rentals in the first period of 2020 for another 05 months.
Taxpayers eligible for the extension of time limits shall submit their written a request for the extension of time limits for tax and land rental payment by electronic means, or by other appropriate means and at the same time, shall submit their monthly (or quarterly) tax declaration under legal regulations on tax administration – to tax agencies directly in charge of them. In cases where the request for the extension of time limits for tax and land rental payment is not submitted simultaneously with the monthly (or quarterly) tax declaration, the time limit for the submission of such request shall be no later than July 30, 2020.
This Decree shall take effect from the signing date. Taxpayers must themselves determine and take responsibility for the extension request in order to ensure that they are eligible for such extension.