Temporary exit suspension is one of the coercive debt measures used by the tax industry for recalcitrant cases, with signs of asset dissipation or flight.
Individuals and business households owing taxes can be banned from exiting. (Illustration)
According to the Ministry of Finance, there are currently about 5.5 million business households in the country, of which about 3.5 million have been assigned tax codes. In the first six months, the General Department of Taxation issued more than 16,900 notifications of temporary exit suspension for tax debts totaling VND 24,100 billion. The industry recovered nearly VND 920 billion from 1,482 debtors through this form. This amount accounts for 30% of the debt recovered by coercive tax measures in the first half of the year (VND 2,700 billion).
In addition to temporary exit suspension, the tax industry applies many other coercive debt measures such as asset seizure, third-party collection, invoice/business certificate revocation, and business license suspension for recalcitrant cases with signs of asset dissipation or flight. During the first six months, the tax authorities issued 174,500 tax coercion decisions, of which nearly 87% were decisions to coerce by deducting and freezing accounts, and the remaining 13% were to recover tax debts through invoices, business certificates, and asset seizure.
Famous Businesses Face Customs Seizures
Golden Hill Investment Corporation, Danh Khoi Group Corporation, Truong Thinh Phat Construction Investment Corporation, Khai Thinh Real Estate Corporation, and Danh Khoi Holdings Investment Corporation have been halted from proceeding with customs procedures by the Ho Chi Minh City Customs Department due to outstanding tax debts ranging from tens of billions to trillions of Vietnamese Dong.
Hanoi Reveals Over 2,000 Organizations and Individuals Defaulting on Tax Payments
The Hanoi Tax Department has recently made public information on taxpayers who still owe tax and other revenue to the state budget by the closing date of December 31, 2023. The published list includes 2,238 taxpayers with a total outstanding amount of over 993 billion dong.
Government tax authority cracks down on enforcing e-commerce tax debts
The tax authorities are planning to publicly disclose a list of e-commerce businesses that owe taxes. Additionally, they are considering implementing enforcement measures for taxpayers who have not fulfilled their tax obligations.
Increase in signs of tax debt for businesses
By the end of 2023, the total tax debt of individuals and businesses nationwide is nearly 164 trillion dong, a 10.9% increase compared to 2022. The sectors with the highest tax debts are petroleum, real estate, and mining.
