At the Tax Dialogue Conference with taxpayers in five southern provinces and cities in 2024, held by the General Department of Taxation, one of the many recommendations from taxpayers was the lengthy process of personal income tax refunds. Many have been waiting for months without a resolution.
A taxpayer from District 3, Ho Chi Minh City, reflected that their local tax authority had accepted their documents since the end of June 2024, but after three months, they still had not received a notification of the tax refund decision. Up to now, the taxpayer has contacted the authority multiple times to no avail.
“The law stipulates fines ranging from warnings to monetary penalties for late submission of personal income tax finalization declarations. It also sets a fine for late payment by the tax authority when handling delayed dossiers, with the fault lying with the tax agency, at 0.03%/day. However, in reality, many cases of delayed processing drag on with no end in sight,” they questioned.
Enterprise representative asking questions at the conference held by the General Department of Taxation
Another person also mentioned that they had submitted their tax finalization dossier several months ago, and the message on the system indicated successful submission, but they have not received a tax refund yet…
The General Department of Taxation acknowledged the feedback from taxpayers regarding the delayed processing of personal income tax refund dossiers. They will instruct the Ho Chi Minh City Tax Department to investigate, identify the causes, and request the tax branches to promptly process personal income tax refund dossiers in a timely manner as prescribed.
According to Mr. Mai Son, Deputy Director General of the General Department of Taxation, the tax agency also acknowledged the reflections of taxpayers nationwide regarding the slow processing of personal income tax refund dossiers. In the first seven months of 2024, the number of personal income tax refund applications nationwide tended to increase (by 145% over the same period in 2023).
The peak of personal income tax refund applications by individuals who directly finalize their taxes in April, May, and June is one of the reasons for the delay in processing some dossiers beyond the prescribed time frame, affecting taxpayers.
To address this situation, the General Department of Taxation will continue to direct and urge tax authorities at all levels to review pending and overdue dossiers; handle personal income tax refund applications in accordance with regulations and procedures.
The tax industry is focusing on researching and proposing amendments to legal documents to simplify processes and procedures. They are also promoting the modernization of information technology applications to support the work of handling personal income tax refund dossiers more conveniently and quickly.
Mr. Mai Xuan Thanh, Director General of the General Department of Taxation, shared that the tax industry aims to achieve automatic personal income tax refunds by 2025. This will reduce the time and manpower required for both taxpayers and tax officials, allowing more time to support businesses and improve tax administration.
Add a Channel to Notify of Delayed Exit for Unpaid Taxes
The tax delinquent, regardless of the amount owed, will be temporarily barred from exiting the country, according to the leader of the General Department of Taxation. They have established multiple channels to forewarn these individuals, ensuring they are aware that they cannot leave the country until their tax obligations are fulfilled.
Unlocking Vietnam’s Economic Potential: A $4 Billion Proposal to Reduce Land Rent for Businesses
The two options for reducing land rent in 2024 proposed by the Ministry of Finance are a 15% or 30% reduction. These potential decreases aim to alleviate financial burdens and stimulate economic activity.
Why Are So Many People Suddenly Owing Taxes?
The General Department of Taxation has revealed that individuals suddenly find themselves in tax debt for a variety of reasons. These include tax code fraud by businesses, which falsely declare expenses, and taxpayers with multiple sources of income who are unaware of or forget about the self-declaration regulations.
The Art of Taxation: A Legal Dissection of the Pause on Land Tax in Ho Chi Minh City
The upcoming land price list, which was supposed to be released on August 1st, has been postponed by the Ho Chi Minh City authorities due to delays in the completion of the necessary procedures. Only 6 steps out of the entire process have been finished so far. This has caused a halt in administrative procedures for citizens, while other provinces continue to process real estate-related applications, including those for changing land use purposes.
Unveiling the Illicit: Exposing Businesses Selling Invoices Illegally
The General Department of Taxation has released a list of businesses engaged in the illicit sale of invoices, urging authorities to scrutinize and address these illegal practices.
