Mr. Le Van Hai, Deputy Head of the Legal Department (Tax Department – Ministry of Finance)
The recent VTV24 program titled “New Aspects in Tax Violation and Invoice Penalties” raised a critical issue: Previously, invoice violations were penalized based on the act itself, but from now on, penalties will be progressive based on the number of violating invoices. This change could result in the same violation incurring a penalty three to four times higher than before. What steps should businesses take to avoid these progressive penalties?
During the program, Mr. Le Van Hai, Deputy Head of the Legal Department (Tax Department – Ministry of Finance), shared that Decree 310 came into effect on May 16, 2026, amending several provisions of Decree 125, which was issued five years ago.
“I want to clarify that the new regulations in Decree 310, when understood correctly, are more lenient and reasonable compared to the previous ones, not stricter,” he emphasized.
He explained that previously, invoice violations were penalized based on individual acts. In practice, even minor technical errors repeated within the same day or process could be separated and penalized multiple times, leading to high cumulative fines and a sense of inconsistent penalties.
Decree 310 was introduced to address these shortcomings, establishing a principle of grouping acts and clearly distinguishing between isolated, unintentional errors and repeated, systemic violations. Only in cases where violations are systemic and significantly impact tax obligations are the penalties designed to be proportionate.
“For businesses operating with integrity, if errors are identified and promptly corrected, they are not the target of this policy. Therefore, it can be succinctly stated that what is severely penalized is not the error itself, but the repeated failure to correct it. Thus, businesses should not be overly concerned in general. The key is to establish an invoice control process, a risk monitoring and warning system from tax authorities, and to promptly rectify any errors that arise,” Mr. Hai analyzed.
He also emphasized that the overarching spirit of Decree 310 is to enhance fairness, transparency, and predictability, enabling businesses to comply with confidence, rather than imposing additional burdens or risks.
During the program, a representative from the Tax Department also addressed questions regarding the expansion of punishable entities to include all authorized organizations and individuals, even tax officials.
Explaining this, Mr. Hai noted that previously, penalties for such acts were not uniform and did not fully reflect the severity of the violations. Decree 310 has now standardized this approach.
Additionally, there have been changes in local government structures and state agency mechanisms at all levels. After five years of implementation, based on practical experience and the legal framework of the amended Law on Handling Administrative Violations, the Law on Tax Administration, and related decrees, the Government issued Decree 310 to amend and supplement certain provisions of Decree 125 to align with the current realities.
Why the Tax Department’s Leadership is Reassuring Small Businesses
After more than two weeks of implementing the tax declaration under the Tax Administration Law, many business households remain uncertain, fearing incorrect declarations, penalties, or back-tax assessments from previous years. Addressing these concerns, Mr. Mai Sơn, Deputy Director of the Tax Department, assured that the initial phase will focus on guidance and support, rather than stringent inspections or penalties, to help business households confidently comply with regulations.
Eliminating Lump-Sum Tax: Businesses Grapple with Bookkeeping Challenges and Penalty Concerns
After nearly two weeks of eliminating the lump-sum tax, some users have resorted to manual note-taking, while others have registered for sales software but are still in the familiarization phase, yet to fully utilize its features. The most significant challenge lies with elderly household heads and small traders, who have limited exposure to technology.
Do Landlords Need to Register a Business?
Many landlords are often unsure about tax filing, business registration, and whether they need to establish a business license. According to tax authorities, setting up a business license is an individual’s right, not a mandatory obligation. This regulation has been in effect since this year.
“Legalizing Tax Compliance: Protecting Honest Businesses from Unfair Advantages”
The expert emphasizes that the Tax Administration Law is designed with a risk-based management approach, categorizing different levels of compliance without rigidly or uniformly applying it to all entities.
Minimizing Unintentional Tax Errors and Violations for Business Households: A Tax Authority Initiative
The tax authority is intensifying its support for businesses to minimize unintentional errors and violations in fulfilling their tax obligations.
