Personal income tax consulting

Individuals earning taxable incomes from salaries and wages must finalize personal income tax. Individuals can make the final settlement by themselves or authorize an organization to make the settlement on their behalf. In order to support and accompany organizations and individuals, HAPPYTAX advises and guides individual tax finalization procedures as follows:

Determining who must finalize personal income tax

  • Residents earning incomes from salaries and wages are responsible for making tax finalization declarations if there is additional tax to be paid.
  • Individuals with overpaid tax amounts may request a refund or offset in the next tax return period.
  • Resident individuals earning incomes from salaries or wages are eligible for tax reduction due to natural disasters, fires, accidents or fatal diseases.
  • Foreigners who terminate their working contracts in Vietnam must make tax finalization declarations with tax authorities before leaving the country.

 

Determining the deadline for submitting PIT finalization documents

  • Individuals with tax amounts must pay additional deadlines for submission of tax finalization documents for 2022, no later than March 30, 2023.
  • Individuals with overpaid tax amounts, requesting tax refunds or tax offsets in the next tax return period, individuals can submit documents at any time from the end of the tax year.

Conditions for individuals authorized to finalize personal income tax for organizations

  • Individuals earning income only from salaries and wages, sign a labor contract of 03 months or more at an income-paying organization and are actually working at that organization at the time of authorization for tax finalization, including In case an individual works for less than 12 months in the year at the organization, and at the same time has an average monthly income of not more than VND 10 million in other places in the year, the income payer has fully withheld 10% tax. with no tax finalization requirements for this portion of income.
  • In case the income paying organization carries out the enterprise reorganization (dividing, splitting, merging, merging, transforming) and the employees are transferred from the old organization to the new organization formed after the reorganizing the enterprise, if in the year the employee does not have any additional income from salary or wages at another place, he/she may authorize the new organization to settle tax on behalf of the new organization, the new organization must collect the documents. PIT deduction issued by the old organization to the employee to aggregate income, withheld tax amount and PIT on behalf of the employee.
  • In case of transferring employees between organizations in the same system such as: Group, Corporation, Parent-subsidiary company, Head office and branch, the principle of authorization of QTT will also apply the case of corporate reorganization.

Tax finalization records

  • Individuals earning incomes from salaries and wages directly declare tax in the year, the place to submit the tax finalization dossier is the tax office where the individual submits the tax declaration dossier in the year.
  • Individuals who are calculating deductions for their family circumstances at any income-paying organization shall submit a tax finalization dossier at the tax agency directly managing such income-paying organization.
  • In case the individual changes the workplace and at the organization paying the final income with the purpose of family deduction, he/she shall submit a tax finalization dossier at the tax agency managing the organization that pays the final income.

Individuals submitting tax finalization dossiers at the Sub-department of Taxation where the individual resides (registered permanent or temporary residence) includes:

  • Individuals who change their workplace and at the organization paying their final income do not include deductions for their personal circumstances.
  • The individual has not yet calculated the family allowance for himself at any income-paying organization.
  • Individuals who do not sign a labor contract, or sign a labor contract for less than 3 months, or sign a service provision contract with income at one place or many places have deducted 10%.
  • Individuals in the year who have income from salaries or wages at one place or many places but at the time of settlement do not work at any income-paying organization.
  • In case an individual resides in many places and is subject to tax finalization at the tax office where the individual resides, the individual shall choose a place of residence for tax finalization.

Preparation of personal income tax finalization records

  • Tax finalization declaration form No. 02/QTT-TNCN issued together with Circular No. 80/2021/TT-BTC.
  • Appendix form No. 02-1/BK-QTT-TNCN issued together with Circular 80/2021/TT-BTC if there is registration of family circumstance-based deduction for dependents.
  • Photocopies of documents evidencing the withheld tax amount, temporarily paid in the year, tax paid abroad (if any). The individual undertakes to be responsible for the accuracy of the information on that snapshot. In case the income paying organization fails to issue tax withholding documents to individuals because the income paying organization has ceased to operate, the tax authority shall base on the tax branch’s database to consider and process the final settlement dossier. tax for individuals without required tax withholding documents.
  • Photocopies of invoices and vouchers evidencing contributions to charity funds, humanitarian funds, study promotion funds in the tax year (if any).
  • In case individuals receive income from international organizations, embassies, consulates and receive income from abroad, they must have documents proving the amount of money paid by the income paying unit or organization in the country. outside.
  • Individuals submit the personal income statement XML file through the system http://canhan.gdt.gov.vn/ and then send the hard copy to the place where the tax finalization file is submitted.

HappyTax’s personal income tax finalization service:

  • Advising clients on tax laws in general and personal income tax laws in particular;
  • Advising clients on regulations and order, procedures and records on personal income tax finalization;
  • Making personal income tax finalization when authorized by customers, including: preparing, completing and submitting finalization dossiers to competent state agencies;
  • On behalf of clients to amend and supplement dossiers, directly work with competent authorities upon request;
  • Perform other services related to tax finalization when required by customers.