Circular No. 24/2012/TT-BTC amends and supplements provisions on the dossier and procedures for handling tax exemption, late payment penalties, as well as tax debt cancellation and late payment penalties for enterprises when processing customs formalities. This circular applies to enterprises with overdue tax debts and takes effect from April 15, 2012.
Scope of application
Enterprises with overdue tax debts when processing customs formalities
Key points
- Enterprises → must submit a dossier requesting tax exemption and late payment penalty relief, including specific documents such as explanatory letters, goods declaration forms, tax notification, decision on tax recovery, tax receipt, trade contracts, commercial invoices, inspection certificates (if available).
- Enterprises → must submit a dossier requesting tax debt cancellation and late payment penalty relief, including documents such as explanatory letters, goods declaration forms, tax notifications, decisions on tax recovery, decisions on late payment penalties, trade contracts, commercial invoices, inspection certificates (if available).
- The local Customs Office → checks and verifies the authenticity of the dossier within three working days, notifying the enterprise of any necessary amendments or supplements if the dossier is incomplete.
- The local Customs Office → handles tax exemption, late payment penalty relief, or tax debt cancellation and late payment penalty relief within ten working days from the date of receiving the complete dossier as prescribed.
- The General Department of Customs → reviews and submits a final decision by the Ministry of Finance regarding tax exemption, late payment penalty relief, or tax debt cancellation and late payment penalty relief.
🌐 Social impact of this document
- Enterprises will have additional opportunities to be granted tax exemption and late payment penalty relief if they meet the required conditions.
- The dossier processing procedure has been simplified, helping enterprises save time and effort.
- The General Department of Customs and the local Customs Office will have additional responsibilities in verifying the authenticity of the dossiers.
❓ Frequently asked questions
What documents do enterprises need to prepare to request tax exemption?
The request must include an explanatory letter, import/export goods declaration form, initial tax notification from the customs authority, tax receipt according to the initial tax notification, decision or notification on tax recovery, tax recovery receipt (if already paid), decision on late payment penalty for recovered taxes, trade contract, commercial invoice, and bill of lading. These documents must be certified true copies except for the original explanatory letter requesting tax exemption.
How will the local Customs Office process if the dossier is incomplete?
Within three working days from the date of receiving the dossier, the local Customs Office must notify the enterprise of the necessary amendments or supplements. If the dossier is complete, they will process it within ten working days.
When can enterprises be exempted from tax recovery and late payment penalties?
Enterprises may be exempted from tax recovery and late payment penalties if they meet the conditions stipulated at Point 1c, Section II of the Circular, specifically due to subjective or objective reasons leading to incorrect calculation of the tax payable amount.
What should the dossiers requesting tax debt cancellation and late payment penalty relief include?
The dossier needs to include an explanatory letter, import/export goods declaration form, tax notification from the customs authority, decision on tax recovery (if applicable), decision on late payment penalty for taxes (if applicable), trade contract, commercial invoice, and inspection certificate (if available). These documents must be certified true copies except for the original explanatory letter requesting tax debt cancellation.
What is the process for handling tax debt cancellation and late payment penalty relief?
The local Customs Office will check the dossier, within ten working days from the date of receiving the complete dossier, they will send the entire dossier and a proposal for tax debt cancellation to the General Department of Customs. If the conditions are met, the General Department of Customs will submit a decision for tax debt cancellation to the Ministry of Finance.
Full text
CIRCULAR
Amending and supplementing Circular No. 77/2008/TT-BTC dated September 15, 2008
guiding the implementation of certain measures to handle overdue tax debts
______________________
Pursuant to the Law on Tax Administration No. 78/2006/QH11 dated November 29, 2006;
Pursuant to Decree No. 118/2008/NĐ-CP dated November 27, 2008 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance.
Implementing Resolution No. 25/NQ-CP dated June 2, 2010 of the Government on simplifying 258 administrative procedures within the scope of management functions of Ministries and Sectors, and Resolution No. 68/NQ-CP dated December 27, 2010 of the Government on simplifying administrative procedures within the scope of management functions of the Ministry of Finance;
The Ministry of Finance amends and supplements Circular No. 77/2008/TT-BTC dated September 15, 2008 guiding the implementation of certain measures to handle overdue tax debts as follows:
Article 1. Amending and supplementing Point 1b, Point 1c Section II as follows:
"b) The application for exemption from back taxes and penalties shall be prepared by the enterprise and submitted to the customs office where the customs procedures were carried out, consisting of:
b.1) A letter from the enterprise requesting exemption from back taxes and penalties, explaining clearly the reasons for the request and the amount of back taxes;
b.2) The customs declaration for imported/exported goods subject to back taxes;
b.3) The first notification of tax issued by the customs office;
b.4) The receipt for payment of the first notification of tax issued by the customs office;
b.5) The decision or notification of back taxes issued by the customs office;
b.6) The receipt for payment of back taxes according to the decision or notification of back taxes (for cases where the back taxes have been paid but the late payment penalties have not yet been paid);
b.7) The decision on late payment penalties for back taxes;
b.8) The commercial contract;
b.9) Commercial invoices, transport documents;
b.10) Certificate of inspection issued by the inspection agency (if any).
All documents mentioned above shall be submitted in one copy, except for the letter requesting exemption from back taxes and penalties which must be the original, while the rest shall be copies certified true copies and signed by an authorized representative of the enterprise.
c) Procedure, process, and authority for handling exemption from back taxes and penalties:
The enterprise shall submit the application for exemption from back taxes and penalties to the local Customs Office where the customs procedures were carried out for the consignment subject to back taxes for verification and confirmation of the authenticity of the file.
Based on the file prepared by the enterprise, the local Customs Office shall check and compare with the provisions set forth in Point 1a Section II and handle as follows:
c.1. In case the file is incomplete: within three working days from the date of receipt of the file, the local Customs Office must issue a written notice to the enterprise specifying the contents that need to be supplemented or corrected and require the enterprise to amend and supplement the file in accordance with the regulations.
c.2. In case the file is complete, it shall be handled as follows:
c.2.1. In case the conditions for exemption from back taxes and penalties are met: within ten working days from the date of receipt of the complete file, the local Customs Office must prepare a report and proposal for handling the exemption from back taxes and penalties and send it along with the entire file to the General Department of Customs. The content of the report must clearly state:
- Subjective and objective reasons (as stated above), circumstances, and details leading to the incorrect calculation (or notification) of the tax payable, thus requiring back taxes;
- The amount of tax notified initially; - The amount of back taxes;
- The amount of back taxes and penalties proposed for exemption.
c.2.2. In case the conditions for exemption from back taxes and penalties are not met: within ten working days from the date of receipt of the file, the local Customs Office must issue a written response and require the taxpayer to pay the full amount of back taxes and late payment penalties in accordance with the regulations.
Based on the file and report sent by the provincial or city Customs Office, the General Department of Customs shall review and submit to the Ministry of Finance for a decision on exemption from back taxes and penalties for the enterprise."
Article 2. Amending and supplementing Point 2b, Point 2c Section II as follows:
"b) The application for cancellation of tax debt and penalties shall be prepared by the enterprise and submitted to the customs office where the customs procedures were carried out, consisting of:
b.1. A letter from the enterprise requesting cancellation of tax debt and penalties, explaining clearly the reasons for the request, stating the reasons for the incorrect calculation of the tax payable, the amount of tax (penalty) notified, the correct amount of tax payable, and the amount of tax and penalty proposed for cancellation;
b.2. The customs declaration for imported/exported goods subject to cancellation of tax debt;
b.3. The tax notification issued by the customs office;
b.4. The decision on back taxes issued by the tax management agency (if any);
b.5. The decision on late payment penalties (if any);
b.6. The commercial contract;
b.7. Commercial invoices;
b.8. Certificate of inspection issued by the inspection agency (if any);
b.9. Description of characteristics, nature, and construction of the goods provided by the manufacturer (if any).
All documents mentioned above shall be submitted in one copy, except for the letter requesting cancellation of tax debt and penalties which must be the original, while the rest shall be copies certified true copies.
c) Procedure, process, and authority for handling cancellation of tax debt and penalties:
The enterprise shall submit the application for cancellation of tax debt and penalties to the local Customs Office where the customs procedures were carried out for the consignment subject to tax debt for verification and confirmation of the authenticity of the file.
Based on the file prepared by the enterprise, the local Customs Office shall check and compare with the provisions at Point 2a Section II and handle as follows:
c.1. In case the file is incomplete: within three working days from the date of receipt of the file, the local Customs Office must issue a written notice to the enterprise specifying the contents that need to be supplemented or corrected.
c.2. In case the file is complete, it shall be handled as follows:
c.2.1. In case the conditions for cancellation of tax debt and late payment penalties are met: within ten working days from the date of receipt of the complete file, the local Customs Office must send the entire file and a letter to the General Department of Customs proposing the cancellation of tax debt and penalties for the enterprise. The content of the letter must clearly state:
- Reasons leading to the incorrect calculation of the tax payable and the reasons for recalculating the tax;
- The amount of tax (penalty) notified;
- The correct amount of tax payable after recalculation;
- The amount of tax and penalty proposed for cancellation;
- Confirmation that the enterprise falls under the category eligible for cancellation of tax debt as guided at Point 2a Section II and commits to bear responsibility for the proposal to cancel tax debt and penalties.
c.2.1. In case the conditions for writing off tax debts and fines are not met as prescribed, within ten working days from the date when the local Customs Department receives the file, it must issue a response document and request the taxpayer to pay the full amount of back taxes and late payment penalties in accordance with the regulations.
Based on the file and report sent by the provincial or municipal Customs Department, the General Department of Customs will review and submit to the Ministry of Finance a decision to write off the debt for the enterprise.
Article 3. Implementation
This Circular takes effect from April 15, 2012, replacing previous guidelines that conflict with this Circular. The General Department of Customs and the provincial and municipal Customs Departments are responsible for implementing this Circular's provisions.
During the implementation of this Circular, if there are any difficulties, they are requested to be reported to the Ministry of Finance for consideration and guidance on resolution./.
DEPUTY MINISTER
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