Circular No. 37/2010/TT-BTC guides the issuance, use, and management of self-printed tax deduction certificates for individual income tax on computers.

 CIRCULAR

Guidelines on the issuance, use, and management of tax deduction certificates printed on computers

for individual income tax

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Pursuant to the Law on Individual Income Tax No. 04/2007/QH12 dated November 21, 2007 and its guiding documents;

Pursuant to the Law on Tax Administration No. 78/2006/QH11 dated November 29, 2006 and its guiding documents;

Pursuant to the Government Decree No. 100/2008/NĐ-CP dated September 8, 2008 detailing certain provisions of the Law on Individual Income Tax;

Pursuant to the Government Decree No. 89/2002/NĐ-CP dated November 7, 2002 on printing, issuing, using, and managing invoices;

Pursuant to the Government Decree No. 118/2008/NĐ-CP dated November 27, 2008 on the functions, tasks, powers, and organizational structure of the Ministry of Finance;

The Ministry of Finance hereby provides detailed guidelines on the issuance, use, and management of tax deduction certificates printed on computers (hereinafter referred to as tax deduction certificates) as follows:

PART A - GENERAL PROVISIONS

Article 1. Scope and Conditions for Application

Organizations paying taxable income subject to individual income tax deductions that meet the following conditions may print their own tax deduction certificates to issue to individuals from whom taxes are deducted:

- Having legal entity status as prescribed by law;

- Having registered for tax purposes and possessing a tax identification number;

- Possessing computer equipment and protective software;

- Not having been penalized for violations of tax laws two or more times within the past one year;

Article 2. Format of Self-printed Tax Deduction Certificates

- The content of the tax deduction certificate must include all elements according to the standard tax deduction certificate model attached to this Circular.

- The tax deduction certificate must have a code consisting of two uppercase letters from the Vietnamese alphabet (A, B, C, D, E, G, H, K, L, M, N, P, Q, R, S, T, U, V, X, Y) and the year of issuance. For example: AB/2010/T, where AB is the code; 2010 is the year of issuance; T indicates a self-printed certificate.

- The tax deduction certificate must be numbered consecutively with up to seven digits within one code.

- Each tax deduction certificate consists of two copies:

Copy 1: Kept by the organization paying income.

Copy 2: Given to the person from whom the tax is deducted.

- Specific details and symbols of the organization may be included in the tax deduction certificate format. If the organization paying income needs to use a tax deduction certificate printed in another language, it should print Vietnamese first, followed by the foreign language.

PART B - PROVISIONS ON THE ISSUANCE, USE, AND MANAGEMENT OF SELF-PRINTED TAX DEDUCTION CERTIFICATES ON COMPUTERS

Article 3. Procedures for Registration and Circulation of Self-printed Tax Deduction Certificates

1- Procedure for registering the format of self-printed tax deduction certificates.

- A registration letter for using self-printed tax deduction certificates (according to the model attached to this Circular).

- The proposed format of the self-printed tax deduction certificate in accordance with the guidance provided in Article 2 of this Circular.

- A copy of the tax registration certificate confirmed as a true copy by the organization.

- Technical solutions for printing tax deduction certificates from computers.

b) Within five working days from the date of receipt of a valid application for self-printed tax deduction certificates, the tax authority shall examine the application and compare it with the organization's compliance with individual income tax policies, and issue a notification approving the registration of the tax deduction certificate; if the conditions are not met, the reasons for non-approval shall be clearly stated for the organization's knowledge.

Within five working days from the date of receipt of the approval notice from the provincial or centrally-administered city Tax Department, the organization must notify the circulation of the tax deduction certificates at its place of business. The notification of circulation of the tax deduction certificate must specify the format, size, and logo of the tax deduction certificate format.

Article 4. Using self-printed deduction vouchers

1. The income payer organization shall implement personal income tax deductions from the recipient's income at the unit according to regulations and issue deduction vouchers to the income recipient with the amount of tax deducted.

2. Deduction vouchers must be used in correct sequence, from the smallest number to the largest number (from January 1st to December 31st of the Gregorian calendar year), without skipping numbers, duplicating numbers, or using duplicate symbols.

3. In cases where deduction vouchers are incorrectly prepared but have not yet been handed over to the taxpayer and need to be canceled, they should be crossed out for cancellation and all copies of the incorrect deduction voucher must be retained.

4. Cases of reissuing deduction vouchers.

When deduction vouchers have already been issued and handed over to the taxpayer, and errors are subsequently discovered requiring the issuance of replacement deduction vouchers, the income payer organization must prepare a record detailing the erroneous content, the number and date of the incorrectly issued deduction voucher, with the signature confirmation of the income recipient, while requesting the income recipient to return the copy of the incorrectly issued deduction voucher (the copy given to the person subject to deduction) to the income payer organization for retention together with the record. After recovering the incorrectly issued deduction voucher, the income payer organization must issue a new replacement deduction voucher to hand over to the taxpayer and bear legal responsibility for the canceled deduction voucher.

Article 5. Reporting on the use of self-printed deduction vouchers

Income payer organizations that use self-printed deduction vouchers on computers must report on the use of such vouchers as follows:

1. Quarterly, they must submit a report on the situation of using deduction vouchers (according to the annex attached to this Circular) no later than the 30th day of the first month of each quarter.

2. Income payer organizations that use deduction vouchers when merging, consolidating, dissolving, changing ownership form, going bankrupt, or ceasing operations must report the final settlement of the use of issued deduction vouchers to the tax authority responsible for registering the use of deduction vouchers within the latest five working days from the date of the decision to merge, consolidate, dissolve, change ownership form, go bankrupt, or cease operations.

Article 6. Responsibilities of income payer organizations permitted to use self-printed deduction vouchers

2. Implement bookkeeping, preservation, and retention of printed and used deduction vouchers according to the laws on Taxation and Accounting - Statistics.

3. Present used deduction vouchers to the tax authority and other state agencies with jurisdiction when inspected.

4. Report on the use of deduction vouchers as prescribed.

5. Retain data on deduction vouchers according to the Law on Electronic Transactions and the Accounting Law.

Article 7. Responsibilities of the tax authority

Tax authorities at all levels must implement oversight and management of income payer organizations using self-printed deduction vouchers:

1. Retain files: Registration of self-printing deduction vouchers by income payer organizations; letters of approval for registration to use deduction vouchers from the tax authority.

2. Implement the revocation of approval to use deduction vouchers when discovering that income payer organizations have used deduction vouchers with errors.

3. Conduct verification and cross-checking of the tax amounts deducted on deduction vouchers provided by taxpayers against the information reflected in tax deduction declarations and reports on the use of deduction vouchers by income payer organizations.

PART C - IMPLEMENTATION ORGANIZATION

Article 8. Implementation clause

1- This Circular takes effect forty-five days from the date of signature.

2- During implementation, if there are any difficulties, income-paying organizations are requested to promptly report them to the Ministry of Finance (General Department of Taxation) for study and resolution./.