Circular No. 45/TC/TCT guiding the implementation of Decree No. 22/CP dated April 17, 1996 of the Government on administrative penalties for violations in the field of taxation.

CIRCULAR

||| Guidelines for implementing Decree No. 22/CP dated April 17, 1996 of the Government

On Administrative Sanctions for Violations in the Field of Taxation

 ______________________________

Pursuant to Decree No. 22/CP dated April 17, 1996 of the Government on Administrative Sanctions for Violations in the Field of Taxation, the Ministry of Finance provides specific guidelines as follows:

I. GENERAL PROVISIONS

||| 1. Administrative violations in the tax domain are actions committed by organizations or individuals who violate provisions of Tax Laws, Tax Ordinances, regulations on issuing purchase and sale documents, opening and recording accounting books, regulations on fees and charges, and other current regulations on State budget revenues but not reaching the level of criminal prosecution, which must be subject to administrative penalties.

2. Subjects liable to administrative sanctions for violations in the field of taxation:

||| a) All Vietnamese organizations and individuals if they commit administrative violations in the tax domain.

||| b) Foreign organizations and individuals if they commit administrative violations in the tax domain. In cases where international treaties to which Vietnam is a party provide different provisions, such treaties shall be implemented.

||| 3. Tax collection agencies as stipulated in Decree No. 22/CP dated April 17, 1996 include tax authorities and customs offices (for export duties, import duties, and special consumption taxes).

||| 4. Principles and forms of administrative penalties for tax domain violations:

||| a) The principle of imposing administrative penalties for tax domain violations is carried out according to Article 3 of the Administrative Violation Handling Ordinance dated July 6, 1995.

||| b) Main forms of penalty: - Warning;

- Fine.

||| In cases where fines are imposed on organizations or individuals committing multiple administrative violations in the tax domain during a single discovery or inspection, penalties should be applied separately for each violation, then the monetary penalties should be aggregated.

||| - Confiscation of property or means used to commit administrative violations.

||| 5. Mitigating circumstances in the tax domain:

||| a) Organizations or individuals who have committed administrative violations and have taken measures to reduce the harm caused by the violation or voluntarily rectified and compensated for damages.

||| b) Violations occurring under particularly difficult objective circumstances.

||| 6. Aggravating circumstances in the tax domain:

||| a) Organized violations,

||| b) Recidivism or repeated violations,

||| c) Violations causing significant damage to assets,

||| d) Exploiting positions, powers, or natural disasters, epidemics, or enemy threats to commit violations,

||| e) Violations while serving a penalty decision, f) After committing a violation, engaging in evasive behavior or concealing the violation.

7. Cases Not Subject to Administrative Sanctions for Violations in the Field of Taxation:

||| a) Expiry of the period for administrative violation penalties:

||| - No administrative penalties will be imposed on organizations or individuals who commit administrative violations in the tax domain if more than two years have passed since the date of discovery. Within the penalty period, if the organization or individual commits new violations or intentionally avoids or obstructs the penalty process, the above period does not apply. For violations involving false declarations to evade taxes (as specified in Article 3 of the Decree), the penalty period is three years from the date of discovery.

||| - In cases where violations of the law have been initiated for prosecution, indictment, or a decision has been made to bring the case to trial under criminal procedure, but investigative agencies decide to terminate the investigation or close the case, if the violation indicates administrative violation, the penalty period is three months from the date of the decision to terminate the investigation or close the criminal case. If the organization or individual continues to commit violations or intentionally avoids or obstructs the penalty process within the penalty period, the penalty period will be recalculated from the date the evasive or obstructive behavior ends or the new violation occurs.

||| The end date of evasive or obstructive behavior is the day the party voluntarily reports to the tax authority and accepts the penalty decision. The tax authority must record this in a report.

||| b) Administrative violations in the tax domain that, according to the law, indicate criminal offenses and the tax authority has transferred the case file to competent authorities for resolution.

||| c) Individuals under the age of majority who commit administrative violations will be handled according to Article 6 of the Administrative Violation Handling Ordinance dated July 6, 1995.

||| d) Committing administrative violations while suffering from mental illness or other diseases that impair cognitive or behavioral control.

II. VIOLATIONS AND AMOUNTS OF SANCTIONS:

||| Based on the provisions of Articles 1, 2, 3, 4, and 5 of Chapter I of Decree No. 22/CP dated April 17, 1996 of the Government, specific forms and levels of penalties for administrative violations in the tax domain are as follows:

1. Violations concerning business registration procedures, tax payment registration, tax declaration, accounting bookkeeping, and retention of invoices and documents related to tax calculation, collection, and payment.

1.1. A first-time violation is subject to a warning; if it is a second-time violation, a fine of VND 20,000 to VND 200,000 shall be imposed. If there are aggravating circumstances, a fine up to VND 1,000,000 may be imposed for one of the following behaviors:

||| a) Violations of registration for business operations; registration for tax payment and declaration to tax authorities beyond the time limits set forth in current guiding documents for implementing Tax Laws, Tax Ordinances, fees, and other State budget revenue payments.

b) Failing to fill in all required items in tax declaration forms or in accounting documents provided to the tax authority.

||| 1.2. A fine of between 40,000 VND and 200,000 VND for the first violation. If there is a second violation, a fine of between 600,000 VND and 1,000,000 VND will be imposed for one of the following behaviors:

- Not fully complying with the management and usage regulations for sales invoices as prescribed by the State.

- Failing to fully record the required elements according to the regulations of each invoice, receipt, and tax stamp model when selling goods or providing services to customers.

||| 1.3. A fine of between 100,000 VND and 1,000,000 VND for the first violation; if there is a second violation, a fine of between 2,000,000 VND and 4,000,000 VND will be imposed, with an additional fine up to 6,000,000 VND if there is one aggravating circumstance, and up to 10,000,000 VND if there are two or more aggravating circumstances for one of the following behaviors:

a) Failing to present accounting books, documents, and materials related to the tax authority's request.

||| b) Failure to submit tax declaration forms and accounting reports to tax collection agencies within the time limits set forth in current guiding documents for implementing tax laws and other State budget revenue laws.

||| c) Failure to fully implement or implement accounting bookkeeping systems as prescribed by Accounting and Statistics Ordinance.

||| d) Transporting goods without accompanying tax documents required for each type of business (purchase records, valid documents, other legitimate papers).

||| 1.4. A fine of between 1,000,000 VND and 10,000,000 VND for the first violation, with a fine up to 13,000,000 VND for a second violation, and up to 20,000,000 VND if there is an aggravating circumstance for one of the following behaviors:

- Intentionally failing to submit tax declarations, accounting reports, and other documents to the tax collection agency as prescribed by law.

||| Intentional non-payment is defined as after the deadline for submitting the aforementioned documents, the tax collection agency sends the first notice (attached model) requesting submission of these documents. If the entity still fails to submit the documents within ten days of receiving the first notice, the agency sends a second notice. If the entity still fails to submit the documents within ten days of receiving the second notice, the agency may impose these penalties.

- Selling goods without issuing invoices to customers as prescribed by the State.

||| - Organizations or individuals purchasing or using invoices or receipts not issued by the Ministry of Finance or not permitted for use.

- Losing or allowing others to misuse their invoices for illegal activities or tax evasion.

1.5. A fine of VND 2,000,000 to VND 10,000,000 for the first violation; if there is a second violation, a fine of up to VND 15,000,000 shall be imposed, and if there is an aggravating circumstance, a fine of up to VND 20,000,000 may be imposed for the following acts:

+ Destroying vouchers, registers, and accounting reports related to tax calculation and collection before the expiration of the retention period as prescribed.

+ Damaging vouchers, registers, and accounting reports related to tax calculation and collection to the extent that they cannot be restored (unreadable, unphotocopiable).

2. Acts of false declaration to evade taxes:

2.1. Organizations and individuals who make false declarations or evade taxes as prescribed in the Law on Value Added Tax, the Law on Corporate Income Tax, the Law on Special Consumption Tax, the Law on Export Duties and Import Duties, the Law on Agricultural Land Tax, and the Law on Land Transfer Tax; in addition to paying the full amount of tax as stipulated by the relevant tax laws, they shall also be subject to fines according to the number of violations specified in those laws. In cases not covered by the aforementioned tax laws, organizations and individuals who make false declarations or evade other types of taxes shall, in addition to paying the full amount of evaded taxes, be subject to fines according to the number of times the taxes were evaded, with the maximum fine not exceeding VND 100,000,000.

2.2. A fine equal to the amount of evaded tax, and if there is an aggravating circumstance (except in cases where the violator has already been punished for tax evasion and continues to violate), a fine of up to twice the amount of evaded tax may be imposed for the following acts:

a) Making false declarations regarding the basis for calculating tax as prescribed for each type of tax.

b) Establishing accounting books and invoices incorrectly with respect to actual transactions.

c) Excluding data from accounting records or improperly posting to accounts as prescribed, causing the basis for calculating tax to deviate from reality.

d) Requesting temporary suspension of business operations to reduce or exempt taxes but continuing to operate in reality.

If organizations or individuals violate points a, b, and c of Section 2.2 of this Circular, and such violations are discovered before the deadline for settlement of taxes or payment of taxes as required by law, they shall not be punished under this point but shall instead be subject to penalties as provided in Clause 2, Article 2 of Decree No. 22/CP dated April 17, 1996.

2.3. A fine of twice the amount of evaded tax, and if there is an aggravating circumstance (except in cases where the violator has already been punished for tax evasion and continues to violate), a fine of up to three times the amount of evaded tax may be imposed for the following act:

a) Transporting goods without complete documentation proving that the goods have been taxed or are under the control of the tax authority as prescribed for each business entity. This act is considered false declaration of tax evasion and shall be punished as provided in point 2.3.

- In cases where, upon inspection, the tax authority finds doubts and may conduct further investigations, but not beyond the time limit set by the tax authority for allowing the transporter to obtain sufficient documentation. If, after the time limit set by the tax authority, the transporter still fails to present complete and valid documentation proving that the goods have been taxed (for goods sold or exchanged) or are under the control of the tax authority (for goods transferred within the same unit), it will be deemed an act of false declaration of tax evasion and shall be punished as provided in point 2.3.

If, during the time allowed by the tax authority, the transporter presents complete and valid documentation, the competent tax authority can only issue a decision to impose a penalty as provided in point b, Clause 2, Article 2 of Decree No. 22/CP dated April 17, 1996.

If the consignor does not comply with the tax authority's decision or fails to pay the tax and fine within one day for perishable goods and five days for other goods from the date of the decision, the tax authority shall transfer the case to the financial department at the same level or higher to establish a committee for auctioning the seized goods to enforce collection.

b) Engaging in business without declaring or registering with the tax authority.

c) Counterfeiting sales invoices, receipts, tax vouchers, cargo transportation slips, and other documents related to tax calculation.

2.4. For organizations and individuals engaged in import and export activities who violate the provisions of Sections 2.2 and 2.3 of this Circular, depending on the nature of the violation, a fine of two to five times the amount of evaded tax may be imposed.

2.5. In cases of large-scale tax evasion or repeated violations after administrative punishment for tax evasion, the tax authority shall transfer the case file to the People's Procuratorate at the same level to request criminal prosecution under Article 169 of the Penal Code.

3. Violations of the system for collecting and paying taxes and fines:

3.1. A fine of VND 100,000 to VND 500,000 for the first violation; if there is a second violation, a fine of VND 500,000 to VND 800,000 shall be imposed, and if there is an aggravating circumstance, a fine of up to VND 3,000,000 may be imposed, and if there are two or more aggravating circumstances, a fine of up to VND 7,000,000 may be imposed for the following act:

Not to accept tax collection notices, tax collection orders, administrative violation penalty decisions when the tax authority delivers them directly.

When a tax officer directly delivers a notice of tax collection, a tax collection order, or a tax penalty decision to the taxpayer or the violating organization or individual, and the recipient refuses to accept it, the tax authority shall record the violation in an administrative violation report, specifying the reasons as the basis for imposing a penalty.

3.2. A fine of VND 200,000 to VND 500,000 for the first violation; if there is a second violation, a fine of VND 500,000 to VND 1,000,000 shall be imposed, and if there is an aggravating circumstance, a fine of up to VND 5,000,000 may be imposed, and if there are two or more aggravating circumstances, a fine of up to VND 10,000,000 may be imposed for the following acts:

- Paying tax or fines late as recorded in the tax payment notice or in the tax violation handling decision issued by the tax authority.

Tax officers, organizations, or individuals entrusted with tax collection, and bank officials who fail to promptly deposit tax payments into the State Treasury due to lack of responsibility shall be subject to late payment penalties as provided herein.

When enterprises pay taxes through bank transfers, if the enterprise's account at the bank has sufficient balance to cover the tax payment but the bank delays transferring the tax payment from the enterprise's account to the Treasury account, the bank shall be subject to late payment penalties as provided herein.

- Delaying tax payments or fines:

Delays in tax payments or fines exceeding 30 days beyond the deadline specified in tax payment notices or administrative penalty decisions are considered delays in tax payments or fines.

3.3. Organizations and individuals who violate the provisions of Section 3.2 of Part II of this Circular, in addition to being subject to penalties as provided in Section 3.2 of Part II of this Circular, shall also be fined 0.2% of the amount of late payment for each day of delay. For late payment of agricultural land tax and associated penalties, a daily fine of 0.1% of the amount of late payment shall apply.

4. Violations of the system for inspecting and sealing goods: 4.1. A fine of VND 100,000 to VND 400,000 for the first violation; if there is a second violation, a fine of VND 500,000 to VND 1,000,000 shall be imposed, and if there is an aggravating circumstance, a fine of up to VND 3,000,000 may be imposed, and if there are two or more aggravating circumstances, a fine of up to VND 7,000,000 may be imposed for the following act:

Refusing to allow the tax authority to inspect goods in transit, warehouses, or raw materials at production and business sites.

4.2. A fine of VND 200,000 to VND 500,000 for the first violation; if there is a second violation, a fine of VND 600,000 to VND 1,200,000 shall be imposed, and if there is an aggravating circumstance, a fine of up to VND 5,000,000 may be imposed, and if there are two or more aggravating circumstances, a fine of up to VND 10,000,000 may be imposed for the following act:

Unauthorized removal of seals from warehouses, raw material storage, machinery, factories during the sealing period imposed by tax authorities.

III. AUTHORITY - PROCEDURES FOR ADMINISTRATIVE PENALTIES IN THE TAX FIELD

1. Authority to impose administrative violation penalties in the tax field:

The authority to impose administrative penalties in the field of taxation is stipulated in Articles 7, 8, and 9 of Decree No. 22/CP dated April 17, 1996. Further guidance is provided as follows:

a) Tax collection agencies at all levels are authorized to impose administrative penalties for violations in the field of taxation within their jurisdiction. If they find that a case exceeds their authority, they must transfer it to the competent authority for resolution. If the case does not fall under the jurisdiction of the tax department, the head of the tax agency must transfer the file to the competent authority for resolution; however, they must provide a written recommendation on the form and level of penalty.

b) Team leaders of village, town tax teams established pursuant to Circular No. 64/TC/TCCB dated October 29, 1992 of the Ministry of Finance also have the authority to impose administrative penalties for violations in the field of taxation like the station chiefs according to Clause 1 of Article 7 of Decree No. 22/CP dated April 17, 1996.

c) Other agencies such as market management, police, border guards, forest rangers, specialized state inspection agencies, while performing their functions, if they discover administrative violations in the field of taxation, may impose penalties after obtaining a unified opinion from the same-level tax agency.

If administrative violations in the field of taxation fall under the authority of multiple agencies, the first agency to handle the case will be the authority to impose administrative penalties according to tax laws after obtaining a unified opinion from the tax agency.

- If there is no unified opinion, it must be reported to the higher-level tax agency for resolution.

2. Procedures for imposing administrative violation penalties in the tax field:

a) Warning shall be applied to individuals who violate for the first time or whose violation is due to multiple objective reasons or has several mitigating circumstances (two or more) as specified in Section 6, Part I of this Circular.

The decision to impose a warning penalty shall be made in writing. When deemed necessary, the competent authority shall send the penalty decision to the local government where the violator resides or the agency managing the violator.

b) Fine:

- If the fine is up to 20,000 dong, the authority handling the case must issue the penalty decision on the spot and record the receipt of payment. In the penalty decision, the name, address of the person committing the act, the amount of the fine, the place of payment, and the name of the person issuing the decision must be clearly stated; the receipt of the fine must be handed over to the violator with one copy.

- If the fine exceeds 20,000 dong, the competent authority (person) imposing the penalty must prepare an administrative violation report (according to the attached model). Within fifteen days from the date of preparing the report, the competent authority imposing the penalty must issue the penalty decision (according to the attached model).

- In cases where the decision on administrative penalty for fines of 2,000,000 dong or more must be sent to the People's Procuracy at the same level with one copy.

c) The enforcement of the Decision on Administrative Penalties in the Field of Taxation is carried out according to Article 11 of Decree No. 22/CP dated April 17, 1996. Further guidance is provided as follows:

- The penalty decision must be sent to the individual or organization being penalized no later than three days from the date of issuance of the decision. Individuals or organizations penalized for administrative violations in the field of taxation must immediately execute the penalty decision from the date they receive the decision.

- If five days have passed since the date of issuance of the penalty decision and the individual or organization being penalized does not voluntarily comply, the head of the tax agency issuing the penalty decision may apply the following coercive measures:

+ Seize funds from the accounts of individuals or organizations at banks to pay taxes and fines.

The tax agency sends a letter along with the decision to the bank to deduct the amount from the account of the business entity at the bank to pay taxes and fines. The bank is responsible for implementing the priority deduction system for tax and fine payments.

+ To temporarily detain goods and evidence to ensure the collection of sufficient tax and fine payments. This measure shall only be applied in cases where the temporary detention of goods and evidence is necessary to collect the tax and fine payments.

All cases of temporarily holding goods or evidence must be based on a written decision by the head of the county-level tax collection agency (or equivalent). When implementing the temporary holding decision, a receipt for temporarily held goods (model CTT30) must be prepared. If sealing is required, it must be done in the presence of the owner or representative of the business. Goods and evidence temporarily held must be properly handed over between tax officers and custodians, who are responsible for any substitution, loss, or damage.

+ To seize assets for auction.

In cases requiring the seizure of assets, the tax agency issuing the penalty decision must report and seek approval from the People's Committee at the same level and the superior tax collection agency. After receiving the signature of the People's Committee at the same level, the tax agency will cooperate with the police force and the people's procuratorate to seize assets worth the amount of the fine and tax to sell them at auction according to the law. Proceeds from the sale of goods and evidence of administrative violations related to taxation, if abandoned or unclaimed by the owner, shall be handled in the following order: expenses for investigation, verification, transportation, loading and unloading, selling... (if applicable), but must be supported by valid documentation; a portion can be awarded as a reward based on the amount of tax evasion discovered. The remaining amount must be fully deposited into the State Budget.

- For all cases of administrative violations subject to monetary penalties, when collecting the fine, the agency collecting the fine must use the receipt issued by the Ministry of Finance. The collected fine must be deposited into the State Budget according to the prescribed chapters, types, items, and sub-items in the State Budget Manual. The management system for receipts and the principle of rewarding actual collections are implemented according to current regulations of the State.

The handling of evidence and means of transportation involved in administrative violations is carried out according to Article 52 of the Administrative Violations Handling Ordinance.

Decisions to confiscate evidence and means of transportation involved in administrative violations valued at 5,000,000 dong or more must be immediately sent to the People's Procuratorate at the same level.

3. Complaints, reports, and the resolution of complaints and reports:

The procedure for lodging complaints and resolving complaints about decisions on administrative penalties in the field of taxation; the procedure for resolving accusations of abuse of power or other illegal acts by tax collection agencies or persons authorized to impose administrative penalties in the field of taxation is carried out according to Article 13 of Decree No. 22/CP dated April 17, 1996.

IV. OPENING ACCOUNTS AND COLLECTING PENALTIES:

The tax authorities at all levels, including the General Department of Taxation, Tax Departments, and Tax Branches, shall open temporary holding accounts at the State Treasury at the same level to deposit and pay the amount of evaded taxes and fines directly detected and discovered by the tax authorities.

The Customs Departments of provinces and centrally-administered cities shall open separate temporary holding accounts at the State Treasury of their respective province or city to deposit and pay the amount of evaded taxes and fines directly detected and discovered by the customs authorities.

The Departments of Finance and Prices of provinces and centrally-administered cities shall open temporary holding accounts at the State Treasury of their respective province or city to deposit and pay the amount of evaded taxes and fines directly detected and discovered by the Market Management, Public Security, Forest Protection, Border Guard, Specialized State Inspection agencies.

a) Regarding confiscated goods and evidence:

When selling seized goods, the revenue receipt form issued by the Ministry of Finance (CTT11) must be used. All proceeds from the sale must be deposited into the temporary holding account opened at the State Treasury.

The record of seized goods includes: Temporary receipt for seized goods, decision on handling by the competent authority, revenue receipt form (CTT11), export invoice for seized goods, payment slip to the State Budget, auction record, decision to establish the fund, other expense vouchers (if any) such as investigation costs, loading and unloading, transportation, storage, testing, appraisal, and auction organization costs.

b) Regarding tax evasion and fines (excluding late payment fines):

- For fines, based on the decision on administrative penalty, revenue receipts (CTT11) must be issued to the penalized party, and the fines must be deposited into the temporary holding account at the State Treasury.

- For the amount of evaded taxes, based on the inspection receipt, the competent authority shall issue a decision to recover the evaded tax amount, and send this decision to the entity being penalized to immediately deposit the evaded tax amount into the temporary holding account at the State Treasury.

The recovered evaded tax amount is the additional tax amount found beyond the tax declaration, outside the quarterly and annual business results report, and outside the monthly tax records of the tax authority. It does not include tax revenue from trading activities during circulation (except when recovering taxes along with penalties for evading turnover tax and profit tax during circulation for traders who have not paid turnover tax and profit tax before transporting goods).

V. REWARD - VIOLATION HANDLING

A reward may be extracted from the concealed tax amount discovered after the penalty decision or the appeal decision becomes effective.

The reward extraction rate is as follows:

- Two percent (2%) for cases of concealed tax discovered in state-owned economic sectors.

- Five percent (5%) for cases of detecting tax evasion in the non-state economic sector.

The agencies authorized to open accounts at the State Treasury to monitor the establishment and use of the anti-fraud tax evasion fund include: Market Management, Public Security, Customs, Tax, Border Guard, Forest Protection, and Specialized State Inspection.

Agencies establishing the fund must comply with the following principles: The fund can only be established after a decision has been made by the competent state authority and there are no appeals within the time stipulated by law. In case of appeal, the fund can only be established after the appeal has been resolved.

The reward fund will be distributed as follows:

- Allocate 25% to establish the unit's reward fund.

- Allocate 65% to establish the supplementary operating fund for anti-tax evasion activities of the unit. If multiple agencies cooperate in inspections, the leading agency retains the funds to establish the fund.

- Allocate 10% to the superior agency directly responsible for the unit handling the matter to establish a fund to reward cooperative units. If there is no direct superior agency, the funds remain with the unit to supplement operating expenses.

Based on the amount deposited into the temporary holding account according to the notification from the State Treasury and related records, the Tax Authority, Customs Department, and Department of Finance and Prices, as the holders of the temporary holding account, will settle any expenses (if any). They will issue a decision to allocate the fund to the unit according to the prescribed ratio. The allocation of the fund is based on the processed cases.

- Prepare documentation to send to the State Treasury where the temporary holding account is opened to transfer the allocated amount from the temporary holding account to the unit's fund account. Simultaneously, complete the procedures to deposit the remaining full amount into Item 30 (for tax inspections), Item 33 (for customs inspections), and Item 47 (for other inspections) according to the chapter, type, item, and category of the State Budget ledger.

If the inspected entity must simultaneously pay evaded taxes and fines, the inspecting unit must clearly record each type of payment in the inspection report and decision to avoid confusion when allocating the fund.

If the inspecting unit intentionally violates regulations by converting fine payments into evaded tax payments to obtain rewards, they will be required to return the improperly allocated funds and face disciplinary action, administrative penalties, or criminal prosecution.

If multiple agencies cooperate in inspections, the agency organizing the inspection retains the right to allocate the fund and is responsible for rewarding cooperating units.

Using the fund: the head of the agency establishing the fund is responsible for awarding rewards to individuals directly and indirectly involved in combating fraudulent tax evasion. The maximum individual reward per case is 300,000 VND and 900,000 VND per month per person.

If an inspection extends over several months, the number of months eligible for reward allocation is determined by the number of months recorded in the inspection report. Splitting a large case into smaller ones to qualify for more rewards is strictly prohibited. Reward allocation must be completed for each case without carrying over between cases to maximize rewards.

External staff participating in joint inspections are entitled to rewards similar to internal staff.

For indirect staff (those engaged in directing, compiling, and supporting work), if proposed for reward by the inspecting units, they may receive up to 150,000 VND per case and 500,000 VND per month per person. The remaining funds after allocation are retained in the reward fund for use in rewarding staff with outstanding performance in inspection tasks throughout the year.

* The Supplementary Operating Fund for Anti-Evasion Activities is used for the following purposes:

- Supplementing procurement costs for working equipment.

- Costs for summarizing and promoting competition.

- Supplement funds for propaganda activities.

- Allocate rewards to cooperating units and indirect participants in combating tax evasion.

- Supplementing difficult areas financially to enhance anti-evasion efforts.

* The industry fund is used for the following purpose:

- Supplement publicity efforts.

- Supplement the purchase of work equipment.

- Supplement rewards for competition, annual reviews of industry operations, and awards for other industries participating in tax evasion prevention.

The heads of all levels of tax agencies shall establish a reward fund responsible for awarding individuals directly or indirectly involved in combating business tax evasion.

Administrative violations in the tax field shall be handled in accordance with Article 91 and Article 92 of the Administrative Violation Handling Ordinance dated July 6, 1995; Clause 14 of Decree No. 22/CP dated April 17, 1996. In cases where an incorrect fine has been imposed and the fine has been deposited into a temporary account at the Treasury, the person issuing the administrative penalty decision must issue a decision to revoke that incorrect decision, and simultaneously request the State Treasury to refund the incorrectly paid amount.

VI. IMPLEMENTATION ORGANIZATION:

1. Based on the guidance provided in this Circular, the Ministers of the Ministries, the heads of agencies equivalent to Ministries, and the heads of government agencies, the Chairmen of People's Committees at all levels shall be responsible for organizing, directing, and inspecting the implementation of Decree No. 22/CP dated April 17, 1996.

Organize the dissemination and wide promotion of the basic contents of the above documents to leaders at all levels, tax management officers, tax collectors, relevant industries, production and business establishments, and extensively among the people to strictly implement Decree No. 22/CP dated April 17, 1996 and this Circular.

2. Pursuant to Article 15 of the Law on Export Tax and Import Tax dated December 26, 1991, and Article 18 of Decree No. 97/CP dated December 27, 1995 of the Government detailing the implementation of the Special Consumption Tax Law and amendments and supplements to certain provisions of the Special Consumption Tax Law; the General Customs Department shall be responsible for collecting export tax, import tax, and special consumption tax. The Customs Authority is the competent authority to impose administrative penalties for violations related to export tax, import tax, and special consumption tax.

3. This Circular takes effect from the date of issuance. Circular No. 11 TC/TCT dated February 24, 1993, and previous regulations of the Ministry of Finance that conflict with this Circular are hereby abolished.

During the implementation process, if difficulties or obstacles arise, they should be reported promptly to the Ministry of Finance (General Department of Taxation) for research, guidance, and resolution.

MINISTRY OF FINANCE

Vu Mong Giao

(Signed)

Tax Office Month Day Year 19

No.: /GB

NOTICE

(The nth time:...)

Respectfully submitted to:

Fax:

On the basis of point b, Clause 3, Article 2 of Decree No. 22/CP dated April 17, 1996 regarding administrative penalties for tax violations and item 1.4 Part II of Circular No. 45/TC/TCT dated August 1, 1996 guiding the implementation of Decree No. 22/CP dated April 17, 1996;

Tax Bureau:... (Tax Branch ...)

Request Mr./Ms.... to immediately submit the tax declaration form (accounting report...) to the tax authority.

If Mr./Ms. does not comply with the above request, Mr./Ms. will be subject to administrative penalties according to the law.

(Tax Branch)

(Director of Tax Branch)

No.: /QD Date Month Year 19

DECISION TO IMPOSE ADMINISTRATIVE PENALTY

Director of Tax Bureau:

Director of Tax Branch:

- Based on Decree No. 281/HĐBT dated August 7, 1990 of the Council of Ministers on the establishment of the national tax collection system under the Ministry of Finance.

- Based on Decree No. 22/CP dated April 17, 1996 of the Government regarding the handling of administrative violations in the field of taxation.

Based on Circular No. 38 TC/TCT dated August 25, 1990 of the Ministry of Finance on the functions, tasks, and organizational structure of the national tax collection system under the Ministry of Finance.

Considering the nature and degree of violation of ...as recorded in the Administrative Violation Record No.... dated...

DECISION:

Article 1: Imposing a fine according to point clause Article

Imposing a fine according to point clause Article

Total amount: VND (in words...)

For Mr./Ms.:

Fax:

Article 2: Mr./Ms. representing

is responsible for paying the fines listed in Article 1 into the State Budget at...within five days from the date of receipt of this Decision. Mr./Ms. is responsible for implementing this Decision. If not voluntarily carried out, the tax authority will apply coercive measures according to current laws.

Article 3: This Decision takes effect from the date of signature.

Name, position of the decision maker
* Individuals need confirmation from local authorities

No.: /BB Date Month Year 19

ADMINISTRATIVE VIOLATION RECORD

Today, at... hours on...day...month...year...

in

We include:

1. Position:

Decree

2.

Decree

3.

Decree

Conducting the preparation of the Administrative Violation Record for the incident occurring on...day...month...year...

Location of the violation:

Witnessed by Mr./Ms.

Fax:

ID card number issued on...Issued by...

Name of the violator (or representative of the violating organization):

Fax:

Content of the violation:

Statement of the violator:

This record is made in two copies, one copy given to the party involved.

During the inspection, the inspection team did not damage or lose any property of the establishment.

The record was read aloud for everyone to hear and agreed upon by signatures.

Violator Witness Recorder

(or representative (if any) (full name)
of the violating organization)