Navigating the complexities of tax laws and regulations in different jurisdictions can be challenging as they are subject to continual changes. It is crucial for business owners, both foreign and domestic, to stay informed about regional tax requirements not only to ensure compliance but also to design fiscally optimized structures that maximize profits. Recognizing that the legal language of tax legislation is not universal, Corporate Counsels has a team of tax compliance lawyers dedicated to bridging the gap between legal complexities and helping clients develop sensible tax strategies. Our aim is to provide clarity and guidance, enabling clients to make informed decisions and achieve their tax planning goals.
What Are Tax Compliance Laws Like In Vietnam?
Governed by the National Assembly of the Socialist Republic of Vietnam, tax laws in Vietnam are based on laws and regulations issued through the Ministry of Finance (MOF) and the General Department of Taxation (GDT).
However, Vietnam consists of 64 self-directing regional provinces where local authorities are responsible for the administration of registered taxpayers within their provinces. There are also a variety of laws imposed on assets, capital gains, profits, or earnings of corporations. This culminates in a general decentralization of tax administration practices with different interpretations of law and regulation that can be difficult to follow.
To comply with these tax laws, taxpayers have to register, file, and pay taxes in accordance with different regulations that undergo changes as the sophistication of tax authorities increases over time. Significantly, for businesses with multiple branches, business owners will be subjected to different tax laws based on the tax regulations of various registered locations.
What Happens If You Do Not Comply With Corporate Tax Laws?
In Vietnam, tax audits are a common occurrence, and they may cover a range of various taxes or a number of years of records. Generally, tax periods remain open until audited by authorities from the corporations’ registered provincial location. However, in the event that tax audits prove non-compliance with corporate tax laws, businesses may face penalties that can add up to a hefty sum.
For the identification of underpaid taxes, a penalty of 20% of the primary tax not paid may be applied in addition to the late payment interest of 0.03% per day. In cases of tax fraud or evasion, a penalty of up to 300% can be imposed on corporations. Autonomous disclosure of incomplete tax payments, on the other hand, will only incur late payment penalties. Administrative fines and penalties can also be imposed depending on the circumstances of the tax disputes.
What Types of Corporate Tax Law Compliance Advisory Services Do We Provide?
To help you stay on top of your businesses’ tax filing and compliance procedures in Vietnam, our team of committed lawyers can provide you with corporate tax services that can be customized according to your unique needs and requirements.
Tax Law Advisory
Designed to enable maximizing tax saving opportunities and minimize unnecessary tax liabilities, our tax compliance lawyers will advise on tax implications of transactions and help you reduce time spent on managing tax compliance and risks. Combining tax law expertise with our in-depth knowledge of industry practices in Vietnam, our law firm has worked with clients to recommend the most tax-efficient models that are aligned with your business’s commercial objectives and purpose.
Corporate Tax Compliance and Filing Services According to Vietnam Laws
With extensive experience in meeting strict local and federal compliance requirements within strict mandated deadlines, we are able to provide support in the preparation of documents for tax audits by state authorities in different registered provinces. We also offer tax administrative services in monitoring tax filing deadlines, payments due, and applications for income tax returns or withholding tax services.
Tax Incentives Services
The Vietnamese government is actively promoting business and investment in less developed areas of the country, as well as fostering a more diverse workforce. As part of this initiative, tax reductions are available to corporations that meet specific requirements. This serves as an incentive for businesses to contribute to the development of economically disadvantaged regions and support the government’s goal of creating a more inclusive and diverse business environment. Our skilled lawyers will be able to identify these opportunities and assist your business in obtaining the opportunity to be considered for further tax exemptions.
Tax Petition Services
In cases of tax disputes where businesses require legal advice and support to overcome unfavorable treatment from state authorities, Corporate Counselstax compliance lawyers can draft and submit official petition letters or represent your business in interactions with relevant authorities.
Why Engage Tax Compliance Lawyers From Corporate Counsel?
Our international tax lawyers at Corporate Counselspossess extensive knowledge of regional Vietnam tax laws and fiscal regulations. We specialize in providing business tax services and advising multinational firms on the tax implications of their existing business structures and operations within the framework of Vietnamese law. With our expertise, we ensure that our clients remain in compliance with tax regulations while optimizing their tax positions and maximizing their operational efficiency in Vietnam. At Corporate Counsel, our business tax attorneys guide our clients in finding and developing advantageous tax strategies that align with the tax code. We understand the importance of clear communication and patient guidance. Our attorneys are highly skilled in effectively conveying complex tax concepts using plain and understandable language. By ensuring that our clients have a strong grasp of the crucial details, we empower them to make informed decisions and confidently navigate the intricacies of business taxation.
At Corporate Counsel, we undertake thorough research of your specific needs in relation to Vietnam’s tax regulations. Based on this research, we develop a customized and suitable financial plan to help you achieve your objectives while ensuring legal compliance. Whether you are an organization seeking to restructure your finances, a company in need of a small business tax attorney, or an individual seeking solutions for inheritance taxes, our capable team of tax compliance lawyers is equipped to assist you. We are committed to providing tailored solutions that address your unique tax requirements and help you navigate the complexities of tax compliance in Vietnam.
We also provide legal counsel in cases involving corporate governance and cyber security compliance in Vietnam. Contact us to find out more about Corporate Counselsand our range of services in different industries for international and domestic clients in Vietnam.