Headlines 05/07/2021 14:40 CH

No income payment means no PIT declaration to be required

Ngọc Duy

This is the highlight of the Official Dispatch No. 2393/TCT-DNNCN dated July 1, 2021, regarding personal income tax (PIT) declaration, issued by the General Department of Taxation.

According to this document, instructions about PIT declaration of organizations and individuals that do not pay income are as follows:

- Clause 6, Article 1 of the 2012 amended Law on Personal Income Tax and Clause 1, Article 9 in the Decree No. 126/2020/ND-CP dated October 19, 2020 states that:

+ PIT declaration is required only when organizations and individuals pay income subject to PIT.

+ Organizations and individuals that do not pay income subject to PIT shall not be subjected to the Law on PIT.

This means that any organization and individual that do not pay income subject to PIT in any month/quarter will not be subject to the PIT declaration requirement applied in that month/quarter.

In addition, this document provides instructions according to which State administrative agencies, non-business administrative agencies, Party bodies, etc. that pay income in the form of salaries or wages but do not have sales from products or services will be subject to the quarter-based PIT declaration requirement.  

The Official Dispatch No. 2393/TCT-DNNCN is issued on July 1, 2021.

>> CLICK HERE TO READ THE ARTICLE IN VIETNAMESE

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