Nghị định 129/2013/ND-CP

DECREE

ON PENALTIES FOR ADMINISTRATIVE VIOLATIONS PERTAINING TO TAXATION AND ENFORCEMENT OF ADMINISTRATIVE DECISIONS ON TAXATION

Pursuant to the Law on Government organization dated December 25, 2001;

Pursuant to the Law on Handling administrative violations dated June 20, 2012;

Pursuant to the Law on Tax administration dated November 29, 2006;

Pursuant to the Law on the amendments to the Law on Tax administration dated November 20, 2012;

At the request of the Minister of Finance;

The Government promulgates a Decree on penalties for violations pertaining to taxation and enforcement of administrative decisions on taxation,

Chapter 1.

ADMINISTRATIVE PENALTIES FOR VIOLATIONS PERTAINING TO TAXATION

SECTION 1. GENERAL PROVISIONS

Article 1. Scope of regulation and objects of administrative penalties for violations pertaining to taxation

1. Scope of regulation:

This Chapter deals with the violations pertaining to taxation, penalties, remedial measures, the power to impose penalties and implement decisions on administrative penalties for violations pertaining to taxation.

Administrative violations pertaining to taxation include violations against the Law on Tax administration, the Law on the amendments to the Law on Tax administration (hereinafter referred to as the Law on Tax administration); taxes, land rents, water surface rents, land levy; revenues from mineral extractions and other government revenues collected by tax authorities as prescribed by law.

This Decree does not apply to administrative violations pertaining to fees, charges, invoices, and administrative violations pertaining to taxation on exported and imported goods.

If International Agreements to which Vietnam is a signatory prescribes penalties for administrative violations pertaining to taxation differently from this Decree, such International Agreements shall apply.

2. Objects of penalties for administrative violations pertaining to taxation

a) The taxpayers that commit administrative violations pertaining to taxation;

b) The credit institutions defined by the Law on credit institutions (hereinafter referred to as credit institutions) that commit administrative violations pertaining to taxation;

c) Relevant organizations and individuals;

Article 2. Statute of limitation, time limit for imposition of penalties for administrative violations pertaining to taxation

1. For violations against tax procedures the time limit for issuing the decision on penalties is 02 years from the day on which the violation is committed. The day on which the violation is committed is the day succeeding the deadline for tax procedure according to the Law on Tax administration. For electronic tax procedure, the day on which the violation is committed is the day succeeding the deadline for procedure prescribed by a competent authority.

2. For tax evasion that are not liable to criminal prosecutions, understatement of tax payable or overstatement of tax refund, the time limit for issuing the decision on penalties is 05 years from the day on which the violation is committed.

The day on which the aforesaid violation is committed is the day succeeding the deadline for submitting the tax statement on which tax is overstated, evaded, falsified, or the day succeeding the date of the decision on tax refund, tax exemption or tax reduction.

3. Where an individual is charged or prosecuted, or a decision to bring the individual to criminal proceedings is issued, then a decision to suspend the investigation or the case is issued, but signs of administrative violations pertaining to taxation are found, the agency that issues the decision to suspend the investigation or suspend the case shall send the decision together with the case documents to the agency competent to impose penalties for administrative violations pertaining to taxation within 03 days from the day on which the decision on suspension is issued. In this case, the statute of limitations shall comply with Clause 1 and Clause 2 of this Article. The period during which the case is examined is included to the time limit for imposing penalties for administrative violations.

4. Time limit for collecting tax arrears

After the deadline for imposing penalties for administrative violations pertaining to taxation, the taxpayer is exempt from penalties but still have to pay the outstanding tax and late payment interest over the previous 10 years from the day on which the violation is discovered. If the taxpayer does not apply for tax registration, he shall pay the outstanding tax and late payment interest over the entire period before the violation is discovered.

Article 3. Penalties for administrative violations pertaining to taxation

1. Warnings.

A warning shall be given if the violation is not severe, under mitigating circumstances, and must receive a warning as prescribed.

2. Fines

a) For violations against tax procedures:

A fine of up to 200 million VND shall be incurred by an organization that violates tax procedure. The maximum fine incurred by an individual that violates tax procedure is 1/2 the fine incurred by an organization according to the Law on Handling administrative violations.

The fines mentioned in Articles 5, 6, 7, 8 and 9 of this Decree are applied to organizations. The fines incurred by individuals are 1/2 of those. Households shall incur the same level of fines as individuals.

When imposing a fine for a violation against tax procedure, it is the average level of the fine bracket for such violation. For every aggravating circumstance or mitigating circumstance, the average level shall be respectively increased or decreased by 20%.

A mitigating circumstance shall cancel out an aggravating circumstance and vice versa. The fine must not be reduced below the minimum level of the fine bracket, and must not be increased over the maximum level of the fine bracket.

b) For understatement of tax payable or overstatement of tax refund: a fine of 20% of the outstanding tax or tax refund shall be imposed, regardless the taxpayer is an organization or an individual.

c) For tax evasion: a fine of 1 - 3 times of the evaded tax. The fines mentioned in Article 11 of this Decree are applied to organizations. The fines incurred by individuals are 1/2 of those.

d) A fine in proportion to the amount that is not withdrawn and transferred to government budget shall be imposed for the violations mentioned in Article 12 of this Decree.

Article 4. Cases in which penalties for administrative violations pertaining to taxation are exempt

1. The cases mentioned in Article 11 of the Law on Handling administrative violations

2. The taxpayer has corrected the misstatement and paid tax sufficiently before the tax authority issues a decision on tax inspection at the taxpayer’s premises.

SECTION 2. ADMINISTRATIVE VIOLATIONS PERTAINING TO TAXATION, PENALTIES, AND REMEDIAL MEASURES

Article 5. Penalties for late submission of the application for tax registration, late notification of changes in the application for tax registration

1. A warning shall be imposed for submitting the application for tax registration or notifying changes in the application for tax registration to the tax authority 01 - 10 days behind schedules with mitigating circumstances.

2. A fine of from 400,000 VND to 1,000,000 VND shall be imposed for submitting the application for tax registration or notifying changes in the application for tax registration to the tax authority 01 - 30 days behind schedule (except for the case mentioned in Clause 1 of this Article).

3. A fine of from 800,000 VND to 2,000,000 VND shall be imposed for one of the violations below:

a) Submitting the application for tax registration or notifying changes in the application for tax registration more than 30 days behind schedule.

b) Failing to notify changes in the application for tax registration.

c) Failing to submit the application for tax registration without incurring tax.

Article 6. Penalties for providing insufficient information in the tax statement

If the incorrect or insufficient provision of information in the tax statement mentioned in Article 31 of the Law on Tax administration (unless the taxpayer is permitted to make a supplementary statement) is discovered after the deadline for submitting the tax statement:

1. A fine of from 400,000 VND to 1,000,000 VND shall be imposed for making a tax statement with insufficient or incorrect information on the list of sale invoices of purchased and sold goods/services, or on other documents related to tax obligations.

2. A fine of from 600,000 VND to 1,500,000 VND shall be imposed for making a tax statement with insufficient or incorrect information on invoices and other documents related to tax obligations.

3. A fine of from 600,000 VND to 2,500,000 VND shall be imposed for making a tax statement with insufficient or incorrect information on the provisional tax statement or final tax statement.

4. A fine of from 1,200,000 VND to 3,000,000 VND shall be imposed for one of the violations below:

a) The violations mentioned in Clause 5 Article 10 and Clause 7 Article 11 of this Decree.

b) Making understatement of tax payable in the quarterly tax statement before the deadline for submitting the final tax statement.

Article 7. Penalties for late submission of the tax statement

1. A warning shall be given for late submission of the tax statement 01 - 05 days behind schedule under mitigating circumstances.

2. A fine of from 400,000 VND to 1,000,000 VND shall be imposed for late submission of the application for tax registration 01 - 10 days behind schedule (except for the case mentioned in Clause 1 of this Article).

3. A fine of from 800,000 VND to 2,000,000 VND shall be imposed for late submission of the application for tax registration 10 - 20 days behind schedule.

4. A fine of from 1,200,000 VND to 3,000,000 VND shall be imposed for late submission of the application for tax registration 20 - 30 days behind schedule.

5. A fine of from 1,600,000 VND to 4,000,000 VND shall be imposed for late submission of the application for tax registration 30 - 40 days behind schedule.

6. A fine of from 2,000,000 VND to 5,000,000 VND shall be imposed for one of the violations below:

a) Submitting the tax statement 40 - 60 days behind schedule.

b) Submitting the tax statement 90 days behind schedule without incurring tax.

c) Failing to submit the application for tax registration without incurring tax.

d) Submitting the quarterly provisional tax statement 90 days behind schedule before the deadline for submitting the final tax statement.

7. The deadline for submitting the tax statement mentioned in this Article is the extended deadline mentioned in Article 33 of the Law on Tax administration.

8. The fines mentioned in this Article shall not apply to the cases in which the deadline for submitting the tax statement or paying tax is extended as prescribed by legislation on tax administration.

9. Apart from incurring the penalties mentioned in Clauses 1, 2, 3, 4, 5, 6 of this Article, the taxpayer shall pay a late payment interest if the late submission of the tax statement leads to late payment of tax as prescribed by law.

Article 8. Penalties for violations against regulations on providing information related to the determination of tax obligations

The violations of the regulations on providing information related to the determination of tax obligations but do not lead to insufficient tax payment or tax evasion shall incur the penalties below:

1. A fine of from 400,000 VND to 1,000,000 VND shall be imposed for one of the violations below:

a) Providing information, documents, and legal documents related to tax registration at the request of the tax authority 05 working days or more behind schedule.

b) Providing information, documents, and accounting books related to tax calculation at the request of tax authority 05 working days or more behind schedule.

c) Providing incorrect information, documents, and accounting books related to tax calculation at the request of the tax authority.

2. A fine of from 800,000 VND to 2,000,000 VND shall be imposed for one of the violations below:

a) Providing incorrect, insufficient information, documents, receipts, invoices, and accounting books related to tax calculation, the account numbers, deposit account balance to competent authorities on request.

b) Providing insufficient, incorrect data, information about the tax obligation that must be registered without reducing the tax obligation to government budget.

a) Not providing, providing incorrect, insufficient information and documents related to the deposit accounts at credit institutions, State Treasuries, and debts owed by third parties within 03 working days from the day on which the request of the tax authority is received.

Article 9. Penalties for violations against regulations on implementation of decisions on tax inspections, enforcement of administrative decisions on taxation.

1. A fine of from 800,000 VND to 2,000,000 VND shall be imposed for one of the violations below:

a) Refusing to receive the decision on inspection or enforcement of administrative decisions on taxation.

b) Failing to implement the decision on tax inspection within 03 working days from the deadline for implementation.

c) Denying, delaying, avoiding providing documents, invoices, receipts, accounting books related to tax obligation within 06 working hours since the receipt of the request from of the competent authority during the inspection at the taxpayer’s premises.

d) Denying, delaying, avoiding providing documents, invoices, receipts, accounting books related to tax obligation within 06 working hours since the receipt of the request of the competent authority during the inspection at the taxpayer’s premises.

2. A fine of from 2,000,000 VND to 5,000,000 VND shall be imposed for one of the violations below:

a) Failing to provide information, documents and accounting books related to tax calculation at the request of the competent authority during the inspection at the taxpayer’s premises.

b) Failing to implement or wrongly implementing the decision on sealing documents, safes, warehouses, materials, machinery, equipment, workshops being the basis for verifying tax calculation.

c) Breaking or changing the seal of the competent authority without permission.

d) Failing to sign the inspection record within 05 working days from the receipt of the inspection record.

dd) Failing to implement the conclusion on tax inspection, decision on enforcement of administrative decisions on taxation made by competent authorities.

Article 10. Penalties for understatement of tax payable or overstatement of refundable tax

1. The cases of understatement of tax payable and overstatement of refundable tax include:

a) The taxpayer understates the amount of tax payable or overstates the amount of tax refunded, exempted, or reduced, but the operations that incur tax are sufficiently recorded in accounting books, invoices and receipts.

b) The taxpayer mentioned in Point a Clause 1 of this Article has paid the outstanding tax to government budget when the understatement or overstatement is discovered by a competent authority before a record on administrative violations pertaining to taxation is made by the competent authority or record on tax inspection is made by the tax authority.

c) The false statement of the taxpayer has been confirmed and considered tax invasion by the tax inspector, but it is the offence of the taxpayer under mitigating circumstances, and the taxpayer has voluntarily pay tax to government budget before a decision on penalties is issued by the competent authority. In this case the tax authority shall make a record on insufficient tax statement.

d) Illegal invoices and receipts are used for recording values of purchased goods and services in order to reduce the amount of tax payable or increase the amount of tax refunded, exempted, or reduced, but the buyer proves that the sellers are responsible for the use of illegal invoices, and bookkeeping has been sufficiently done by the buyer.

2. The fines for the violations mentioned in Clause 1 of this Article is 20% of the outstanding tax, the excess refund, reduction, or exemption of tax as prescribed by legislation on taxation.

3. The tax authority shall calculate outstanding tax, the number of days of late payment, the late payment interest, fines, and issue a decision on penalties for administrative violations.

4. In the cases mentioned in Clause 1 of this Article, the outstanding tax and late payment interest shall be paid to government budget apart from the penalties mentioned in Clause 2 of this Article.

5. If the false statement made by the taxpayer does not lead to an increase in the amount of tax payable or a decrease in the amount of tax exempted or reduced, or tax refund has not been given, no penalty shall be imposed as prescribed in this Article, and Clause 4 Article 6 of this Decree shall apply.

Article 11. Penalties for tax evasion

The taxpayer that evades tax according to Article 108 of the Law on Tax administration, the fine shall be imposed on the amount of tax evaded as follows:

1. A fine equal to the amount of tax evaded shall be imposed if tax evasion is the first offence of the taxpayer and does not fall into the cases mentioned in Article 10 of this Decree, or it is the second offence with at least 02 mitigating circumstances when the taxpayer commits one of the violations below:

a) Failing to submit the application for tax registration, failing to submit the tax statement or submit the tax statement after 90 days from the deadline for submitting the tax statement mentioned in Clauses 1, 2, 3, and 5 Article 32 of the Law on Tax administration, or from the extended deadline for submitting the tax statement mentioned in Article 33 of the Law on Tax administration, except for the cases mentioned in Clause 6 Article 7 of this Decree.

b) Using illegal or invalid invoices and documents for making the tax statement that leads to a decrease in the amount of tax payable or an increase in the amount of tax refunded, exempted, or reduced.

c) Making false documents about the destruction of goods that leads to a decrease in the amount of tax payable or an increase in the amount of tax refunded, exempted, or reduced.

d) Issuing sale invoices that contain incorrect quantities or values to understate tax.

dd) Failing to record the revenues related to tax calculation in accounting books; failing to make statements or making incorrect statements that lead to a decrease in the amount of tax payable or an increase in the amount of tax refunded, exempted, or reduced.

e) Failing to issuing invoices when selling goods or services, or writing lower values of goods than the actual values on invoices that are discovered after the deadline for submitting the tax statement.

g) Using tax-free goods, goods eligible for tax exemption for improper purposes without reporting the change of their purposes and submit tax statement to the tax authority.

h) Falsifying the accounting books and documents that leads to a decrease in the amount of tax payable or an increase in the amount of tax exempted or reduced.

i) Destroying the accounting books and documents that leads to a decrease in the amount of tax payable or an increase in the amount of tax exempted or reduced.

k) Using illegal invoices and documents in other cases to miscalculate the amount of tax payable or refunded.

l) The taxpayer carries on his business during the suspension period.

2. A fine of equal to 1.5 times the tax evaded shall be imposed if the taxpayer commits one of the violations in Clause 1 of this Article for the first time under an aggravating circumstance, or commits it for the second time under a mitigating circumstance.

3. A fine of equal to 2 times the tax evaded shall be imposed if the taxpayer commits one of the violations in Clause 1 of this Article for the first time under aggravating circumstances, or commits it for the second time under a mitigating circumstance.

4. A fine of equal to 2.5 times the tax evaded shall be imposed if the taxpayer commits one of the violations in Clause 1 of this Article for the second time under an aggravating circumstance, or commits it for the third time without any mitigating circumstance.

5. A fine of equal to 3 times the tax evaded shall be imposed if the taxpayer commits one of the violations in Clause 1 of this Article for the second time under two aggravating circumstances or more, or commits it for the third time under an aggravating circumstance, or commit it for the fourth time onwards.

6. Apart from the penalties for tax evasion mentioned in Clauses 1, 2, 3, 4, 5 of this Article, the evaded tax shall be paid to government budget. the late payment interest on the evaded tax is exempt.

The tax evaded is the amount of tax payable to government budget as prescribed by law, which is found and specified by the competent authority in the inspection record.

7. If the violations mentioned in Points b, c, d, dd, e, g, h, i, k Clause 1 of this Article are discovered before the deadline for submitting the tax statement, or discovered after such deadline but the amount of tax payable is not reduced, or tax refund is not given, or the amount of tax refunded or reduced is not increased, only the violations pertaining to tax procedure mentioned in Clause 4 Article 6 of this Decree shall be penalized.

Article 12. Penalties for administrative violations committed by credit institutions

The credit institution that fails to transfer tax, fines, interest on late payment of tax, interest on late payment of fines from the taxpayer’s account to the state account under the decision on enforcement made by the tax authority shall incur penalties if at that time, the account balance of the taxpayer is ample to pay such amounts. Within 10 days from the deadline for making the transfer as prescribed in Clause 2 Article 28 of this Decree, the tax authority shall make a record and issue a decision to penalize the credit institution. The fine is proportional to the amount of money that is not transferred to government budget under the decision on enforcement.

The credit institution is exempt from penalties in the case mentioned in Point a Clause 1 Article 114 of the Law on Tax administration. In this case, the tax authority still take measures for sufficiently collecting tax, interest of late payment of tax, fine, and interest on late payment of fine from the taxpayer.

Article 13. Penalties for administrative violations committed by relevant organizations and individuals

1. A fine of from 2,500,000 VND to 5,000,000 VND shall be incurred by any individual, or a fine of from 5,000,000 VND to 10,000,000 VND shall be incurred by any organization that collaborates, conceals the tax evasion of the taxpayer, fails to implement the decision on enforcement, (except for the failure to transfer money from the taxpayer’s account prescribed in Article 12 of this Decree). A criminal prosecution shall be initiated if signs of criminal offences are found.

2. Any organization or individual that fails to provide information or provides insufficient information about tax payable by the taxpayer, his account at credit institutions or State Treasuries shall incur the penalties mentioned in Clause 1 of this Article.

3. The party the guarantee the fulfillment of tax obligation shall pay tax, interest on late payment of tax, fines, and interest on late payment of fines on the taxpayer behalf’s in accordance with the guarantee agreements if the taxpayer fails to pay them to government budget.

The guarantor fails to pay the outstanding tax, interest on late payment of tax, fines, and interest on late payment of fines (if any) on the taxpayer’s behalf when the taxpayer fails pay them by the deadline imposed by the tax authority, the guarantor shall pay an interest on the deferred payment of tax at 0.07% per day, and an interest on the deferred payment of fine at 0.05% per day, and be subject to enforcement measures prescribed in Clause 3 Article 18 and Article 19 of this Decree,. The procedure for taking enforcement measures are similar to those applied to taxpayers.

SECTION 3. THE POWER TO IMPOSE PENALTIES, EXEMPT, REDUCE FINES FOR ADMINISTRATIVE VIOLATIONS PERTAINING TO TAXATION

Article 14. The power to impose penalties for administrative violations pertaining to taxation of tax authorities

1. Duty officials of tax authorities are entitled to:

a) Give warnings.

b) Impose fines of up to 1,000,000 for the violations pertaining to tax procedure prescribed in this Decree.

2. The leader of the tax team is entitled to:

a) Give warnings.

b) Impose fines of up to 5,000,000 for the violations pertaining to tax procedure prescribed in this Decree.

3. Directors of Sub-departments of taxation, within the locality under their management, are entitled to:

a) Give warnings.

b) Impose fines of up to 5,000,000 for the violations mentioned in Articles 5, 6, 7, 8, 9 and 13 of this Decree.

c) Impose fines for the violations mentioned in Articles 10, 11, and 12 of this Decree.

d) Take the remedial measures mentioned in Clause 4 Article 10 and Clause 6 Article 11 of this Decree.

4. Directors of Departments of taxation, within the locality under their management, are entitled to:

a) Give warnings.

b) Impose fines of up to 140,000,000 for the violations pertaining to tax procedure prescribed in Articles 5, 6, 7, 8, 9 and 13 of this Decree.

c) Impose fines for the violations mentioned in Articles 10, 11, and 12 of this Decree.

d) Take the remedial measures mentioned in Clause 4 Article 10 and Clause 6 Article 11 of this Decree.

5. The Director of the General Department of Taxation is entitled to:

a) Give warnings.

b) Impose fines of up to 200,000,000 for the violations pertaining to tax procedure prescribed in Articles 5, 6, 7, 8, 9 and 13 of this Decree.

c) Impose fines for the violations mentioned in Articles 10, 11, and 13 of this Decree.

d) Take the remedial measures mentioned in Clause 4 Article 10 and Clause 6 Article 11 of this Decree.

6. The power to impose penalties for violations pertaining to tax procedure of the persons mentioned in Clauses 1, 2, 3, 4, and 5 of this Article is applied to violations committed by organizations. The level of fine they may impose on individuals is 1/2 of that applied to organizations. The power to impose penalties for understatement of the amount of tax payable or overstatement of the amount of tax refunded, or tax evasion shall comply with Clause 2 Article 109 of the Law on Tax administration.

Article 15. The power to impose penalties for administrative violations pertaining to taxation of Presidents of the People’s Committees

Article 15. The power to impose penalties for administrative violations pertaining to taxation of Presidents of the People’s Committees shall comply with legislation on handling administrative violations.

Article 16. Exemption, reduction of fines for administrative violations pertaining to taxation; exemption and reduction procedure

1. The individual that carries a fine from 3,000,000 for administrative violations pertaining to taxation is entitled to request a reduction or exemption of the fine if they face special or unexpected economic difficulties due to natural disasters, conflagration, calamities, accidents, epidemics, or fatal diseases.

The maximum reduction is the remaining fine in the decision on penalties and shall not exceed the value of damaged assets, goods, and treatment cost.

2. An application for fine exemption or reduction consists of:

a) A written request for fine exemption or reduction, specifying:

- The reasons for requesting the exemption or reduction;

- The values of damaged assets and goods due to natural disasters, conflagration, calamities, accidents, epidemics, the cost of treatment for fatal diseases;

- The amount of fine incurred.

b) If the damage to assets or disease treatment cost is covered by an insurer, the application must be enclosed with a notarized photocopy of the certification of insurance payout for damage or treatment cost made by the insurer.

c) A certification made by the People’s Committee of the commune where the taxpayer resides or where damaged assets are situated. If the individual suffers from a fatal disease, it is required to have a certification of the medical facility and documents proving the treatment cost.

3. The procedure and power to decide fine exemption or reduction shall comply with Clause 2 Article 77 of the Law on Handling administrative violations.

4. No reduction of exemption shall be given if the decision on penalties for administrative violations pertaining to taxation has been implemented or the time limit for resolving complaints has passed as prescribed by law.

Chapter 2.

ENFORCEMENT OF ADMINISTRATIVE DECISIONS ON TAXATION

SECTION 1. GENERAL PROVISIONS

Article 17. Scope of regulation and subjects of application

1. Scope of regulation:

This Chapter deals with the cases of enforcement, measures for enforcement of administrative decisions on taxation, principles, power, procedure for taking measures for enforcement of administrative decisions on taxation (except for suspension of customs procedure for exported and imported goods).

The enforcement mentioned in this Article is applied to administrative decisions on taxation, including: decision on penalties for administrative violations pertaining to taxation, decision on remedial measures, decisions on damage compensation, and other administrative decisions on taxation as prescribed by law, notification on tax imposition, notification of outstanding tax, notification of interest on late payment of tax.

2. Subjects of application

a) The organizations and individuals subject to enforcement of administrative decisions on taxation as prescribed by the Law on Tax administration.

b) Tax authorities and tax officials.

c) The persons entitled and obliged to enforce administrative decisions on taxation.

d) State agencies, organizations and individuals related to the enforcement of administrative decisions on taxation.

Article 18. Cases of enforcement of administrative decisions on taxation.

1. The cases in which taxpayers are subject to enforcement of administrative decisions on taxation:

a) The taxpayer owes tax and interest on late payment of tax over 90 days from the deadline for paying tax or the extended deadline for paying tax.

b) The taxpayer that owes tax, interest on late payment of tax and fines is suspected of concealing goods or making a getaway.

c) The taxpayer fails to comply with the decision on penalties within 10 days from the day on which the decision is received. If the taxpayer fails to implement the decision on penalties within the time limit that is longer than 10 days, the decision shall be enforced (unless the decision on penalties is delayed or suspended).

2. The credit institution fails to comply with the decision on administrative penalties for violations pertaining to taxation according to the Law on Tax administration and the Law on Handling administrative violations.

3. If the payment of tax, interest on late payment of tax, fines, and interest on late payment of fines is guaranteed and the taxpayer fails to make such payment to government budget by the deadline, the guarantor shall make such payment on the taxpayer’s behalf. If those amounts are not sufficiently paid after 90 days from the deadline, the guarantor shall be subject to enforcement in accordance with the Law on Tax administration and the Law on Handling administrative violations.

4. State Treasury fails to transfer money from the account of the entity subject to enforcement (hereinafter referred to as subject) to government budget under the decision on administrative penalties for violations pertaining to taxation issued by the tax authority.

5. Relevant organizations and individuals fail to comply with decision on administrative penalties for violations pertaining to taxation issued by competent authorities.

6. Where the tax authority issues a decision to allow the taxpayer to pay outstanding tax and fines in installments according to the Decrees elaborating the implementation of the Law on Tax administration, the Law on the amendments to the Law on Tax administration, and Article 79 of the Law on Handling administrative violations, enforcement measures shall not be taken during the payment term.

Article 19. Enforcement measures

The measures for enforcing administrative decisions on taxation include:

1. Withdraw money from the subject’s accounts at State Treasuries and credit institutions; request account blockade.

2. Deduct part of the salary or income.

3. Invalidate invoices.

4. Distrain assets, sell distrained assets at auctions to recover outstanding tax, interest on late payment of tax, fines, interest on late payment of fines.

5. Collect money or other assets of the subject that are held by other organizations or individuals.

6. Revoke the Certificate of Business registration, Certificate of Enterprise registration, license for establishment and operation, or practice certificate.

7. The application for the enforcement measures mentioned in Clauses 1, 2, 3, 4, 5 and 6 is specified in Sections 2, 3, 4, 5, 6, and 7 of this expenses. If a decision on taking the next measure has been issued but the conditions for taking the previous measure are available, the issuer of the decision on enforcement is entitled to take the previous measure to sufficiently collect tax and fines.

If the taxpayer that owes outstanding tax, interest on late payment of tax, fines, or interest on late payment of fines is suspected of making a getaway or concealing his assets, the person competent to issue the enforcement decision shall take appropriate enforcement measures to ensure the repayment of tax debt.

The Ministry of Finance shall specify the order and time limit for each enforcement measure, the procedure for identifying taxpayers suspected of making a getaway or concealing their assets.

Article 20. Sources of money and distrained assets of the organizations enforced to implement administrative decisions on taxation

The sources of money and distrained assets of the organizations enforced to implement administrative decisions on taxation shall comply with legislation on penalties for administrative violations and relevant laws.

Article 21. The power to decide enforcement of administrative decisions on taxation

The persons below have the power to issue decisions on enforcement of administrative decisions on taxation mentioned in Article 19 of this Decree, and are responsible for organizing the enforcement:

1. Directors of Sub-departments of taxations, Directors of Departments of Taxation, the Director of the General Department of Taxation have the power to decide enforcement of administrative decisions on taxation and take the enforcement measures mentioned in Clauses 1, 2, 3, 4, 5, Article 19 of this Decree.

2. Presidents of the People’s Committees of districts and provinces have the power to decide the enforcement of decision on penalties for administrative violations pertaining to taxation under their management.

3. If the enforcement measures in Clause 6 Article 19 of this Decree are taken, the tax authority shall request the agency that issued the Business certificates, Certificate of Business registration, license for establishment, or practice certificate to revoke such certificate or license.

Article 22. The power to decide enforcement of administrative decisions on taxation

1. The persons mentioned in Article 21 of this Decree have the power to issue decision on enforcement of administrative decisions on taxation they issue or their inferiors issue without adequate resources to carry out and request the superior agency in writing to issue the decision on enforcement..

2. The Directors of Departments of Taxation shall issue decisions on if the Director of the Sub-department of taxation but the subject is under the management of multiple sub-departments of taxation in the same province.

3. The Director of the General Department of Taxation shall issue decisions on enforcement if the subject is under the management of multiple Departments of Taxation.

Article 23. Responsibility to implement decisions on enforcement

1. The person that issues the decision on enforcement of administrative decisions on taxation is responsible for organizing the implementation of the decision on enforcement.

The person that issues the decision on enforcement of administrative decisions on taxation shall immediately send the decision on enforcement to relevant organizations and individuals, and organize the enforcement of the decisions on penalties they and their inferiors issue.

2. The organization or individual that receives the decision on enforcement shall implement it and incur the cost of enforcement.

3. The People’s Committee of the commune where the subject is situated shall direct relevant agencies to cooperate with the tax authority in the enforcement of administrative decisions on taxation.

4. The police are responsible for the order, safety, and shall cooperate with the tax authority during the enforcement at the request of the person that issues the decision on enforcement.

5. The organizations and individuals related to the subject shall cooperate in the enforcement at the request of the person that issues the decision on enforcement.

Article 24. Time limits for implementing decisions on enforcement

1. A decision on enforcement of administrative decisions on taxation takes effect within 01 year from its issuance date. The decisions on enforcement of administrative decisions on taxation by transferring money from the subject’s account shall take effect within 30 days from its issuance date.

2. If the subject deliberately avoids or delays the implementation of the decision on enforcement, the time limit shall begin again when the avoidance or delay is stopped.

3. The measures for enforcement of administrative decisions on taxation mentioned in Clause 1 of this Article are terminated when the enforced tax, interest on late payment of tax, fines, interest on late payment of fines are paid to government budget. The basis for terminating the decision on tax enforcement is the documents proving the sufficient payment of tax, interest on late payment of tax, fines, interest on late payment of fines to government budget that are certified by State Treasuries, tax collectors, or the credit institutions that transfer money from the subject’s accounts.

SECTION 2. ENFORCEMENT BY WITHDRAWING MONEY FROM TAXPAYER’S ACCOUNTS; REQUEST FOR ACCOUNT BLOCKADE

Article 25. Entities having their accounts withdrawn

The organizations and individuals that fail to comply with the decisions on penalties, decisions on remedial measures, administrative decisions on taxation, or fails to pay for the enforcement cost shall have their accounts at credit institutions and State Treasury withdrawn.

Article 26. Verifying information about subject’s accounts

1. The taxpayer shall notify the tax authority of the account numbers and the credit institutions and State Treasuries where their accounts are opened.

2. The person entitled to issue the decision to withdraw money from the subject’s accounts at credit institutions and State Treasuries are entitled to request credit institutions and State Treasuries in writing to provide information about the subject’s account numbers and balance.

The person entitled to issue the decision on enforcement is responsible for the confidentiality of the information about the subject’s accounts, which is provided by credit institutions and State Treasuries.

Article 27. Decision on enforcement by withdrawing money from accounts

1. The decision on enforcement by withdrawing money from accounts must specify its issuance date, its basis, full name and workplace of the decision issuer, the amount of money being withdrawn (written on the decision on administrative penalties and the cost of enforcement until the end of the 5-day time limit before the enforcement); the reasons for withdrawal; full name, tax codes, account numbers of the subject, names and addresses of the credit institutions where the accounts are opened; state account numbers; names, addresses of State Treasuries where state accounts are opened, method of transfer; deadline for implementation; signature and seal of the issuer of the decision on enforcement.

2. If the subject’s accounts must be blocked, the decision on enforcement must specify whether part or the whole account is blocked, which is equal to the amount of money being withdrawn from the account to enforce the administrative decisions.

3. The decision on enforcement by withdrawing money from accounts shall be sent to the organization or individual whose money is withdrawn, the State Treasuries and credit institutions where the accounts are opened, and relevant agencies at least 05 days before the enforcement.

Article 28. Responsibilities of State Treasuries and credit institutions where the subject’s accounts are opened

1. Provide necessary information about the numbers and balance of the subject’s accounts opened at their unit within 03 working days from the receipt of the request from the issuer of the decision on enforcement.

2. Transfer money to the state account at a State Treasury written in the decision on enforcement within 05 days from the day on which the decision on enforcement is received, and notify the transfer to the agency that issued the decision on enforcement and the subject.

3. If the account balance is lower than the amount payable, it is still transferred to the state account written in the decision on enforcement. The subject shall be notified of the transfer. The transfer shall be made without the consent of the subject.

4. Part or the whole account of the subject shall be blocked upon the receipt of the decision on enforcement (if the blockade is required by the decision on enforcement).

5. Notify the agency that issued the decision on enforcement of the expiration of the decision on enforcement while the subject’s account balance is not sufficient.

6. If the money in the subject’s account is not transfer to government budget under the decision on enforcement, penalties for administrative violations pertaining to taxation shall be imposed as prescribed in Article 12 of this Decree.

Article 29. Procedure for collecting money by withdrawing money from accounts

Money in the subject’s accounts shall be withdrawn based on the receipts. Receipts shall be used for transferring money withdrawn from the accounts to relevant parties.

The Ministry of Finance shall specify the time and procedure for taking the enforcement measure prescribed in this Section.

SECTION 3. ENFORCEMENT BY DEDUCTING PART OF SALARIES OR INCOMES

Article 30. Entities that have part of their salaries or incomes deducted.

The enforcement by deducting part of salaries or incomes is applied to the subjects that earn salaries or incomes at an organization as prescribed by law.

Article 31. Decision on deducting part of an individual’s salary or income

1. The decision on deducting part of an individual’s salary or income must specify its issuance date, name and address of the organization that manage the individual’s salary or income; the amount of deducted income (written on the decision on penalties for administrative violations and enforcement cost until the end of the 5-day time limit before the enforcement), the reasons for deduction, name and address of the State Treasury to which money is transferred, the method of transfer, time of transfer; signature and seal of the decision issuer.

2. The decision on enforcement shall be sent to the individual or the organization that manages his salary or income, and relevant organizations at least 05 days before the enforcement.

Article 32. Level of deduction of part of an individual’s salary or income

1. Only part of the salary, wage, or income equal to the amount of money written in the administrative decision on taxation made shall be deducted.

2. The deduction is not lower than 10% and not over 30% of total salary and monthly allowance of the individual. Deduction from other incomes shall depend on the actual incomes, but not to exceed 50% of the total income.

Article 33. Obligations of the employer that manages the individual’s salary, wage or income

The organization that manages the individual’s salary, wage or income (hereinafter referred to as income manager) is obliged to:

1. Transfer part of the salary or income of the subject to government budget in accordance with the decision on enforcement from the latest salary or income payment until tax, interest on late payment of tax, fines, and interest on late payment of fines are sufficiently paid according to the decision on enforcement, notify the transfer to the issuer of the decision on enforcement and the subject;

2. Transfer part of the subject’s salary or income of the individual to government budget in accordance with the decision on enforcement, and notify the issuer of the decision on enforcement;

3. If the subject’s labor contract is terminated while tax, interest on late payment of tax, fines, and interest on late payment of fines are not sufficiently deducted from the salary, the employer shall notify the issuer of the decision on enforcement within 05 working days from the termination date of the labor contract;

4. The income managers that deliberately avoid implementing decision on enforcement shall incur administrative penalties as prescribed in Article 13 of this Decree.

SECTION 4. ENFORCEMENT BY INVALIDATING INVOICES

Article 34. Entities that have their invoices invalidated

Invoices shall be invalidated when all conditions below are satisfied:

1. The tax authority fails to take the enforcement measures mentioned in Clause 1 and Clause 2 Article 19 of this Decree, or tax, interest on late payment of tax, fines, and interest on late payment of fines are not sufficiently collected by the deadline imposed by the Ministry of Finance, or in the case mentioned in Clause 7 Article 19 of this Decree, or at the request of the customs according to the Decrees on penalties for administrative violations and enforcement of current provisions on customs.

2. The invoices are purchased from Departments of Taxation, or printed, ordered by the organization or individual; the electronic invoices of which the issuance has been announced.

Article 35. Decision on invoice invalidation

1. A decision on invoice invalidation must specify: the date of the decision, basis for the decision, full name, position and workplace of the decision issuer; full name, residence address and office address of the subject, reasons for invoice invalidation, enforcement duration, the agency organizing the implementation of the decision on enforcement, cooperating agencies, signature of the decision issuer, seal of the agency that issues the decision.

2. The notice of invoice invalidation must specify: the date of the notice, the basis for the notice, full name, position, and workplace of the notice issuer, full name, residence address and office address of the subject, tax code (if any); reasons for invoice invalidation, numbers of invalidated invoices.

Article 36. Procedure for invoice invalidation

1. The head of the tax authority shall notify the subject at least 03 working days before issuing the notice of invoice invalidation.

2. When taking this enforcement measure, the tax authority must issue a decision on enforcement and announce the numbers of invalidation invoices on the media.

3. The tax authority shall announce the termination of this enforcement measure when the subject sufficiently pays the outstanding tax, interest on late payment of tax, fines, and interest on late payment of fines to government budget (unless the time limit for implementing the decision on enforcement is over according to Clause 1 Article 24 of this Decree).

4. Where the customs authority requests the tax authority issues a decision on enforcement by invoice invalidation, the tax authority shall follow the procedure mentioned in Clauses 1, 2, and 3 of this Article and send it to the customs authority. The customs authority shall immediately notify the tax authority when sufficient outstanding tax, interest on late payment of tax, fines, and interest on late payment of fines are collected for the tax authority to announce the termination of this enforcement measure.

The Ministry of Finance shall specify the procedure for taking this enforcement measure.

SECTION 5. ENFORCEMENT BY DISTRAINING ASSETS AND SELLING DISTRAINED ASSETS AT AUCTION

Article 37. Entities having their assets distrained for sale at auction

Organizations and individuals that have their assets distrained for sale at auction when they fail to voluntarily implement the administrative decisions on taxation or fail to pay for the enforcement costs, including:

1. Freelance workers without salary or income managers.

2. The organizations and individuals without accounts at credit institutions or of which account balance is not sufficient to deduct.

3. The organizations and individuals that are not subject to the enforcement measures mentioned in Clauses 1, 2, and 3, Article 19 of this Decree, or fines, interest on late payment of tax, fines and interest on late payment of fines are not sufficiently collected after taking such measures, or in the cases in Clause 7 Article 19 of this Decree.

4. Assets shall not be distrained if the taxpayer is an individual undergoing medical treatment at a legitimate medical facility.

Article 38. The assets below shall not be distrained

1. For individuals:

a) The only house of the subject and his family.

b) Drugs, food serving essential needs of the subject and his family.

c) Necessary working instruments as the primary or only means of subsistence of the subject and his family.

d) Clothes and primary appliances of the subject and his family.

dd) Objects of worship; relics, medals, certificates of merit.

2. For businesses:

a) Drugs, equipment, instruments and assets that belong to medical facilities, unless they are for sale; food, instruments and assets serving mid-shift meals of workers.

b) Kindergartens, schools and the equipment, instruments that belong to such facilities, provided they are not for sale.

c) Equipment, instruments and tools for assurance of occupational safety, fire safety, and prevention of environmental pollution.

d) Infrastructure serving public interests, national defense and security.

dd) Materials, finished products, semi-finished products being harmful chemicals banned from sale.

e) Materials and semi-finished products in a closed production line.

3. For state agencies, political organizations, socio-political organizations, socio-professional organizations (hereinafter referred to as agencies and organizations) that are funded by government budget , the assets bought with government budget shall not be distrained. The agency or organization shall request competent authorities in writing to provide financial supports to implement the decision on enforcement.

If the agency or organization earns incomes from other legitimate operations, the assets bought with such incomes shall be distrained, except for:

a) Drugs, equipment, instruments and assets that belong to medical facilities, unless they are for sale; food, instruments and assets serving mid-shift meals of officials.

b) Kindergartens, schools and the equipment, instruments that belong to such facilities, provided they are not for sale.

c) Equipment, instruments and tools for assurance of occupational safety, fire safety, and prevention of environmental pollution.

d) Office premises.

Article 39. Decision on enforcement by asset distraint

1. The decision on asset distraint must specify its issuance date, basis for decision, full name, position and workplace of the decision issuer; full name, residence address, office address of the asset owner; the amount of fines, location of distraint, signature of the decision issuer, seal of the agency that issues the decision.

2. The asset distraint must be notified to the asset owner, the People’s Committees of the commune where the individual resides or the organization is situated at least 05 days before the enforcement, unless the notification would obstruct the distraint.

Article 40. Procedure for asset distraint

1. Assets shall be distraint in daylight and during working hours of the locality.

2. The person that issues the decision on enforcement or the person assigned to implement the decision on enforcement shall organize the distraint.

3. The subject or an adult in his family, the representative of the organization that has its assets distrained, the representative of the local government, and witnesses must be present during the distraint.

The individual or adult in his family is deliberately absent, the asset distraint shall be carried out at the presence of the representative of the local governments and the witnesses.

4. The subject is entitled to decide which assets to be distrained first. The person that organizes the distraint must accept such request if it does not affect the distraint.

If the subject does not decide which assets to be distrained first, the assets under private ownership shall be distrained first.

5. The assets under a co-ownership of the subject and other people shall only be distrained if the subject has no private assets or his private assets are not sufficient to implement the decision on enforcement. If assets are under dispute, they shall still be distrained. The co-owners of such assets shall be provided with information about their rights to file lawsuits.

The agency that carries out the distraint shall notify the co-owners of the time and location of distraint. If no lawsuit is filed after 03 months from the date of distraint, the distrained assets shall be sole at auction as prescribed by legislation on asset auction.

6. If the subject fails to sufficiently pay outstanding tax, interest on late payment of tax, fines, and interest on late payment of fines within 30 days from the date of distraint, the tax authority is entitled to sell the distrained assets at auction to collect such amounts.

Article 41. Record on asset distraint

1. The asset distraint must be recorded in writing. The record on asset distraint must specify the time and location of asset distraint, the full name and position of the distraint organizer; the representative of the organization that has its assets distrained, the individual that has his asset distrained or his representative; the witnesses; the representative of the local governments (or the workplace of the individual); names, condition, and characteristics of all distrained assets.

2. The distraint organizer, the representative of the organization that has its assets distrained, the individual that has his asset distrained or his representative; the witnesses, the representative of the local governments (or the workplace of the individual) shall sign on the record. If one of them is absent or refuses to sign on the record, the absence or refusal and its reasons must be written in the record.

3. The record on distraint shall be made into 02 copies. 01 copy is kept by the agency that issues the decision on enforcement, 01 copy is sent to the individual or organization that has their assets distrained right after the record is made.

Article 42. Transfer of distrained assets

1. The distraint organizer shall select one of the following methods to preserve the distrained assets:

a) Request the subject or his family, the asset manager or user to preserve them.

b) Request one of the co-owner to preserve the assets if they are under a co-ownership

c) Request a capable organization or individual to preserve assets.

2. Assets being jewels gold, silver, precious metals, jewels, foreign currencies, shall be managed by State Treasuries; Assets being industrial explosives, gadgets, historical or cultural items, national treasures, relics, valuable forestry products shall be managed by specialized agencies.

3. When transferring distrained assets, the distraint organizer shall make a record specifying: the date of transfer, full name of the organizer, representative of the subject, the person requested to preserve assets; the witnesses; quantity and condition (quality) of assets; rights and obligations of the person assigned to preserve assets.

The distraint organizer, the person assigned to preserve assets, the representative of the subject, and the witnesses shall sign on the record. If one of them is absent or refuses to sign on the record, the absence or refusal and its reasons must be written in the record.

Each copy of the record shall be kept by the distraint organizer, the person assigned to preserve assets, the representative of the subject, and the witnesses.

4. The person assigned to preserve assets shall have the preservation cost covered, except for the persons mentioned in Point a Clause 1 of this Article.

5. if assets are damaged, swapped, lost, or destroyed, the person assigned to preserve assets shall provide compensation and incur penalties as prescribed in this Decree or face a criminal prosecution as prescribed by criminal law.

Article 43. Valuation of distrained assets

1. The distrained assets shall be valuated at the office of the organization or house of the individual that has their assets distrained, or where distrained assets are kept (unless a Valuation council must be established).

2. Distrained assets shall be valuated under an agreement between the organizer and the representative of the subject (and the co-owner if distrained assets are under a co-ownership). The time limit for reaching an agreement on prices is 05 working days from the date of distraint.

If an agreement on the price of the distrained asset that is valued under 1,000,000 VND or quickly degenerates cannot be reached, the issuer of the decision on enforcement shall impose the price.

3. If the distrained asset valued at 1,000,000 VND or more is hard to be valuated or the parties fail to reach an agreement on the price, the issuer of the decision on enforcement shall request the competent authority to establish a Valuation council within 15 days from the date of distraint. The issuer of the decision on enforcement is the president of the council, the representatives of relevant finance agencies and specialized agencies are members.

Within 07 working days from the date of establishment, the Valuation council shall carry out the valuation. The representative of the organization or individual may offer opinions about the valuation, but the final decision shall be made by the Valuation council.

Assets shall be valuated based on current market prices at that time. The assets of which prices are under the management of the state shall be valuated based on the prices imposed by the state.

4. The asset valuation must be recorded in writing, specifying the time and location of valuation, participants in the valuation, names and values of the valuated assets, signatures of the participants and asset owners.

Article 44. The power to establish the Valuation council

1. The President of the People’s Committees of the district shall decide the establishment of valuation councils if the administrative enforcement is within the competence of the government of the district or commune.

2. The President of the People’s Committees of the province shall decide the establishment of valuation councils if the administrative enforcement is within the competence of the provincial government.

3. The establishment of the Valuation council at central agencies shall be decided by relevant Ministers, after reaching an agreement with the Minister of Finance and relevant Ministries.

Article 45. Tasks of the Valuation council

1. Study and suggest the organization and contents of the valuation council’s meeting.

2. Prepare necessary documents for the valuation.

3. Carry out the valuation.

4. Make the valuation record.

Article 46. Transferring assets distrained for sale at auction

1. Within 03 days from the day on which the decision on distraint is issued, the organizer shall sign an auction contract with a professional auction organizer to sell assets at auction.

2. The transfer of distrained assets to the auction organizer must be recorded in writing. The record must specify: the date of transfer, the transferor, the transferee and their signatures; the quantity and condition of assets. The asset transfer dossier consists of: the decision on asset distraint, documents related to the legitimate ownership and rights to use (if any); the valuation record and transfer record.

3. If the distrained assets are so bulky that the auction organizer cannot keep, a preservation contract may be signed with the place where the assets are kept after the transfer is completed. The preservation cost shall be defrayed by the money collected from the auction.

4. After the distrained assets are transferred to the auction organizer, the procedure for auction shall comply with legislation on property auction.

5. If the assets are under a co-ownership, the co-owners shall be favored at the auction.

6. If the money collected from the auction is more than the sum of amount written in the decision on penalties and the enforcement cost, the difference shall be returned to the subject within 10 days from the date of auction.

Article 47. Transferring the asset ownership

1. The buyer of distrained assets has the ownership of such assets recognized and protected by law.

2. A competent state authority shall carry out the procedure for transferring the ownership to the buyer as prescribed by law.

3. An ownership transfer dossier consists of:

a) A copy of the decision on distraining assets for sale at auction.

b) The auction record.

c) Other papers related to the assets (if any).

SECTION 6. ENFORCEMENT BY COLLECTING THE SUBJECT’S MONEY OR ASSETS THAT ARE HELD BY ANOTHER ORGANIZATION OR INDIVIDUAL

Article 48. The scope of collecting the subject’s money or assets that are held by a third party

The subject’s money or assets that are held by a third party shall be collected when all the conditions below are satisfied:

1. The tax authority fails to take the enforcement measures mentioned in Clauses 1, 2, 3, and 4 Article 19 of this Decree, or such measures have been taken but the outstanding tax, interest on late payment of tax, fines and interest on late payment of fines are not sufficiently collected, or in the cases mentioned in Clause 7 Article 19 of this Decree.

2. The tax authority has evidence that a third party owes a debt to the subject or is holding the subject’s assets or money.

Article 49. Rules for collecting the subject’s money or assets that are held by the third party

1. The third party owes a due debt to the subject, or is holding the subject’s assets or money.

2. If the subject’s money or assets is held by a third party being a subject of secured transactions or bankruptcy, the money and assets shall be collected from the third party in accordance with legislation on bankruptcy and secured transactions.

3. The amount of money paid to government budget by the third party on behalf of the subject is considered a payment on behalf of the subject.

The competent authority shall notify the subject and relevant agencies of such payment

Article 50. Procedure for collecting the subject’s money/assets held by the third party

1. The tax authority shall request the third party, which is holding the subject’s money/assets, in writing to provide information about such money/assets or the debt owed to the subject. The third party shall submit a written explanation to the tax authority within 05 working days from the day on which the request of the tax authority is received if it fails to comply with the request.

2. Based on the information provided by the third party, the tax authority shall issue a decision to collect the subject’s money/asset that are held by the third party, or claim the debt owed to the subject.

The decision on enforcement must be immediately sent to the subject and the third party. The tax authority shall request the third party in writing to implement the decision on enforcement. The third party shall pay the outstanding tax, interest on late payment of tax, fines, and interest on late payment of fines on behalf of the subject, or transfer the subject’s assets to the tax authority for distraint. The asset distraint shall comply with Section 5 of this Chapter.

The tax authority shall implement the decision on enforcement in accordance with Article 24 of this Decree.

Article 51. Obligations of the third party

1. Provide the tax authority with information about the debt owed to the subject or the subject's money/assets they are holding, specifying the amount of money, the deadline for repaying debt, categories, quantity and condition of assets.

2. Do not transfer money/asset to the subject when receiving the written request of the tax authority until money is paid to government budget or assets are transferred to the tax authority for sale at auction.

3. The third party shall submit a written explanation to the tax authority within 05 working days from the day on which the request of the tax authority is received if it fails to comply with the request.

4. The third party that fails to pay tax on the subject’s behalf within 15 days from the receipt of the request from the tax authority shall face the enforcement measures mentioned in Clause 1 Article 93 of the Law on Tax administration.

SECTION 7. ENFORCEMENT BY REVOKING THE CERTIFICATE OF BUSINESS REGISTRATION, CERTIFICATE OF ENTERPRISE REGISTRATION, LICENSE FOR ESTABLISHMENT AND OPERATION, OR PRACTICE CERTIFICATE

Article 52. The entities having their Certificates of Business registration, Certificates of Business registration, licenses for establishment and operation or practices certificates revoked

1. This enforcement measure shall be taken if the outstanding tax, interest on late payment of tax, fines, and interest on late payment of fines are not sufficiently collected after the tax authority takes the enforcement measures in Clauses 1, 2, 3, 4, 5 Article 19 of this Decree, or in the case mentioned in Clause 7 Article 19 of this Decree.

2. When taking this enforcement measure, the competent state management authorities must make an announcement on the media.

Article 53. Procedure for revoking the Certificate of Business registration, Certificate of Enterprise registration, license for establishment and operation, or practice certificate

When this enforcement measure is taken, the agency that issued the Certificate of Business registration, Certificate of Enterprise registration, license for establishment and operation, or practice certificate shall be requested in wiring by the tax authority to revoke the Certificate of Business registration, Certificate of Enterprise registration, license for establishment and operation, or practice certificate within 03 days from the day on which this measure is taken.

Within 10 days from the receipt of the request sent by the, the certificate issuer shall issue a decision to revoke the Certificate of Business registration, Certificate of Enterprise registration, license for establishment and operation, or practice certificate, or notify the tax authority if they are not revoked.

Chapter 3.

IMPLEMENTATION

Article 54. Effect

1. This Decree takes effect on December 15, 2013.

2. The Government's Decree No. 98/2007/ND-CP dated June 7, 2007 and the Government's Decree No. 13/2009/ND-CP dated February 13, 2009 on penalties for violations pertaining to taxation and enforcement of administrative decisions on taxation are annulled.

3. The regulations on penalties, delay, exemption, reduction of fines, and other regulations on penalties for administrative violations pertaining to taxation that are favorable for the violations pertaining to taxation that are committed before this Decree takes effect and discovered afterwards shall be applied.

If the penalized entity files a complaint against a decision on penalties for administrative violations pertaining to taxation that is issued and implemented before this Decree takes effect, the case shall be resolved in accordance with law when the violation is committed.

Article 55. Guidance on implementation

The Ministry of Finance shall provide guidance, organize the implementation of this Decree, and cooperate with other state agencies, political organizations, socio-political organizations, social organizations, socio-professional organizations in disseminating and supervising the implementation of this Decree.

Article 56. Responsibility for the implementation

Ministers, Heads of ministerial agencies, Heads of Governmental agencies, Presidents of the People’s Committees of central-affiliated cities and provinces, relevant organizations and individuals are responsible for the implementation of this Decree./.