New developments in tax registration for businesses.

Official Letter No. 121/DNL-THNV dated February 12, 2025 from the General Department of Taxation on the Introduction of Some New Points in Circular No. 86/2024/TT-BTC

This letter helps businesses identify the new provisions set forth in Circular No. 86/2024/TT-BTC (effective from February 6, 2025) regarding tax registration procedures, issuance of tax codes (MST), procedures for amending tax registration information, and procedures for terminating the validity of tax codes.

Some noteworthy new points include:

- In cases where multiple foreign contractors sign the same tender contract with the Vietnamese party and require separate tax declaration and payment, each contractor will be issued a separate 10-digit tax code (point d, clause 4, Article 5).

- When an organization (business) has a contract or a business cooperation document, it is only required to register for an alternative tax code if there is a need to issue a separate tax code for the business cooperation contract (point e, clause 4, Article 5).

- The dependent units register (Form BK02-ĐK-TCT) is eliminated from the initial tax registration dossier of dependent units (points a.2 and b.2, clause 1, Article 7).

-  Provisions are supplemented for transferring over-collected tax amounts and unoffset VAT in cases where a dependent unit, split unit, merged unit, or consolidated unit terminates its tax code but still has over-collected tax amounts or unoffset VAT for the parent unit or newly established units after the split/merger/consolidation (point a.3, clause 1, Article 16).

- Several forms are amended and supplemented, including: Tax registration form No. 01-ĐK-TCT (for businesses) and form No. 02-ĐK-TCT (for dependent units or business premises); The register of contracts for foreign contractors and foreign subcontractors paying tax through the Vietnamese party, Form No. 04.1-ĐK-TCT-BK attached to tax registration form No. 04.1-ĐK-TCT; Tax registration certificate Form No. 10-MST; Alternative tax code notification Form No. 11-MST; Notification regarding the transfer of the taxpayer's tax liabilities, Form No. 39/TB-ĐKT.