Official Letter No. 95/CTĐLA-TTHT Regarding the Supplementary Declaration of Tax Filing Documents

On January 3, 2025, the Dak Lak Provincial Tax Department received Official Letter No. 01/CVHP-2025 dated January 2, 2025, from Phuc Hung Construction Joint Stock Company, regarding the policy on supplementary declaration of tax filing documents. The Tax Department provides the following opinions on the matter:

Regarding the principle of supplementary tax filing, it is carried out according to the provisions of Article 47 of the Law on Tax Administration No. 38/2019/QH14 dated June 13, 2019, issued by the National Assembly. We suggest the company refer to the guidance provided in Official Letter No. 2105/CCT-TTHT dated December 19, 2024, from the Buon Ma Thuot Tax Sub-department to carry out the process. The Tax Department also provides additional guidance as follows:

At Clause 6, Article 6 of Law No. 56/2024/QH15 dated November 29, 2024, which amends and supplements several provisions of the Tax Administration Law, it is stipulated as follows:

“6. Amendments, additions, and abolishment of some clauses in Article 47 as follows:

a) Amendment and supplementation of Clause 1 as follows:

“1. Taxpayers who discover that their tax filing documents submitted to the tax authority contain errors or omissions may supplement the tax filing documents within 10 years from the deadline for filing the tax documents for the tax period with errors, under the following conditions:

a) Before the tax authority or the competent authority announces the decision for an audit or inspection;

b) The documents do not fall under the scope or time period of the tax audit or inspection specified in the audit or inspection decision.

For items falling under the scope of audit or inspection, taxpayers may supplement the documents for explanation according to the provisions of tax law, audit law, and regulations of competent authorities regarding the determination of the taxpayer's tax obligations.”

b) Abolishing Clauses 2 and 3.”

Based on the above provisions, the Tax Department has the following opinions:

1. In the case where the construction project has been completed, the invoice was issued in June 2024, and the tax was declared in Q2 2024, and in October 2024, there was a decision approving the reduction of the project’s value, the company should adjust or replace the invoice as specified in Article 19 of Decree No. 123/2020/ND-CP dated October 19, 2020, and file supplementary tax documents according to Clause 1, Article 47 of the Law on Tax Administration No. 38/2019/QH14; Item b, Clause 4, Article 7 of Decree No. 126/2020/ND-CP dated October 19, 2020, as follows:

• If the supplementary filing reduces the VAT payable, the company should file the supplementary tax documents for Q2 2024;

• If it results in an increase or decrease in the deductible tax, it should be filed in the month or quarter when the error was discovered (Q4 2024).

This principle of supplementary tax filing also applies to cases in different financial years.

2. If an adjustment invoice is issued, leading to an increase or decrease in income tax for the previous year, the taxpayer must file supplementary tax documents for the previous years' income tax declaration as stipulated in Clause 4, Article 7 of Decree No. 126/2020/ND-CP.

3. In cases where the tax authority has issued a conclusion or decision on tax handling after an audit or inspection, and adjustments are made to the project’s finalization, the company must file supplementary tax documents according to Clause 3, Article 47 of the Law on Tax Administration No. 38/2019/QH14 (for documents filed before December 31, 2024). From January 1, 2025, the company must comply with Clause 6, Article 6 of Law No. 56/2024/QH15, which amends and supplements several provisions of the Law on Tax Administration.

Taxpayers who file supplementary tax documents for adjustments based on an approved decision reducing the value of the construction items, without engaging in any administrative violations, will not be penalized for tax violations.

Thus, the Tax Department informs Phuc Hung Construction Joint Stock Company to be aware and comply with these regulations.