Tax withholding registration for large investment plans

15:19 | 16/05/2014 Economy

(VEN) - Businesses with an investment plan of one billion or more can register to apply the tax withholding method, according to the Ministry of Finance’s Document 5485/BTC-TCT dated April 26, 2014.

Apart from those that can register to apply the tax withholding method stipulated in b and c in section 3, Article 12 of Circular 219/2013/TT-BTC dated December 31, 2013 (providing guidelines for implementing the value added tax or VAT law), the Ministry of Finance added newly founded enterprises and cooperatives that have investment plans worth VND1 billion upward each to the list of subjects that can apply the tax withholding method.

Apart from sending notices about tax calculation method application and tax registration documentation to the tax authority, enterprises and cooperatives send the tax authority notarized copies of their investment plans and documents committing to procuring fixed assets worth VND1 billion or more within 12 months. If they are unable to do that within 12 months they shall not be permitted to issue invoices./.

Nguyen Trung Kien (Source: General Department of Taxation)