Article 4 of Decree No. 126/2020/ND-CP stipulates tax management for taxpayers during the period of temporary suspension of operations and business: Taxpayers shall make a notification when temporarily suspending operations and business according to the provisions of Article 37 of the Law on Tax Administration and related regulations.

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Illustration: Le Anh Dung

Point c, Clause 2, Article 1 of Decree No. 22/2020/ND-CP amends and supplements Clause 5, Article 4 of Decree No. 139/2016/ND-CP on the level of business license fees as follows: Fee payers who are currently operating and have sent a document to the direct tax authority regarding the temporary suspension of production and business activities in the calendar year are not required to pay the business license fee for the year of temporary suspension of business activities, provided that the document requesting temporary suspension of production and business activities is sent to the tax authority before the deadline for paying the fee as prescribed (January 30 of each year) and have not paid the business license fee for the year of temporary suspension of production and business activities.

A company in Hung Yen, confirmed by the Department of Planning and Investment of Hung Yen province to temporarily suspend business from January 20, 2021 to January 20, 2022, wondered whether it was exempt from business license fees or not.

Responding to this enterprise's question, the Hung Yen provincial tax authority said: If the company has not paid the business license fee for 2021, it does not have to pay the business license fee for 2021; if it has already paid, it will not be refunded.

Another company also in Hung Yen has a certificate of temporary suspension of operations from January 24, 2024 to January 23, 2025 and has not paid the business license fee for 2024.

However, the tax authority did not agree to exempt the business license fee for 2024 because the total suspension period was not a full year (1 day short).