Tax declaration procedures for newly established enterprises

Tax declaration for newly established businesses is an important first step for any business to officially operate. Besides business plans, compliance with tax regulations is an important factor that cannot be overlooked. Follow Long Phan’s article for detailed instructions on tax declaration procedures for newly established businesses.

Do businesses that have not yet generated revenue have to declare taxes?

Based on Clause 3, Article 7 of Decree No. 126/2020/ND-CP (Clause 2, Article 1 of Decree 91/2022/ND-CP), there are regulations on cases where taxpayers do not need to submit declaration documents. Tax includes:

• Taxpayers only have activities and businesses that are not subject to tax according to the provisions of tax law for each type of tax.
• Export processing enterprises that only engage in export activities are not required to submit value-added tax declaration dossiers.
• The taxpayer temporarily suspends operations and business according to the provisions of Article 4 of this Decree.
• Taxpayers submit documents to terminate the validity of tax codes, except in cases of termination of operations, termination of contracts, or reorganization of enterprises according to the provisions of Clause 4, Article 44 of the Law on Tax Administration.
• A person declaring personal income tax is an organization or individual paying income in the case of declaring personal income tax on a monthly or quarterly basis in which no deduction of personal income tax of the recipient of income occurs in that month. enter

Thus, newly established businesses still have to declare taxes, even if they have not yet generated revenue.

Deadline for submitting initial tax return and late payment penalty

Deadline for submitting initial tax return

At Point a, Clause 2, Article 33 of the Law on Tax Administration 2019, there is a regulation that the first tax registration deadline for newly established businesses is within 10 working days from the date of issuance of the business registration certificate.

Late payment penalty

Late submission of initial tax declaration documents will be penalized according to the provisions of Article 13 of Decree 125/2020/ND-CP. Fines gradually increase according to the time of late payment, from warnings to fines from 2 million to 25 million VND. Specifically as follows:

• Submitting a tax return 1 – 5 days past the deadline and with a slight reduction: Warning fine.
• Submitting tax declaration 1 – 30 days too late: Fine from 2 – 5 million VND.
• Submitting tax declaration 31 – 60 days too late: Fine from 2 – 5 million VND.
• Submitting tax declaration documents beyond the prescribed deadline of 61 – 90 days: Fine from 8 – 15 million VND.
• Submitting a tax declaration 91 days or more beyond the deadline and not incurring tax payable: Fine from 8 – 15 million VND.
• Failure to submit tax declaration but no tax payable arises: Fine from 8 – 15 million VND.
• Failure to submit appendices with regulations on tax management for businesses with associated transactions in corporate income tax finalization dossiers: Fine from 8 – 15 million VND.
• Submitting a tax declaration more than 90 days beyond the prescribed time limit, if there is tax payable and the taxpayer has paid the full amount of tax and late payment interest to the state budget: Fine from 15 – 25 million VND .

Standard tax declaration procedures for newly established businesses

Prepared documents

To carry out initial tax declaration procedures, newly established businesses need to prepare a complete set of documents as required by the tax authority. This application set usually includes the following basic documents:

• Decision to appoint director and chief accountant.
• Registration form for fixed asset depreciation method.
• Copy of business registration certificate.
• Copy of ID card/CCCD/passport of the legal representative and chief accountant.
• Business information registration form (according to the tax authority’s form).
• License fee declaration (if required).
• Power of attorney for the person submitting documents at the tax agency.

Tax declaration procedure for newly established companies

The tax declaration process for newly established businesses includes the following basic steps:

• Step 1: Customers prepare complete initial tax declaration documents as required by the Tax Administration Tax Department.
• Step 2: Customers need to identify the managing tax agency and submit documents to the Tax Department of the province/city where the business’s headquarters is located.
• Step 3: Receive the results of document processing from the tax authority.

Consulting services on tax declaration procedures for newly established companies

Tax declaration procedures for newly established businesses are administrative processes according to the law. Using consulting services helps businesses save time, effort and ensure compliance with legal regulations. With professionalism, Long Phan can support businesses in this process. Tax declaration procedure consulting services at Long Phan include:

• Consulting on taxes and tax obligations of new businesses.
• Instructions for preparing complete and accurate initial tax declaration documents.
• Support declaring tax forms according to regulations.
• Business representatives submit documents and work with tax authorities.
• Monitor document processing progress and receive results from tax authorities.
• Consulting on issues arising during the tax declaration process.

Tax declaration procedures are an important step for newly established businesses. Customers need to comply with regulations to avoid legal and financial risks. If you need detailed advice on tax declaration procedures, please contact hotline 0906735386 for free advice. We are ready to assist customers in completing tax declaration procedures quickly and accurately.