Cases of Temporary Departure Suspension from Vietnam and Points to Note
2024/10/30
- Nguyen Thi Ngoc
In recent years, the Vietnam Department of Taxation has adopted strict measures to resolve the long-standing problem of unpaid tax debts. Regarding personal income tax, the Directorate General of Taxation is working with the Immigration Bureau to temporarily suspend the departure of some taxpayers from the country.
This article explains the reasons for temporary suspension of travel from the country, points to note if you are suspended, and how to check the latest information.
1. Subject to temporary departure ban cause
Pursuant to Clause 1 of Article 21 of Decree No. 126/2020/ND-CP, departure may be temporarily suspended in any of the following cases:
– Representative of a corporation that is in default on tax payments
– Individuals who are in default of tax payment (foreigners and overseas Vietnamese)
On the other hand, at the Ministry of Finance’s Q2 2024 press conference, the Directorate General of Taxation announced that not all taxpayers are subject to temporary departure suspension. Currently, the suspension applies to only a small number of taxpayers, and the main targets are as follows:
– Legal representatives of legal entities liable for tax
– Subjects at high risk of not being able to collect tax debts
2. Points to note in case of being subject to measures
In the case of a temporary suspension of departure, the following items should be noted:
– The taxpayer is required to pay the amount of unpaid tax as soon as possible.
– If there is a guarantor who assumes tax liability on behalf of the taxpayer, the taxpayer may leave the country regardless of whether or not the taxpayer receives a notice of suspension. However, if the taxpayer does not fulfill his/her tax liability by the due date, the guarantor will be liable for tax payment on his/her behalf.
3. Specific steps to respond to temporary departure suspension measures
| After verifying the tax payment status of the individuals, the General Department of Taxation will send them a notice of temporary suspension from leaving the country and send a list of those individuals to the Immigration Bureau. |
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| As soon as the Immigration Bureau receives notification from the General Administration of Taxation, it will post the information on its website and temporarily suspend the departure of the individuals concerned. |
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| If the person subject to the measure has paid the unpaid tax |
If the person subject to the ban fails to pay the outstanding tax amount 30 days before the deadline for the temporary suspension of departure |
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The General Administration of Taxation will send a notice of cancellation of the departure suspension to the Immigration Bureau within 24 hours and lift the departure suspension. |
The General Department of Taxation will extend the departure suspension date and send notices to the persons subject to the measures and the Immigration Bureau. |
4．How to identify cases of temporary suspension of departure
Cases of temporary suspension of departure can be checked on the portal of the General Administration of Taxation or the website of the General Administration of Customs. There are two ways to check:
Method 1：Search on the General Department of Taxation’s portal
・Step 1: Access to the Website https://www.gdt.gov.vn/wps/portal
・Step 2: Select “Public Services” (Dịch vụ công) and click on “Tax Debt Enforcement” (Công khai cưỡng chế nợ thuế)
・Step 3: Enter the tax code and approval code in the “Taxpayers with notice of departure” (NNT có thông báo về xuất cảnh) section and press the “Search” (Tìm kiếm) button.
Method 2: Search the General Department of Customs website
・Step 1: Access the search link on the General Department of Customs website https://www.customs.gov.vn/index.jsp?pageId=8&cid=1294&LoaiVanBan=16&LinhVuc=541
・Step 2：Select “Lifting or extending departure suspension/departure suspension” (Hoãn xuất cảnh; gia hạn, huỷ bỏ, tạm hoãn xuất cảnh)
Conclusion
To avoid departure suspension, we recommend that you do the following:
– Accurately declare the address where you will receive notices from the General Department of Taxation, and follow the appropriate procedures when changing your address.
– Regularly check the list of tax obligations on the General Department of Taxation’s portal site or the Etaxmoblie app.
– Before leaving the country, check the departure suspension status on the General Department of Taxation’s portal site or the General Department of Customs website.
【Contact】 I-GLOCAL CO., LTD.
Person in charge: Kashima kiriko.kashima@i-glocal.com
Ho Chi Minh Office: +84-28-3827-8096
Hanoi Office: +84-24-2220-0334
*This article was translated by Yarakuzen.
