Submitting documents tax records for newly established companies is the first and prerequisite procedure that a business must do when it is first established. Procedures for establishing a company not only require a business license but also important legal procedures such as stamps, signatures, and tax declaration. Many businesses still have problems in the process of preparing tax returns for their companies. So what do you need to prepare for your tax return, how is your tax return processed? Please join Viet My to follow the information in the article below.

1. Contents of tax records for newly established companies

Registering taxes for the first time or declaring tax records for a newly established company is an important procedure that must be completed immediately after the company is established. This can be considered a step that lays the foundation for establishing standards and principles in the operation of the company’s accounting system.

1.1 Tax documents for newly established companies

Tax documents for newly established companies must include the following documents:

• Statement of accounting registration and use of invoices of the company
• Decision to appoint an accountant (if the company already has a chief accountant)
• Decision to appoint Director or Director of the Company
• Registration form for depreciation method of fixed assets (if there are already fixed assets)
• Valid business information registration form
• License fee declaration
• Valid business registration certificate according to law
• Power of attorney (if applying on behalf of the company)

Before submitting tax documents, readers should refer to what the company establishment documents include to have the best preparation when doing so!

1.2 Business procedures need to be completed before submitting tax documents for newly established companies

Businesses must complete the following basic steps before submitting tax returns:

• Hang name on the sign: The following things should be stated on the sign: Head office address, tax code, company name, etc. A tax representative will come to the company to check the company’s operations, see if the signs are in place and fully posted.
• Buying digital signatures (tokens, digital certificates): This is a mandatory procedure that every company must perform when established. This digital signature will be used to send the resource tax declaration to the website of the General Department of Taxation.
• Open a business account and fund the account: The company uses digital signatures to fund the account and pay license fees to the treasury.

2. Initial tax declaration process according to 2024 regulations

The initial tax declaration process includes the following steps:

a. Step 1: Open a bank account and buy a digital signature

After obtaining a business license, the company must open a bank account and obtain a digital signature for the company. Businesses that want to file tax returns electronically must have a digital signature to be able to submit tax returns online. In addition, businesses that pay taxes electronically to tax authorities must also have a bank account.

The company’s accountant can open a bank account by contacting the bank where the company wants to work. After receiving an account from the bank, the business must register a bank account through the Ministry of Planning and Investment or the government agency’s website/portal within 10 days. Please note that the company will be fined if the registration period has ended but the company has not registered beyond the deadline.

b. Step 2: Declare and pay license fee

After the business has a bank account and digital signature, the next step is to declare and pay the license fee.

Business accountants can declare royalties using software that supports declaration. Then export the declaration in XML format and submit it online.

Additionally, accountants can submit tax returns electronically. If you successfully submit your resource tax declaration, you must pay your resource tax immediately to avoid late payment and penalties. Companies also need to be aware of license fee payment deadlines. The latest filing deadline for a company is the last day of the first month the company begins operations. Therefore, businesses need to be careful to avoid losing money to pay fines.

c. Step 3: Choose a reporting method for declaring personal income tax, VAT and invoices

Currently, there are two methods of declaring corporate income tax: the direct method and the indirect method, suitable for two declaration periods: monthly or quarterly. For newly established companies, you should choose to declare quarterly. The company’s VAT payment deadline is the 30th of the first month of the next quarter.

For declaration invoices, if it is an electronic invoice, the enterprise must notify the issuance of the invoice immediately before using it after successfully registering and providing the invoice. Any act of arbitrarily using electronic invoices without notification of issuance by the enterprise will be punished. If your company uses sales invoices or direct declaration invoices, the accountant can contact the tax department managing the company to make the purchase transaction.

Businesses are not required to submit income tax returns. If the business activities of the enterprise are profitable, the accountant can make a temporary calculation based on the operating results and statistics sent to the tax department.

d. Step 4: Choose accounting method and depreciation of fixed assets

According to Circular No. 45/2013/TT-BTC clearly states:

“According to the provisions of this Circular, enterprises can decide on the type and time of depreciation of fixed assets and notify the competent tax authority directly before implementation.”

It can be simply understood that before depreciating fixed assets, businesses need to notify the tax authority directly managing that asset.

The appropriate form of the accounting system should be determined according to the scope of this company’s business activities.

• Companies with large business scale shall apply the accounting regime according to Circular 200/2014/TT-BTC.
• Small and medium-sized enterprises are subject to the accounting regime according to Circular 133/2016/TT-BTC.

3. Place and time to submit tax documents for newly established companies

Depending on the nature of the enterprise’s investment, the Department of Planning and Investment will have transfer documents related to the tax department, so that businesses can easily contact and work directly.

3.1 Location for submitting tax documents for newly established companies

The district tax department where the company is headquartered is the tax authority unit that directly manages the company. This regulator will be identified in the tax administration notice sent to the company. After the company completes the establishment process and procedures, the Department of Planning and Investment will send a notice and business license to the company.

3.2 Tax filing time for newly established companies

In case the company operates immediately after being granted a business license, the deadline for submitting the first tax declaration is the last day of the month stated on the business license.

In case an enterprise has been granted a business license but has not yet started operations, the deadline for submitting the first tax declaration is 30 days from the date recorded on the business license.

However, companies should try to complete the first tax declaration and procedures as soon as possible.

4. Some notes when submitting initial tax documents in 2024

When preparing and submitting their first tax return, businesses should consider the following:

• Drafting 02 official documents registering corporate accounting forms and regimes, including:
• Accounting form, form of import and export of goods, applicable accounting regime, accounting method, type of invoice used and form of accounting.
• Draft 02 documents to register the accounting system that the company plans to implement.
• Register the method of depreciation of fixed assets with the tax authority. Additionally, businesses must make two additional entries on their tax returns.
• 01 If the applicant is not the legal representative of the company, a copy of the power of attorney

5. Frequently asked questions about tax documents for newly established companies

5.1 What are the initial tax registration procedures? Is it mandatory or not?

Initial tax registration or tax declaration is a mandatory procedure that businesses must complete with tax authorities to set out accounting standards and principles during business operations until settlement.

5.2 Before filing the initial tax return, what do businesses need to do?

Before filing its first tax return, a company must do three things:

• The headquarters hangs signs.
• Buy digital signatures (digital certificates/tokens).
• Open a company bank account.

5.3 What should businesses do after submitting their initial tax declaration?

After completing the initial tax declaration procedures, businesses need to complete the following 3 things:

• Submit license fee declaration (due date is January 30 of the year following the year of establishment);
• Register to use electronic invoices with tax authorities;
• Register for electronic tax payment.

5.4 What is the deadline for submitting license tax declarations for newly established businesses?

The deadline for submitting tax returns and license fees for newly established companies is January 30 of the year following the year of establishment.

5.5 Does a newly established company need to buy electronic invoices?

Have. Enterprises must register to use electronic invoices according to the provisions of Decree 123 and Circular 78. This is a mandatory regulation.

Above are updated instructions for preparing tax documents for newly established companies in 2024. Hopefully through this article, we will provide customers with the most useful and necessary information when establishing a business. If you have any questions and need support, please contact VIET MY LAW AND ACCOUNTING for direct advice.