Business license tax is a direct tax paid annually. The business license fee will be calculated according to the level of the registered charter capital or the previous year’s revenue of the enterprise. Accordingly, each year, the enterprise will increase its charter capital through contributed capital, shared income or VAT of the previous year, which will change the business license tax level of the company. What is the current business license tax rate for business households? What are the procedures and deadlines for paying business license tax for business households? Readers are invited to join Viet My Law and Accounting to learn about paying business license tax online for business households in the article below.

1. Do business households have to pay business license tax?

Pursuant to the provisions of law in Clause 2, Article 4 of Decree 139/2016/ND-CP and Clause 3, Article 1 of Circular 65/2020/TT-BTC, business households will not have to pay business license tax in the following cases:

• Business households with production activities with revenue of less than 100 million VND/year.
• Business households with production activities that are not continuous, irregular or have an unfixed location.
• Business households operating in the agricultural sector are under the management of a cooperative or cooperative union.
• Business households, households, groups of individuals or individuals with production business activities in: fishing, aquaculture, salting or providing fishing services.
• Business households are exempt from business license tax in the first year of establishment or starting production business activities from January 1 to December 31.

2. Detailed instructions on how to pay business license tax online

Below is how to pay business license tax online on e-tax that taxpayers can refer to:

Step 1: Access the website thuedientu.gdt.gov.vn

Step 2: Log in with the created business account

Step 3: After logging in, select [Pay tax] => Select the bank to pay business license tax => Temporary payment

Step 4: Fill out the 2024 business license tax payment information form

– Currency: Select VND

– Withdraw from which account: Select the account number of the Bank selected in step 3 to deduct and pay money to the state budget.

– Tax management agency information: Default information of the business’s tax management agency.

If paying tax for a branch/representative office, you must select this item again to change it to the correct tax management agency of the branch/representative office.

– Treasury information:

+ Transfer to the State Treasury: The system will automatically select

+ Open at a commercial bank authorized to collect: You can choose any bank but should choose the same banking system as the bank where the enterprise opens the account (if any)

– Tax type: Select “Domestic Tax”

– In the “Other taxes” section, click “Select” => Declaration (Decision number, notification is not available yet, so it will be paid according to the Declaration) => Select Declaration => Scroll down to the “BUSINESS TAX” section, select 01/LPMB – Business license fee declaration (TT80/2021) => Tax period/Decision date/Notification date, select Pay tax by year: 00/CN/YYYY and fill in 2024 in the box next to “00/CN/2024” => Continue

– In the Content of State budget payments section, select Item 2850 – State management fees related to production and business => Search => Scroll down to select the business license fee that the enterprise must pay

Determine the business license fee according to the charter capital of the enterprise stated in the Business Registration Certificate => Fill in the amount corresponding to the business license fee to be paid in the VND Amount section, for example, level 1 will fill in 3,000,000 VND => Enter in the Note box: “Pay business license fee for household business”

Step 5: Select [Complete] and check the information again => Select [Sign and submit]

Step 6: After successfully signing and submitting, the taxpayer will perform the search in the following way:

– Select [Pay tax] => [Look up payment receipt] and proceed to search by the date of payment receipt (ie payment date).

3. What is the deadline for paying business license tax?

The deadline for paying business license tax in 2024 is January 30, 2024 at the latest. This deadline will not change compared to previous years.

– For business license tax payers (except business households and business individuals) who are newly established or establish additional dependent units or business locations:

+ Accountants must submit business license tax declaration documents no later than January 30 of the following year, after the year of commencement of production and business activities.

+ If there is any change in business capital this year, the business license tax payer must submit business license tax declaration documents no later than January 30 of the following year, the year of the change.

– For business households and business individuals: no need to submit business license tax documents.

The tax authority will base on the tax declaration and tax management database to determine the revenue as the basis for calculating the amount of business license fee to be paid and notify the business household and individual to do so.

4. What is the penalty for late submission of declarations and failure to pay business license tax?

4.1. Penalty for late submission of business license tax declarations

According to the provisions of Article 13 of Decree 125/2020/ND-CP, depending on the time of late submission of the declaration, the penalty will be different:

– Warning for cases of tax declarations submitted 01-05 days past the deadline and with mitigating circumstances.

– Fine from 2 to 5 million VND for cases of tax declarations submitted 1 to 30 days past the deadline, except for the warning penalty as above.

– A fine of VND 5 to 8 million shall be imposed for cases of late submission of tax declaration dossiers from 31 to 60 days.

– A fine of VND 8 to 15 million shall be imposed for cases of late submission of tax declaration dossiers from 61 to 90 days, late submission of tax declaration dossiers from 91 days or more but no tax payable arises, failure to submit tax declaration dossiers but no tax payable arises.

– A fine of VND 15 to 25 million shall be imposed for cases of late submission of tax declaration dossiers from 90 days after the deadline for submission of dossiers, with tax payable arising and the taxpayer has paid the full amount of tax and late payment to the budget before the tax authority announces the tax inspection decision or before the tax authority makes a record of the late submission of tax declaration dossiers.

If the fine is greater than the tax amount incurred on the tax declaration, the maximum fine is equal to the amount incurred on the tax declaration but not less than 11.5 million VND.

4.2 Fine for failure to pay business license fees

Based on the provisions of Clause 2, Article 59 of the 2019 Law on Tax Administration on the level of late payment and the time for calculating late tax payment as follows:

Late payment amount (fine for late payment) = Amount of late payment business license fee x 0.03% x Number of days of late payment

The time for calculating late payment is calculated continuously from the day following the date of late payment to the day immediately preceding the date of tax debt, late payment tax, etc.

The above is the entire content on how to pay business license tax online that Viet My Law and Accounting has compiled. We are very pleased to support readers in providing the most useful and accurate reference information to the best of our ability!