On August 12th, the State Bank of Vietnam issued Official Letter No. 5454/NHNN-TTGSNH to credit institutions and branches of foreign banks, requesting their cooperation in providing account information to tax authorities in accordance with government regulations.
Requiring credit institutions to provide information to the tax authorities.
Previously, the General Department of Taxation had sent a document requesting commercial banks and branches of foreign banks to provide information on taxpayers' accounts in accordance with Government Decree 126/2020 guiding the Law on Tax Administration.
Based on the official letter from the General Department of Taxation, the State Bank of Vietnam has requested credit institutions and branches of foreign banks to cooperate with the tax authorities as stipulated in:
- The 2019 Tax Administration Law stipulates the duties, powers, and responsibilities of credit institutions and commercial banks in providing taxpayer information.
- Decree 126/2020/ND-CP, which details some provisions of the Law on Tax Administration, stipulates that banks provide information such as account transactions, balances, and transaction data of taxpayers upon request from the tax authorities. The tax authorities use this information for inspection and auditing purposes, determining tax obligations, and are fully responsible for the security of taxpayers' account information.
- Government Decree 117/2018/ND-CP stipulates the principles for maintaining confidentiality and providing customer information by credit institutions, branches of foreign banks, and state agencies.
- Circulars and guidance documents from the Ministry of Finance (General Department of Taxation) regarding the provision of information in accordance with regulations.
5 important legal regulations in the State Bank of Vietnam's official document.
In Official Letter No. 5454/NHNN-TTGSNH, the State Bank of Vietnam clearly states the relevant laws requiring banks to provide account information to tax authorities in accordance with regulations:
first Clause 2, Article 27 of the 2019 Law on Tax Administration stipulates the duties and powers of commercial banks in providing information on account numbers based on the taxpayer's tax identification number when opening an account; Point a, Clause 2, Article 98 of the 2019 Law on Tax Administration stipulates the responsibility of commercial banks in providing information on transactions through taxpayer accounts; Article 129 of the 2019 Law on Tax Administration stipulates the enforcement and freezing of accounts to execute administrative decisions on tax administration.
Monday Article 30 of Decree 126 stipulates the duties and powers of commercial banks and payment intermediary service providers; Clause 4 of Article 31 of Decree 126 stipulates the responsibilities of credit institutions where organizations or individuals subject to enforcement measures open accounts.
Tuesday According to Decree 117, Article 4 stipulates the confidentiality and provision of customer information; Articles 6, 7, 8, and 9 regulate the form, time limit, order, procedures, and documents for requesting information; Clause 9 of Article 10 regulates the authority of units under the Tax Administration to sign documents requesting customer information; Point a, Clause 1 of Article 11 stipulates the cases requiring customer information; Clause 2 of Article 14 regulates the rights, obligations, and responsibilities of credit institutions and branches of foreign banks; Article 15 regulates the rights, obligations, and responsibilities of State agencies, other organizations, and individuals involved in requesting customer information from credit institutions.
Wednesday Article 81 of Circular 80/2021/TT-BTC of the Ministry of Finance stipulates the responsibilities of organizations and individuals in Vietnam involved in purchasing goods and services from foreign suppliers.
ThursdayOfficial document No. 1305/TCT-KK issued on April 26, 2022, by the General Department of Taxation requests the implementation of providing taxpayer account information as stipulated in Decree 126. Specifically, it instructs commercial banks and branches of foreign banks to provide taxpayer account information as prescribed in points a and b, Clause 2, Article 30 of Decree 126.
