On March 22, 2024, Hanoi Tax Department issued Official Letter No. 14116/CTHN-TTHT:
A company has dependent branches in different provinces or cities from its head office, tax declaration and payment shall be conducted as follows:
Licensing fee:
The branch is required to pay the licensing fee as required in Article 2 of Government Decree No. 139/2016/ND-CP. The location for submitting shall be implemented according to the provisions of Article 11.1 of Government Decree No. 126/2020/ND-CP dated October 19, 2020.
Value-added tax:
The dependent branch conducts business activities without fully tracking and recording the input and output value-added tax (VAT), the head office shall be responsible for declaring and submitting the VAT declaration of both the Company and the branches in other provinces to the tax authority directly managing the head office, as stipulated in Article 11.1 and Article 11.2 of Government Decree No. 126/2020/ND-CP.
The dependent unit directly sells goods, using invoices registered by the dependent unit or registered by the taxpayer with the tax authority managing the dependent unit, and fully tracks and records the input and output value-added tax (VAT), the dependent unit shall declare and pay VAT to the tax authority directly managing the branch, as stipulated in Article 13.4 of Circular No. 80/2021/TT-BTC issued by the Ministry of Finance.
