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Thanh Hoa Dao

Thanh Hoa Dao is a special counsel in Baker McKenzie's Ho Chi Minh office. Prior to joining Baker and McKenzie, she worked as legal counsel at one of the Big Four firms.

Following the National Assembly’s adoption of the Law on Tax Administration, the Vietnam Ministry of Finance just issued Circular No. 80/2021/TT-BTC to provide implementing guidelines on the Law on Tax Administration and Government Decree No. 126/2020/ND-CP. One of the important provisions under Circular 80 is tax administration with respect to e-commerce business, digital-based business and other services of overseas suppliers without having a permanent establishment in Vietnam.

On 5 November 2020, the government issued Decree No. 132/2020/ND-CP (“Decree 132”) providing tax administration for enterprises with related party transactions.

Decree 132 will take effect on 20 December 2020 and it will replace Decree 20/2017/ND-CP (“Decree 20”) and Decree 68/2020/ND-CP (“Decree 68”). Decree 132 is applicable for the corporate income tax year 2020 onward.

On 19 October 2020, the government issued Decree No. 126/2020/ND-CP guiding some provisions of the Law on Tax Administration (“Decree No. 126”), to be effective on 5 December 2020. 

Decree No. 126 covers, the tax declaration and calculation; timeline for tax declaration and payment; tax assessment; tax refund; late payment interest and fines; rights and obligations of tax authorities and taxpayers; obligations of commercial banks and payment intermediary service providers in withholding and paying tax on behalf of offshore e-commerce suppliers; enforcement; and other issues.