When should the tax accounting period be closed? What are regulations on storage and supply of accounting information in Vietnam?

When should the tax accounting period be closed in Vietnam?

Based on Clause 3, Article 8 of Circular 111/2021/TT-BTC💧, which regulates the opening and closing of the tax accounting period, the content is as follows:

Tax Accounting Period

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3. Opening and Closing of the Tax Accounting Period

a) Opening the tax accounting period involves establishing an open state on the Tax Accounting Subsystem from the start date of the tax accounting period mentioned in Clause 1 of this Article for a tax accounting period to perform the updating of input data information of tax accounting, updating tax accounting documents, recording tax accounting in the books, or correcting, deleting data on the tax accounting books of the Tax Accounting Subsystem.

b) Closing the tax accounting period involves establishing a closed state on the Tax Accounting Subsystem for a tax accounting period so as not to update input data information of tax accounting, not update tax accounting documents, and not correct or delete data on the tax accounting books of the Tax Accounting Subsystem.

c) The time for closing the tax accounting period is the last day of the third month from the end of the accounting period. In case the closing date coincides with a holiday as regulated, the closing day of the accounting period shall be the next working day following that holiday. In the event that the closing date needs to be postponed due to objective reasons, the approval of the General Department of Taxation is required.

From the end of the tax accounting period to the closing time of the accounting period, all adjusted tax accounting data is recorded according to the fiscal year information stipulated in Clauses 1 and 2 of this Article.

From the closing of the accounting period until the tax accounting report is approved by a competent authority, tax authorities are only allowed to adjust fiscal year data upon request by a competent authority or adjust data for any errors discovered by the tax authorities provided approval from the General Department of Taxation and record according to the fiscal year information stipulated in Clauses 1 and 2 of this Article.

d) Mistakes in accounting data not adjusted into the tax accounting period according to the fiscal year information mentioned above are recorded into the current year's tax accounting period, and supplementary fiscal year information with the value "01" is added to serve as a basis for explanation on the current year's tax accounting report.

⛦The closing of the tax accounting period involves establishing a closed state on the Tax Accounting Subsystem for a tax accounting period so as not to update input data information of tax accounting, not update tax accounting documents, and not correct or delete data on the tax accounting books of the Tax Accounting Subsystem.

The time for closing the tax accounting period is the last day of the third month from the end of the accounting period.

ไIn case the closing date coincides with a holiday as regulated, the closing day of the accounting period shall be the next working day following that holiday. In the event that the closing date needs to be postponed due to objective reasons, the approval of the General Department of Taxation is required.

When should the tax accounting period be closed? What are regulations on storage and supply of accounting information in Vietnam? (Image from Internet)

What are regulations on storage and supply of accounting information in Vietnam?

Based on Article 9 of Circular 111/2021/TT-BTC🦩 regarding the storage and provision of information, accounting documents are as follows:

ꦇ- Tax accounting documents include input information of tax accounting, tax accounting vouchers, tax accounting books, tax accounting reports, and other related documents associated with tax accounting operations expressed in electronic data form stored according to regulations of accounting law.

🥃Input data before being collected into the Tax Accounting Subsystem is stored on the Taxpayer Obligation Management Subsystem and tax management operation subsystems under the Tax Management Application System as regulated by the Director General of the General Department of Taxation. The General Department of Taxation is responsible for ensuring accessible storage for tracing input information sources of tax accounting.

൲- Provision of information, tax accounting documents

🧔+ The provision of information, accounting documents is carried out in accordance with accounting law and tax management law.

𝕴+ Provided information, tax accounting documents include receivables, received amounts, remaining receivables, payables, paid amounts, outstanding payables, exemptions, reductions, debt rescheduling, debt write-offs managed by the tax authority and other related information included in the indicators of tax accounting reports as specified in this Circular.

What are the contents of tax accounting operations in Vietnam?

Based on Article 6 of Circular 111/2021/TT-BTC🔯, tax accounting operations are one of the tax management functions of tax authorities at all levels executed systematically and continuously according to tax management operation procedures on the Tax Management Application System, including the Tax Accounting Subsystem.

💛Tax accounting operations include the following tasks:

🔴- Collecting input information for tax accounting and preparing tax accounting documents

+ Collecting input information of tax accounting is an automated task of the Tax Accounting Subsystem connected with the Taxpayer Obligation Management Subsystem as regulated in Articles 12, 13, 14, and 15 of Circular 111/2021/TT-BTC⛎ to fully determine the accounting content of each tax accounting account.

🌊+ In cases where tax accounting records are not made through the input information collection process of the Tax Accounting Subsystem, officials conducting tax accounting operations shall prepare tax accounting documents as regulated in Article 16 of this Circular.

- Recording tax accounting books is an automated task of tax accounting performed by the Tax Accounting Subsystem to document input information and tax accounting documents specified in Clause 1 of this Article to account for tax accounting, reflecting tax management operations occurring in the tax accounting period, including opening, recording, closing, revising accounting books as prescribed in Section 3, Chapter II of Circular 111/2021/TT-BTC.

- Preparing tax accounting reports is an automated task of tax accounting by the Tax Accounting Subsystem or by officials performing tax accounting operations to compile the tax management activity results of tax authorities at all levels (including taxes collectible, collected, pending, refundable, refunded, outstanding refunds, exemptions, reductions, debt rolling, debt write-offs) as defined in Section 4, Chapter II of Circular 111/2021/TT-BTC.

- Storing and providing information, tax accounting documents is the responsibility of tax accounting conducted as stipulated in Article 9 of Circular 111/2021/TT-BTC.