According to Article 13 of Decree 125/2020/ND-CP, amended at point a, clause 10, Article 1 of Decree 310/2025/ND-CP, business households and individual businesses that are late in submitting declaration form 01/TKN-CNKD will be penalized depending on the late payment period.
According to regulations, the penalty level for business households is as follows:
- Warning if tax declaration dossiers are submitted more than 1-5 days late and there are mitigating circumstances.
- A fine of 1-2.5 million VND if submitting tax declaration documents more than 1-30 days late.
- A fine of VND 2.5-4 million if submitting tax declaration documents more than 31-60 days overdue.
- A fine of 4-7.5 million VND if submitting tax declaration documents more than 61-90 days; or submitting tax declaration documents more than 91 days but not incurring the tax payable amount.
- A fine of 7.5-12.5 million VND if tax declaration dossiers are submitted more than 90 days from the expiration date, there is a tax amount to be paid and the taxpayer has paid enough tax and late payment money into the state budget before the tax authority announces the tax inspection decision, the competent authority announces the inspection and examination decision or before the tax authority makes a record of late payment of tax declaration dossiers.
It is noteworthy that if the fine amount according to the above regulations is greater than the tax amount incurred on the tax return, the maximum fine level is equal to the tax amount incurred and payable on the tax return or the total tax amount incurred and payable on the tax returns in the cases specified in point b, clause 3, Article 5 of Decree 125/2020/ND-CP.
However, the fine level must not be lower than the average of the fine frame specified in Clause 4, Article 13 of Decree 125/2020/ND-CP.
In addition, according to point a, clause 4, Article 7 of Decree 125/2020/ND-CP, the penalties specified in Article 13 are the level applicable to organizations. For taxpayers who are households and business households, the penalty level is applied as for individuals. Therefore, the above penalties have been determined according to the level applied to business households.
