Is authorization granted for dissolving businesses that do not have revenue or have not paid salaries?

Xuyên Đông |

On the Ministry of Finance's Information Portal, readers reflected on the issue of making power of attorney when dissolving a business without generating revenue or paying salaries.

A reader sent a question to the Ministry of Finance's Electronic Information Portal regarding the authorization of enterprise dissolution procedures in cases where enterprises have not generated revenue, expenses and have not paid salaries to employees.

According to reports, the enterprise has issued a written authorization to an individual to represent the company in carrying out all dissolution procedures at the tax authority.

The content of the power of attorney clearly states that the authorized person has the right to sign working minutes, minutes of administrative violations, minutes of tax law violations made by the tax authority; provide relevant documents; pay taxes, fines and late payment interest (if any).

However, when working at the tax authority in Ho Chi Minh City, the authorized individual is instructed that the legal representative of the enterprise must directly come to work with the tax authority, and the authorized person does not have the right to sign relevant administrative records.

Readers request the agency to inform them whether the person with the power of attorney can directly carry out the dissolution procedures?

Regarding this content, the tax authority answers as follows:

Clause 1, Article 138 of the 2015 Civil Code stipulates that individuals and legal entities can authorize other individuals or legal entities to establish and carry out civil transactions.

In addition, Clause 1, Article 12 of the 2020 Enterprise Law stipulates that the legal representative of the enterprise is an individual representing the enterprise to exercise the rights and obligations arising from the enterprise's transactions as well as other rights and obligations as prescribed by law.

In addition, Clause 9, Article 17 of the 2019 Law on Tax Administration stipulates that taxpayers are still responsible for fulfilling tax obligations according to the provisions of law in cases where legal representatives or authorized representatives on behalf of taxpayers carry out tax procedures not in accordance with regulations.

Based on the above legal grounds, the tax authority said that the company is an independent legal entity operating in accordance with the law.

Due to having legal status, the enterprise has the full right to make a power of attorney to assign another individual to represent the company in carrying out procedures and submitting dissolution dossiers to the tax authority in accordance with regulations.

Xuyên Đông
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