On December 10, 2025, the 15th National Assembly, the 10th session, passed the 2025 Tax Administration Law, effective from July 1, 2026.
Accordingly, the principle of sanctioning administrative violations in tax management is stipulated in Article 44 of the 2025 Tax Administration Law as follows:
- The sanctioning of administrative violations of tax management is carried out in accordance with the provisions of the law on tax management and the law on handling administrative violations.
- In case of not sanctioning administrative violations of tax management:
+ In case taxpayers have incorrect declarations as prescribed in Clause 2, Article 45 of this Law but have supplemented tax declaration dossiers and have voluntarily paid the full amount of tax payable before the time the tax authority announces the tax inspection decision, another competent authority announces the inspection and examination decision at the taxpayer's headquarters or before the time the tax authority discovers it without tax inspection at the taxpayer's headquarters or before another competent authority discovers it; individuals directly finalizing personal income tax are late in submitting personal income tax finalization dossiers that generate the amount of tax refunded and other cases not subject to administrative penalties as prescribed in this Law, other relevant legal regulations and other cases as prescribed by the Government;
+ In case the taxpayer has declared incorrectly as prescribed in Clause 3, Article 45 of this Law but has declared additionally before the time the customs authority notifies the direct inspection of customs dossiers for goods undergoing customs procedures; The taxpayer declares additionally within 60 days from the date of customs clearance and before the time of the inspection and examination decision for goods that have been cleared, post-customs clearance inspection and other cases as prescribed by the Government.
- The application of fines in handling administrative violations of tax management is implemented as follows:
+ A fine of 10% calculated on the amount of tax declared missing the amount of tax payable or the amount of tax declared increased in cases of exemption, reduction, refund, and non-collection of tax for acts specified in point a, clause 3, Article 45 of this Law;
+ A fine of 20% calculated on the amount of tax declared to be less than the amount of tax payable or the amount of tax declared to be increased in cases of exemption, reduction, refund, and non-collection of tax for acts specified in Clause 2 and Points b, c, Clause 3, Article 45 of this Law;
+ A fine of 01 to 03 times the amount of tax evasion for the act specified in Clause 4, Article 45 of this Law.
- For the same administrative violation of tax management, the fine level for organizations is equal to 02 times the fine level for individuals. Specifically, for acts of incorrect declaration leading to a shortage of tax payable or an increase in the amount of tax exempted, reduced, refunded, and not collected, and acts of tax evasion, the fine level does not distinguish between organizations and individuals.
- In case the taxpayer is taxed according to the provisions of Article 24 and Article 25 of this Law, depending on the nature and severity of the violation, they may be administratively sanctioned for tax management violations according to the provisions of this Law.
- In case of violations of tax management laws to the extent of criminal prosecution, it shall be implemented in accordance with the provisions of criminal law.
- For acts of violating tax procedures, the statute of limitations for penalties is 02 years. For acts of tax evasion not yet to the extent of criminal prosecution, acts of false declaration leading to a shortage of tax payable or an increase in the amount of tax exempted, reduced, refunded, and not collected, the statute of limitations for penalties is 05 years. The time to calculate the statute of limitations for administrative violations shall be implemented according to the provisions of law on handling administrative violations.
- Exceeding the statute of limitations for administrative violations of tax management, taxpayers are not penalized but must still pay the full amount of tax arrears, tax evasions, tax amounts exempted, reduced, refunded, not collected incorrectly, and late payments to the state budget within 10 years or earlier from the date of discovery of the violation. In case the taxpayer does not register for tax, they must pay the full amount of tax arrears, tax evasions, and late payments for the entire period or earlier from the date of discovery of the violation.
- Taxpayers who are fined for administrative violations of tax management and suffer damage in cases of force majeure specified in Clause 21, Article 4 of this Law are exempt from fines. The total amount of exemption is not more than the value of damaged assets and goods. No exemption from fines for administrative violations of tax management is granted for cases where the decision to sanction administrative violations of tax management of the tax management agency or competent state agency has been completed.
