Pursuant to Point b, Clause 4, Article 13 of Circular 40/2021/TT-BTC, there are regulations on tax management for contract households as follows:
Determining revenue and contract tax rate
Revenue and contract tax rates are calculated according to the calendar year or month for cases of seasonal business and stable in one year.
The contracting household shall determine the revenue for calculating contract tax in the year on the Tax Declaration according to form No. 01/CNKD issued with this Circular.
In case the contract household cannot determine the contract revenue, does not submit tax declaration or the contract tax calculation revenue is determined to be unsuitable to the actual business situation, the tax authority shall establish the revenue and determine the contract tax rate according to the provisions of Article 51 of the Law on Tax Administration.
Based on the tax declaration records of the contracting household and the database of the tax authority to collect public opinions, consult opinions of the Tax Advisory Council and as a basis for the Tax Department to direct and review the establishment of Tax Departments at each Tax Branch.
Adjusting revenue and contract tax rates
For contracts in a year that propose to adjust revenue and contract tax rates due to changes in business operations, the tax authority will adjust the contract tax rates according to the provisions of Clause 3, Article 51 of the Law on Tax Administration from the time of change. Specifically as follows:
Contractors changing business scale (business area, labor used, revenue): Open adjustment and supplementation of Tax Declaration according to form No. 01/CNKD issued with this Circular.
The tax authority shall base on the tax declaration of the contract household or the tax authority's database if determining that the contract revenue changes by 50% or more compared to the contract revenue, issue a Notice (Form No. 01/TB-CNKD issued with Decree No. 126/2020/ND-CP) on adjusting the contract tax rate from the time of change in the tax calculation year.
In case the tax authority's database, verification, inspection and examination data have a basis to determine that the contract household does not meet the conditions for adjusting the contract tax rate according to regulations, the tax authority shall issue a Notice on not adjusting the contract tax rate according to form No. 01/TBKDC-CNKD issued with this Circular.
Households change business locations: Change tax registration information according to regulations and carry out tax declaration procedures at new locations as for newly established business households.
The tax authority shall base on the dossier to change the tax registration information for handling according to regulations. The tax authority managing the place where the contract household transfers will process the tax declaration documents of the contract household as for newly issued contracts.
The tax authority managing the place where the contract household is transferred shall issue a Notice (Form No. 01/TB-CNKD issued with Decree No. 126/2020/ND-CP) on adjusting the contract tax rate down from the time of change in the tax calculation year.
Households changing their business lines and fields (including cases where the rate and tax rate are not changed): Households must carry out procedures to change tax registration information according to regulations (if there is a change in business lines and fields compared to tax registration), and at the same time, prepare and supplement the Tax Declaration according to form No. 01/CNKD issued with this Circular.
The tax authority shall base on the results of handling the dossier for changing tax registration information (if any) and the tax declaration dossier of the contracting household and the tax authority's database to issue a Notice (Form No. 01/TB-CNKD issued with Decree No. 126/2020/ND-CP) on the actual adjustment of the contract tax rate (if any) from the time of change in the tax calculation year.
