Pursuant to Article 5 of Circular 40/2021/TT-BTC, the tax calculation method for business households paying tax according to the declaration method is stipulated as follows:
1. The declaration method applies to business households and individuals doing large-scale business; and business households and individuals do not meet the large-scale requirements but choose to pay taxes according to the declaration method.
2. Business households and individuals pay taxes according to the method of declaration and tax declaration every month, except for cases where newly established business households and business households and individuals meet the criteria for quarterly tax declaration and choose to declare taxes quarterly as prescribed in Article 9 of Decree No. 126/2020/ND-CP dated October 19, 2020 of the Government.
3. Business households and individuals who pay taxes by declaration method if determining that taxable revenue is not suitable for reality, the tax authority shall stamp the taxable revenue according to the provisions of Article 50 of the Law on Tax Administration.
4. Business households and individuals paying taxes according to the declaration method must implement accounting, invoice, and document regimes. In case a business household or individual doing business in a field or profession has a basis for determining revenue according to the confirmation of the competent authority, they do not have to apply accounting regimes.
5. Business households and individuals paying taxes according to the declaration method do not have to settle taxes.
Thus, all business households that pay taxes according to the declaration method must declare taxes monthly. Except for cases where new business households are in business and cases where business households meet the conditions for quarterly tax declaration and choose to declare quarterly according to regulations.
