What are 02 amendments to Decree 132/2020 under Decree 20/2025 vtv5 trực tiếp bóng đá hôm nay Vietnam?
What are 02 amendments toDecree 132/2020 under Decree 20/2025 vtv5 trực tiếp bóng đá hôm nay Vietnam?
The Government vtv5 trực tiếp bóng đá hôm nay Vietnam has issued Decree 20/2025/ND-CP...Downloadamending and supplementing several articles vtv5 trực tiếp bóng đá hôm nay Decree 132/2020/ND-CP vtv5 trực tiếp bóng đá hôm nay the Government vtv5 trực tiếp bóng đá hôm nay Vietnam on tax management for enterprises with related-party transactions. Decree 20 vtv5 trực tiếp bóng đá hôm nay 2025 will take effect from March 27, 2025.
Based on the contents vtv5 trực tiếp bóng đá hôm nay Decree 20/2025/ND-CP...Download, there are two major amendments compared toDecree 132/2020/ND-CPas follows:
(1) Amendments to the provisions on determining related parties
Amendment and supplementation vtv5 trực tiếp bóng đá hôm nay point d, point k, and addition vtv5 trực tiếp bóng đá hôm nay point m, clause 2, Article 5 vtv5 trực tiếp bóng đá hôm nayDecree 132/2020/ND-CP.
- Amendment and supplementation vtv5 trực tiếp bóng đá hôm nay point d, clause 2, Article 5 vtv5 trực tiếp bóng đá hôm nayDecree 132/2020/ND-CPas follows:
An enterprise guarantees or loans to another enterprise in any form (including third-party loans secured from the financial resources vtv5 trực tiếp bóng đá hôm nay a related party and equivalent financial transactions) provided that the total loan balance vtv5 trực tiếp bóng đá hôm nay the borrowing enterprise with the lending or guaranteeing enterprise is at least 25% vtv5 trực tiếp bóng đá hôm nay the owner's equity vtv5 trực tiếp bóng đá hôm nay the borrowing enterprise and accounts for over 50% vtv5 trực tiếp bóng đá hôm nay the total medium and long-term debt balance vtv5 trực tiếp bóng đá hôm nay the borrowing enterprise.
The provisions vtv5 trực tiếp bóng đá hôm nay point d in this clause do not apply in the following cases:
+ The guarantor or lender is an economic organization operating under the regulations vtv5 trực tiếp bóng đá hôm nay the Law on Credit Institutions, not directly or indirectly involved in managing, controlling, contributing capital to, or investing in the borrowing enterprise or the enterprise being guaranteed according to the provisions at points a, c, d, e, g, h, k, 1, and m, clause 2, Article 5 vtv5 trực tiếp bóng đá hôm nayDecree 132/2020/ND-CP.
+ The guarantor or lender is an economic organization operating under the regulations vtv5 trực tiếp bóng đá hôm nay the Law on Credit Institutions, and the borrowing enterprise or guaranteed enterprise is not directly or indirectly under the joint management, control, capital contribution, or investment vtv5 trực tiếp bóng đá hôm nay another party as regulated at points b, e, and i, clause 2, Article 5 vtv5 trực tiếp bóng đá hôm nayDecree 132/2020/ND-CP.
- Amendment and supplementation vtv5 trực tiếp bóng đá hôm nay point k, clause 2, Article 5 vtv5 trực tiếp bóng đá hôm nayDecree 132/2020/ND-CPas follows:
Other cases in which an enterprise (including independently accounting branches declaring and paying corporate income tax) is under the management, control, or actual decision-making regarding the business activities vtv5 trực tiếp bóng đá hôm nay the other enterprise;"
- Supplementation vtv5 trực tiếp bóng đá hôm nay point m, clause 2, Article 5 vtv5 trực tiếp bóng đá hôm nayDecree 132/2020/ND-CPas follows:
Credit institutions with subsidiaries or with controlling companies or with associated companies vtv5 trực tiếp bóng đá hôm nay the credit institution in accordance with the Law on Credit Institutions and amending, supplementing, or replacing documents (if any);"
(2) Replacement vtv5 trực tiếp bóng đá hôm nay Appendix 1 on Information on Related Relations and Transactions
Decree 20/2025/ND-CP has replaced Appendix 1 on Information on Related Relations and Transactions issued withDecree 132/2020/ND-CP.
This change helps enhance transparency in tax management related to transactions and ensures fairness in the corporate tax system.
What are 02 amendments to Decree 132/2020 under Decree 20/2025 vtv5 trực tiếp bóng đá hôm nay Vietnam?(Image from the Internet)
What transactions are considered related-party transactions in Vietnam?
Based on clause 2, Article 1 vtv5 trực tiếp bóng đá hôm nayDecree 132/2020/ND-CP, related-party transactions include:
- Transactions vtv5 trực tiếp bóng đá hôm nay buying, selling, exchanging, leasing, subleasing, borrowing, lending, transferring, or assigning goods and providing services.
- Borrowing, lending, financial services, financial guarantees, and other financial instruments.
- Buying, selling, exchanging, leasing, subleasing, borrowing, lending, transferring, or assigning tangible and intangible assets, and agreements for joint use vtv5 trực tiếp bóng đá hôm nay resources such as assets, capital, labor, and cost-sharing between related parties, excluding business transactions subject to government pricing control as stipulated by the pricing law.
What are responsibilities and authority vtv5 trực tiếp bóng đá hôm nay tax suthorities in managing related-party transactions in Vietnam?
According to Article 20 vtv5 trực tiếp bóng đá hôm nayDecree 132/2020/ND-CP, the responsibilities and authority vtv5 trực tiếp bóng đá hôm nay tax authorities in managing related-party transactions are defined as follows:
- Applying risk management in tax management related to related-party transactions as provided by tax laws.
+ Managing and using information from taxpayers with related-party transactions to serve risk management.
+ Applying risk management in planning audits and inspections vtv5 trực tiếp bóng đá hôm nay enterprises with related-party relationships and transactions.
+ Managing and using Country-by-Country Profit Reports vtv5 trực tiếp bóng đá hôm nay taxpayers to serve risk management and information exchange according to the regulations and commitments vtv5 trực tiếp bóng đá hôm nay Vietnam under international tax agreements, without using them for tax reassessment.
- The tax authority, based on principles vtv5 trực tiếp bóng đá hôm nay analysis, comparison, principles, and methods vtv5 trực tiếp bóng đá hôm nay determining transfer prices as stipulated in this Decree, will use the tax declaration information vtv5 trực tiếp bóng đá hôm nay enterprises with related-party transactions to determine tax in the following cases:
+ Taxpayers violating tax law but fully implementing accounting, invoicing, and documentation policies: The determination vtv5 trực tiếp bóng đá hôm nay revenue, costs, or taxable income to delineate tax obligations will follow analytical principles, comparison, methods vtv5 trực tiếp bóng đá hôm nay determining transfer prices, and database usage as stipulated in this Decree.
+ Other cases as stipulated in clause 2, Article 50 vtv5 trực tiếp bóng đá hôm nay theTax Administration Law 2019dated June 13, 2019.
+ The tax authority is responsible for facilitating taxpayers to prove and explain figures, data on independent comparable objects used in the related-party transactions Documentation.
- The tax authority has the power to determine prices, profit margins, profit allocation ratios, taxable income, or the corporate income tax payable for taxpayers not complying with the declaration regulations, determination vtv5 trực tiếp bóng đá hôm nay related-party transactions; not providing or insufficiently providing information, data related to the declaration and determination vtv5 trực tiếp bóng đá hôm nay transfer prices in the following cases:
+ Taxpayers not declaring or incompletely declaring information or failing to submit Appendix I issued withNghị định 132/2020/NĐ-CP.
+ Taxpayers fail to adequately provide information on related-party transactions Documentation as stipulated in Appendix II, Appendix III issued with this Decree or do not present related-party transactions Documentation and data, documents and materials used as a basis for analysis, comparison, and price determination in the related-party transactions Documentation upon request by the Tax Authority within the time limit as perNghị định 132/2020/NĐ-CP. Information in the related-party transactions Documentation is considered material if it influences the results vtv5 trực tiếp bóng đá hôm nay selecting comparable independent objects; the related-party transactions determination method or results vtv5 trực tiếp bóng đá hôm nay price, profit margin, or profit allocation adjustment vtv5 trực tiếp bóng đá hôm nay taxpayers.
+ Taxpayers using untruthful or unrealistic information about independent transactions for analysis, comparison, declaration in related-party transactions determination, or relying on unlawful, improper, or unidentified sources to determine prices, profit margins, or profit allocation ratios for related-party transactions.
+ Taxpayers commit acts violating the regulations on related-party transactions determination under Article 19 vtv5 trực tiếp bóng đá hôm nay this Decree.
+ The database used for tax determination is implemented under the provisions vtv5 trực tiếp bóng đá hôm nay the Tax Administration LawLuật Quản trực tiếp bóng đádated June 13, 2019.
- Tax authorities must keep confidential the information provided by taxpayers concerning the determination vtv5 trực tiếp bóng đá hôm nay transfer prices as stipulated in this Decree. Information provision to relevant agencies and organizations follows the regulation at clause 5, Article 3 vtv5 trực tiếp bóng đá hôm nayDecree 132/2020/ND-CP.
- Where inspection and audits identify challenges related to mechanisms or policies concerning industries or specialized fields, the Tax Authority obtains opinions from agencies, organizations, and individuals concerned, specifically:
+ Specialized management agencies, professional organizations, and associations.
+ The Tax Authority must provide records, information, and materials related to related-party transaction price determination to specialized agencies being consulted. Consulted agencies and units are responsible for keeping the information confidential as prescribed by law.
- The Tax Authority exchanges information with taxpayers and counterpart Tax Authorities through a pre-consultation process, during, and post-related-party transactions inspections or audits as follows:
+ Where through the application vtv5 trực tiếp bóng đá hôm nay risk management in tax management related to related-party transactions, the Tax Authority deems it necessary to pre-share information with the taxpayer about Appendix I attached toDecree 132/2020/ND-CPand the related-party transactions Documentation vtv5 trực tiếp bóng đá hôm nay the taxpayer, the Tax Authority sends a letter requesting a consultation meeting with the taxpayer to pre-discuss and share information regarding the related-party transactions Documentation vtv5 trực tiếp bóng đá hôm nay the taxpayer as perNghị định 132/2020/NĐ-CP.
+ Where necessary for contact and communication with counterpart Tax Authorities regarding the Country-by-Country Profit Report and other related information, conduct according to bilateral agreement procedures and information exchange terms under relevant tax treaties. If necessary, the Tax Authority notifies the taxpayer in writing about the suspension vtv5 trực tiếp bóng đá hôm nay inspections to proceed with the information exchange with the counterpart Tax Authority in compliance with tax law provisions.
- The Tax Authority implements automatic information exchange mechanisms according to Vietnam's international commitments under tax treaties. Annually, the Tax Authority announces the list vtv5 trực tiếp bóng đá hôm nay foreign Tax Authorities eligible for automatic information exchange concerning taxpayers' Country-by-Country Profit Reports on the electronic information portal vtv5 trực tiếp bóng đá hôm nay the tax industry.
- The Tax Authority makes adjustments in the determination vtv5 trực tiếp bóng đá hôm nay transfer prices per bilateral agreements stipulated in relevant tax treaties.
- In cases where the Tax Authority signs an Advance Pricing Agreement with taxpayers on methods for determining taxable prices, the Tax Authority is responsible for:
+ Managing, inspecting, and auditing related-party transactions not covered by the Advance Pricing Agreement under risk management principles.
+ Managing, inspecting, auditing compliance with the Advance Pricing Agreement on taxable price determination agreed with taxpayers following regulations.
