On April 19, 2021, the Government issued Decree 52/2021/ND-CP on extension of time limit for payment of value added tax, corporate income tax, personal income tax and land rental in 2021. (“Decree 52“), accordingly, Small and medium-sized enterprises (SMEs) are one of the subjects to be applied Decree 52.

However, to apply the tax extension policy in 2021, what procedures should SMEs carry out?

– Decree 52/2021 stipulates that “Taxpayers determine by themselves and take responsibility for the request for extension to ensure the right subject is extended under this Decree.” The appendix attached to Decree No. 52/2021 on the Form of Application for deferred tax payment and land rental records: “Taxpayers must determine by themselves according to the provisions of the Law on support for SMEs No. 04/2017/QH14 and Decree No. 39/2018/ND-CP dated 11/3/2018 detailing a number of articles of the Law on Support for SMEs.”

– According to Article 11 of the Government’s Decree No. 39/2018/ND-CP dated March 11, 2018, detailing a number of articles of the Law on support for SMEs stipulates:

              “Article 11. Determination and declaration of small and medium enterprises

1.a SME shall base itself on the form provided in the Appendix enclosed herewith to self-determine and declare its size as a micro-enterprise or a small or medium-sized enterprise and submit it to the agency, organizations support SMEs. SMEs are responsible before the law for the declaration. ”

From the information cited above, to apply the tax extension policy in 2021, SMEs should:

Prepare: (1) Declaration identifying micro-enterprise, small-sized enterprise, medium-sized enterprise; (2) Request for extension of tax and land rental payment. Then, provide these documents to the Tax Authority to prove you’re a SME.

Decree 52 takes effect from the signing date, which is April 19, 2021.

Hope the above information is helpful to The Esteemed Readers.

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