SOME NOTES ABOUT DOCUMENTS REGARDING FAMILY ALLOWANCES FOR DEPENDENTS - HR DEPT. VIETNAM COMPANY LIMITED

SOME NOTES ABOUT DOCUMENTS REGARDING FAMILY ALLOWANCES FOR DEPENDENTS

1. Family allowances rate

The family allowances rate is specified in Resolution 954/2020/UBTVQH14, specifically as follows:

– The deduction for taxpayers is 11 million VND/month (132 million VND/year);

– The deduction for each dependent is 4.4 million VND/month.

2. Deduction for dependents

To be eligible for deduction for dependents, taxpayers must register for deduction for dependents according to regulations.

If taxpayers have not yet calculated family allowances for dependents in the tax year, deduction for dependents shall be calculated from the month in which the raising obligation arises when the taxpayer makes tax finalization and has registered for family allowances for dependents.

Particularly for other dependents as guided in Item d.4, Point d, Clause 1, Article 9 of Circular 111/2013/TT-BTC, the deadline for registration of family allowances is December 31 of the tax year, past the above time limit, the family allowances for that tax year will not be calculated.

If taxpayers subject to authorization for finalization have not yet calculated family allowances for dependents in the tax year, deduction for dependents shall also be calculated from the month in which the raising obligation arises when the taxpayer makes the authorized finalization and has registered for family allowances for dependents through an income-paying organization.

Employees who work at dependent units, business locations, receiving income from salaries and wages from the head office in another province, can register for family allowances for dependents at the tax authority managing the head office or dependent units, business locations. In case the employee registers for family allowances for dependents at the dependent unit, business location, the dependent unit, business location is responsible for transferring the employee’s documents proving dependent to the head office. The head office is responsible for reviewing and keeping documents proving dependent according to regulations and presenting them to tax authorities for tax inspection and examination.

If the individual changes the workplace, the registration and submission of documents proving dependent must still be carried out under the guidance at Item h.2.1.1.1, Point h, Clause 1, Article 9 of Circular 111/2013/TT-BTC.

3. Documents regarding family allowances for dependents

– For individuals who submit a document for registration of direct dependents at the tax office, the document shall include:

+ Dependent registration form, made according to form No. 07/DK-NPT-TNCN issued together with Appendix II of Circular 80/2021/TT-BTC.

+ Documents proving dependents as guided at Point g, Clause 1, Article 9 of Circular 111/2013/TT-BTC.

+ In case the dependent is directly raised by the taxpayer, it must be certified by the People’s Committee of the commune/ward where the dependent resides, made according to form No. 07/XN-NPT-TNCN issued together with Appendix II of Circular 80/2021/TT-BTC.

– In case an individual registers for family allowances for dependents through an income-paying organization or individual, the individual shall submit a dependent registration document to the income-paying organization or individual:

+ Dependent registration form, made according to form No. 07/DK-NPT-TNCN issued together with Appendix II of Circular 80/2021/TT-BTC.

+ Documents proving dependents as guided at Point g, Clause 1, Article 9 of Circular 111/2013/TT-BTC.

After that, income-paying organizations or individuals summarize it according to the Appendix Summary of dependent registration for the people with family allowances, form no. 07/THDK-NPT-TNCN issued together with Appendix II of Circular 80/2021/TT-BTC and submit it to the tax authority according to regulations.