Official letter No. 1311/TCHQ-TXNK dated March 3rd, 2020 of the General Department of Vietnam Customs regarding settlement of tax arrears
According to the accounting system of the customs profession, number of days of late payment of tax is calculated according to the following formula:
Number of days used for calculating interest on late payment = Total number of days counted from the date incurring the payable amount to the date the enterprise pays tax – 2 days
“2 days” in the aforesaid formula are the day following the last date of the tax payment time limit and the day preceding the date the enterprise pays tax)
Example 1: March 1st is the last date for tax payment and March 3rd is the date the enterprise pays tax.
Number of days of late payment is calculated as follows:
From March 1st to March 3rd is counted 3 days
Minus 2 days according to the aforesaid formula, the number of days of late payment is 1 day
Similarly, if April 30 is the last date for tax payment and until May 31st enterprise pays tax, the period from April 30th – May 31st is 32 days. The number of days of late payment in this case is: 32 – 2 = 30 days.