Personal Income Tax (PIT) – it is very important for employees and is a tax that they are very concerned about today. However, there are still many people who wonder what is personal income tax or what to do, what is the process when finalizing personal income tax (PIT). Paying taxes is the right and duty of every citizen. Understanding and knowing what to note about PIT will help you properly perform your rights and obligations. Through the article, Pham Consult will give some notes to make it easier for you to finalize your personal income tax!

 

 

WHAT IS PERSONAL INCOME TAX FINALIZATION ?

Personal income tax finalization means that individuals earning taxable income from salaries and wages self-settle or authorize the income payer to declare the PIT amount in a tax year with the agency. Tax on issues including: additional tax to be paid, refund of overpaid tax and tax offset in the next period.

TYPES OF PERSONAL INCOME TAX

– Business income
– Income from capital transfer
– Income from real estate transfers
– Income from winning prizes in money or in kind
– Royalty income

PIT FINALIZATION DECLARATION IN 2022

1. FOR INDIVIDUALS WHO DECLARE PIT FINALIZATION DIRECTLY WITH TAX AUTHORITIES, PIT FINALIZATION DOSSIERS INCLUDE:

– Personal income tax finalization declaration form No. 02/QTT-TNCN issued together with Appendix II of Circular 80/2021/TT-BTC.
– Appendix to list of deductions for dependents, form No. 02-1/BK-QTT-TNCN issued together with Appendix II of Circular 80/2021/TT-BTC.
– Copies (photocopies from the original) of documents proving the tax amount deducted, temporarily paid in the year, tax paid abroad (if any). In case the income paying organization fails to issue tax withholding documents to individuals because the income paying organization has ceased to operate, the tax authority shall base on the tax branch’s database to consider and process the final settlement dossier. tax for individuals without required tax withholding documents. In case an organization or individual pays income using an electronic PIT withholding document, the taxpayer shall use the copy of the electronic PIT withholding document (the paper copy is converted from the taxpayer’s self-printed form). original electronic PIT withholding documents sent to taxpayers by income-paying organizations and individuals).
– A copy of the tax withholding certificate (specifying which income tax declaration has been paid) issued by the income paying agency or a copy of the bank statement for the tax amount paid abroad, certified by the taxpayer. taxpayers in cases where, according to the provisions of foreign laws, the foreign tax offices do not issue certificates of paid tax amounts.
– Copies of invoices and vouchers evidencing contributions to charity funds, humanitarian funds, study promotion funds (if any).
– Documents proving the amount paid by the unit or organization paying income abroad in case the individual receives income from international organizations, Embassies, Consulates and receives income from foreign countries. outside.
– Dossier for registration of dependents as guided at Point a, Clause 3, Section III of Official Letter 883/TCT-DNNCN (if deduction is calculated for dependents at the time of tax finalization for dependents who have not yet registered). Dependent person).

2. FOR INCOME-PAYING ORGANIZATIONS AND INDIVIDUALS, THE PIT FINALIZATION DECLARATION IS AS FOLLOWS:

– Personal income tax finalization declaration form No. 05/QTT-TNCN issued together with Appendix II of Circular 80/2021/TT-BTC.
– Appendix of a detailed list of individuals subject to tax according to the progressive partial schedule, form No. 05-1/BK-QTT-TNCN issued together with Appendix II of Circular 80/2021/TT-BTC.
– Appendix of a detailed list of individuals subject to tax at the full tax rate, form No. 05-2/BK-QTT-TNCN issued together with Appendix II of Circular 80/2021/TT-BTC.
– Appendix of detailed list of dependents for family deduction, form No. 05-3/BK-QTT-TNCN issued together with Appendix II of Circular 80/2021/TT-BTCfor personal income tax finalization from the tax period of 2021 according to the form No. 08/UQ-QTT-TNCN issued. issued together with Appendix II of Circular 80/2021/TT-BTC.

For details, see Official Letter 883/TCT-DNNCN issued on March 24, 2022.

 

PHAM CONSULT is always ready to accompany you in the management of records and procedures for PIT finalization.

PHAM CONSULT is a unit specializing in providing tax consulting services, financial consulting, accounting services, preparing and paying salaries. Customers can contact us via hotline: (84-28) 3930 2487 or Facebook communication channel: http://bit.ly/phamconsult if you need support.