What is the license fee?

License fees are amounts paid to the state budget by a business, production, service entity, etc. (individual, business household, enterprise). enterprises/companies) must pay annually according to regulations based on the registered charter capital to determine the payment amount (applicable to enterprises/companies) or based on the revenue of the preceding year, Declare revenue to determine fee levels (applicable to individuals and business households).

Who must pay license fees?< /span>

Pursuant to Article 2 of Decree 139/ND-CP dated October 4, 2016 of the Government

License fee payers are organizations and individuals engaged in production and trading of goods and services, except for the cases specified in Article 3 Decree 139/ND-CP, including:

• Enterprises established in accordance with the law.
• Organization established under the Cooperative Law.
• The public service unit is established in accordance with the law.
• Economic organizations of political organizations, socio-political organizations, social organizations, socio-professional organizations, armed units people.
• Other organizations engaged in production and business activities.
• Branches, representative offices and business locations of organizations specified in Clauses 1, 2, 3, 4 and 5 of this Article (if any) ).
• Individuals, groups of individuals, households engaged in production and business activities.

What is the license fee rate?

Pursuant to Article 4 of Circular 302/2016/BTC, Circular 65/2020/BTC, Article 4 of Decree 139/2016/ND-CP guiding Instructions on fees and license fees

I. License fee rates for organizations engaged in production and trading of goods and services are as follows:

• Organizations with charter capital or investment capital of over 10 billion VND: 3,000,000 (three million) VND/year.
• Organizations with charter capital or investment capital of 10 billion VND or less: 2,000,000 (two million) VND/year.
• Branches, representative offices, business locations, public service units, other economic organizations: 1,000,000 (one million) VND/year.

The license fee collection rate for organizations guided in this clause is based on the charter capital recorded in the business registration certificate or recorded in the business registration certificate. Receive business registration or write in the cooperative charter. In case there is no charter capital, it is based on the investment capital stated in the investment registration certificate or investment policy decision document.

II. License fee rates for individuals, groups of individuals, and households engaged in production and trading of goods and services are as follows:

• Individuals, groups of individuals, households with revenue over 500 million VND/year: 1,000,000 (one million) VND/year.
• Individuals, groups of individuals, households with revenue over 300 to 500 million VND/year: 500,000 (five hundred thousand) VND/year.
• Individuals, groups of individuals, households with revenue over 100 to 300 million VND/year: 300,000 (three hundred thousand) VND/year.

What are the cases of license fee exemption according to the latest regulations?

Pursuant to Article 3 of Decree 139/2016/ND-CP, Article 3 of Circular 302/2016/BTC, Decree 22/2020/ND- CP

Cases of license fee exemption include:< /span>

• Individuals, groups of individuals, and households engaged in production and business activities with annual revenue of 100 million VND or less.
• Individuals, groups of individuals, and households with irregular production and business activities; There is no fixed location according to the instructions of the Ministry of Finance.
• Individuals, groups of individuals, and households that produce salt.
• Organizations, individuals, groups of individuals, households that farm, fish, seafood and provide fisheries logistics services.< /li>
• Commune cultural post office; press agencies (print press, audio press, visual press, electronic press).
• Branch, representative office, business location of the cooperative providing technical services directly serving agricultural production.
• Commune People's Credit Fund; cooperatives specializing in providing services for agricultural production; branches, representative offices, business locations of cooperatives and private enterprises doing business in mountainous areas. Mountainous areas are determined according to the regulations of the Committee for Ethnic Minorities.

In addition to the above cases of license fee exemption, currently according to new regulations, the government has promptly issued a new decree guiding 5 more specific cases where license fees are exempted, instructions link here: >>>5 more cases approved license fee exemption