The Lawyer currently does not regulate the charter capital and investment capital for the Law Firm and Law Firm. The rate of license fee is 1,000,000 VND / year according to the current regulations.

Through the receiving and responding system to the recommendations of enterprises, Minh Dang Quang Law Firm reflects that, the Law on Lawyers currently does not regulate the license fee for the law firm and the law firm has a charter capital or invested capital.

Clause 1, Article 4 of the Government's Decree No. 139/2016 / ND-CP dated October 4, 2016, providing for the rates of tuition fees for grandma's

:“1. The rate of licensing fees for the organizations having the production and business of goods and services is as follows:

a) The organizations with charter capital and investment capital over 10 billion dong: 3,000,000 dong/year;

b) The organizations with charter capital and investment capital of less than 10 billion dong: 2,000,000 dong/year;

c) The branches, representative offices, business location, public service providers and other business organizations: 1,000,000 dong/year;

The rate of licensing fees for the organizations specified under Point a and b of this Paragraph is based on the charter capital written in the certificate of business registration or on the investment capital written in the certificate of investment registration in case of no charter capital”..

Therefore, the Law Office and the Law Firm pay license fees for groups of organizations that do not have charter capital or an investment capital of VND 1,000,000 / year according to the guidance of the Tax Department.

However, at present, the Tax Departments are defaulting the license fee of the Law Office and Law Firm to VND 2,000,000 / year, resulting in the Law Office and Law Firm being owed VND 1,000.000 when each year only pays a license fee of VND 1,000,000 and incurs a late payment interest.

The Law Office and the Law Firm have reflected many times but the situation has not changed until now because the Tax Departments explain that because the centralized tax management application software of the tax industry was from the General Department of Taxation and be unable to  adjust.

In addition, the tax code used to declare tax on property leasing activities of the owner of a private business and the head of the lawyer's office is in accordance with the provisions of Clause 1, Article 33 of the Law on Lawyer: “A lawyer's office is established lawyers are organized and operated under the type of private enterprise ”.

Under the provisions of Point dd, Clause 2, Article 5 of the Finance Ministry's Circular No. 95/2016 / TT-BTC dated June 28, 2016 guiding tax registration: “Sole proprietorship’s owner shall use his/her individual TIN the purposes of filing personal income tax returns, remitting payments and making final statements. If the sole proprietorship takes on obligation to deduct and pay personal income tax on behalf of employees working for the sole proprietorship, the sole proprietorship’s TIN shall be used for the purposes of filing tax returns, withholding and remitting taxes for such employees”.

Thus, at present, a private company and the lawyer's office are granted 2 tax codes, a tax code of a private company and a lawyer's office to declare tax on business activities of the unit, one tax code to declare personal income tax of the private company owner and the Chief of the Law Office. When the owner of a private company and the head of the lawyer's office has property leasing activities (this property does not participate in the production and business activities of a private company and the lawyer's office), the owner of the private company and the Chief of the Lawyer's Office is subject to personal income tax, not subject to corporate income tax.

Currently, when the owner of a private business and the head of the lawyer's office has private property leasing activities, the Tax Department is required to obtain the tax code of the private company and the lawyer's office to declare personal income tax. personal activity leasing property instead of taking the tax code of the owner of the private business and the Chief of the Law Office to declare.

The Tax Departments also explained that because the centralized application software for tax administration of the tax industry was introduced by the General Department of Taxation, so it could not be repaired.

The Minh Dang Quang Law Firm recommends directing and repairing centralized tax management application software in accordance with current law.

Regarding this issue, The General Department of Taxation answers as follows:

License fees with the Law Office and Law Firm

Clause 1, 5 Article 2 and Clause 1 Article 4 of Decree No. 139/2016 / ND-CP dated October 4, 2016 of the Government regulating license fees as follows:

“Article 2. License fee payers

License fee payers are organizations and individuals engaged in the production and trading of goods and services, except for the case specified in Article 3 of this Decree, including:

1. The enterprises which are established under the regulations of law.

…. 5. Other organizations which have their trade/production activities.”.

“Article 4. Rate of licensing fees

1. The rate of licensing fees for the organizations having the production and business of goods and services is as follows:

a) The organizations with charter capital and investment capital over 10 billion dong: 3,000,000 dong/year;

b) The organizations with charter capital and investment capital of less than 10 billion dong: 2,000,000 dong/year;

c) The branches, representative offices, business location, public service providers and other business organizations: 1,000,000 dong/year;

The rate of licensing fees for the organizations specified under Point a and b of this Paragraph is based on the charter capital written in the certificate of business registration or on the investment capital written in the certificate of investment registration in case of no charter capital”..

In Article 32 of the Law on Lawyers (as amended and supplemented in Clause 15, Article 1 of the Law No. 20/2012 / QH13 amending and supplementing a number of articles of the Law on Lawyers):

“Article 32. Forms of law-practicing organizations and conditions for establishing law-practicing organizations

1.  Law-practicing organizations includes:

a) Lawyer’s offices;

b) Law firms

2. Law-practicing organizations are organized and operated as prescribed in this Law and relevant laws”.

The Lawyer does not provide for the charter capital and investment capital of the Law Office and Law Firm. Based on the above provisions, the license fee for law firms and law firms is VND 1,000,000 / year.

Tax on property leasing

In Clause 2, Article 5 of the Finance Ministry's Circular No. 95/2016 / TT-BTC dated June 28, 2016 on tax registration, instructions are as follows:

2. Using TINs

A taxpayer shall use its/his/her own TIN issued as prescribed in Article 28 of the Law on Tax administration. In particular:

a) The taxpayer shall use its TIN for the purposes of filing tax returns, remitting payments, requesting refunds and following other tax formalities regarding all types of amounts payable to government budget, even if the taxpayer does businesses in multiple administrative divisions.

d) When a person that has been issued with an infidel TIN engages in business and he/she is a household business’s representative, the above TIN shall be used for the purposes of filing tax returns and remitting payments for the household business and vice versa.”.

Based on the above guidance, in case the owner of a private enterprise, the head of the lawyer's office operates private property lease (these assets do not participate in the production and business activities of private enterprises and law offices. The professor) uses his / her personal tax identification number to declare and pay taxes.

For problems related to the application software for tax management to declare and pay license fees and to declare tax on property leasing activities, the General Department of Taxation will direct the application software to be repaired accordingly.