09 CASES IN WHICH ENTERPRISES MAY BE SUBJECT TO TAX INSPECTION FROM JULY 1, 2026

The Law on Tax Administration 2025 (Law No. 108/2025/QH15) officially came into effect on 1 July 2026, introducing significant changes to Vietnam’s tax administration framework with the aim of strengthening fiscal discipline and enhancing the transparency of taxpayers’ obligations. Under the new Law, tax inspections are conducted based on risk assessment and risk management principles, as well as indications of tax law violations or requests from competent authorities. Accordingly, enterprises may be subject to tax inspection in the following circumstances:

(1) The taxpayer’s dossier is subject to tax audit before refund;

(2) The taxpayer’s dossier is eligible for refund before audit according to risk management criteria and less than 05 years have elapsed since the issuance date of the tax refund decision;

(3)  Tax offences are suspected;

(4) The taxpayer is selected under a plan or scheme;

(5) Tax audit is requested by a competent authority or person;

(6) The taxpayer poses high risk of tax offences in the following circumstances: full division, partial division, acquisition, consolidation, conversion, bankruptcy, dissolution, termination (closure), equitization, TIN invalidation, business location relocation;

(7) The tax administration agency issues a decision on tax imposition, handles administrative violations on tax administration or switches to inspection at the taxpayer’s office;

(8) Tax audit is necessary for settlement of tax-related complaints or denunciations;

(9) The taxpayer’s application for tax exemption/reduction/cancellation poses high risks of tax offences;

In addition, the customs authority is also empowered to conduct tax inspections at the taxpayer’s premises in the circumstances set out above. Post-clearance inspections shall be conducted in accordance with the customs legislation. The customs authority is further entitled to inspect compliance with the conditions for the application of tax policies as prescribed by relevant laws. During the inspection process, where necessary and legally permissible, the customs authority may conduct physical inspections of exported or imported goods.

The new inspection mechanism adopts a risk-based approach, focusing on taxpayers, transactions, and tax dossiers that present a higher level of tax compliance risk, rather than conducting broad or routine inspections. This approach requires enterprises to strengthen their internal tax compliance systems, maintain complete and accurate tax documentation, and ensure that tax declarations are prepared in accordance with applicable laws in order to minimise the likelihood of being selected for tax inspection.

Recommendations for Enterprises

• Conduct a comprehensive review of tax declarations, tax refund applications, tax exemption and tax reduction dossiers; reconcile e-invoice data with accounting records and financial statements; and maintain sufficient supporting documents substantiating revenue, deductible expenses, and tax incentives.

• For enterprises undergoing corporate restructuring, including division, demerger, merger, consolidation, conversion of enterprise type, dissolution, or relocation of business premises, it is advisable to assess potential tax risks in advance and ensure that all tax declaration and payment obligations have been fully discharged before completing the relevant legal procedures.

• Establish and maintain an effective internal tax compliance framework, regularly monitor legislative developments, and proactively submit supplementary tax declarations where errors are identified, thereby reducing the risk of tax penalties, additional tax assessments, and other costs that may arise during tax inspections.