Question:
Currently, in our company, there is a case where an employee applied for dependent deduction for personal income tax (PIT). However, because they had already registered for this deduction at their previous workplace, the system indicates “duplicate information with the person with tax code xxxxxxx”. Our company has requested the employee to confirm “Not deducted elsewhere” in order to proceed with the deduction for this employee. Is this reasonable? If not, what should the company do to ensure the employee receives the deduction in this case?
There is an opinion that PIT is the responsibility of the individual employee, so if they have made the declaration, the company should proceed with the deduction, is that correct? When discrepancies are discovered in such cases and the employee has continued to transfer to another company, is the company held responsible?
Is it necessary to notarize the dependent proof documents for claiming family-related deductions for the employee’s personal income tax?
Answer:
– Based on Circular No. 111/2013/TT-BTC dated August 15, 2013 of the Ministry of Finance guiding Personal Income Tax (PIT).
– Based on Circular No. 105/2020/TT-BTC dated December 3, 2020 of the Ministry of Finance guiding tax registration.
According to the regulations:
In the case where an individual has already registered for family-related deductions at a previous workplace and now moves to a new company and applies for the same deduction, the individual must register the deduction for dependents at the previous workplace first, and then proceed to register the deduction at the new company.
The responsibility for declaring family-related deductions for dependents lies with the individual employee. When discrepancies are discovered due to incorrect declarations, the individual employee will be subject to penalties as prescribed by the Tax Law.
There is no need to notarize the dependent proof documents for claiming family-related deductions for the employee’s personal income tax.
