Tax consulting services today are no longer simply about assisting with tax declarations; they have become a guiding principle for sustainable business development. In the context of the tax industry's strong digital transformation with electronic invoices and automated risk control mechanisms, small errors can lead to huge penalties. According to the General Department of Taxation, in 2023, tax audits resulted in the collection and penalties of over 67,000 billion VND, demonstrating the increasing pressure on compliance for tax authorities.
Utilizing quality tax advisory services helps businesses proactively respond to changes in the law, such as Tax Administration Law No. 38/2019/QH14. Our team of experts not only reviews the documents but also advises on the optimal transaction structure, ensuring that businesses receive tax incentives in accordance with the guiding circulars. This is a crucial legal "shield" for businesses to focus on their operations.
Tax consulting services: Definition and essential role for businesses.
Tax consulting services provide in-depth solutions regarding tax law, helping businesses comply with regulations and optimize their financial obligations. In the context of an increasingly complex tax system, having experts on hand not only reduces the risk of errors but also supports long-term tax strategy planning, protecting the interests and reputation of the business.
The nature of professional tax consulting services
Tax consulting services are professional solutions provided by certified tax experts. These services include answering tax law questions, guiding filing procedures, representing clients in dealings with authorities, and developing long-term tax strategies.
Unlike in-house accounting, which focuses on transactional documents, tax consulting services are predictive and risk-prevention oriented. Experts will assess the impact of various taxes such as VAT, corporate income tax, personal income tax, and contractor tax on each specific investment decision of the business.
Why do businesses need tax consulting services?
The complexity of Vietnamese tax law, with thousands of circulars, decrees, and official documents issued annually, poses a challenge even for experienced accountants. Tax consulting services act as a bridge, transforming the dry legal language into concrete actions for business operations.
Below is a table comparing the risks of a business handling tasks in-house versus using professional services:
| Criteria | Self-managed (Internal Accounting) | Utilize Tax Advisory Services |
| Law update | Often slow or lacking in depth of understanding. | Real-time updates with impact analysis. |
| Risk of error | High due to the large workload of administrative tasks. | Low due to independent control procedures. |
| Expense | Salary, social insurance, bonuses, training (High) | Fixed service fee (Optimal) |
| Responsibility | Data is easily lost when employees leave the company. | Commitment to responsibility through a legal contract. |
Legal framework governing tax activities in Vietnam
Taxation in Vietnam is governed by a comprehensive system of laws, decrees, and circulars. When providing tax consulting services, experts must base their advice on fundamental documents such as the 2019 Tax Administration Law, the Corporate Income Tax Law, the Value Added Tax Law, and the Personal Income Tax Law to ensure accurate and feasible advice and protect businesses from the risks of audits and tax collection.
Basic tax laws businesses need to be aware of.
When providing tax consulting services, experts always base their advice on the highest-level legal regulations. This ensures that all advice given is enforceable and protects businesses during audits.
- Law on Tax Administration No. 38/2019/QH14: Regulations regarding registration, declaration, tax payment, and the authority of the tax agency.
- Corporate Income Tax Law: Regulations regarding deductible and non-deductible expenses when determining taxable income.
- Value Added Tax Law: Regulations regarding input tax deductions and tax refunds.
- Personal Income Tax Law: Regulations regarding the obligations of employees and the responsibilities of income-paying entities in withholding taxes.
The role of Circulars and guiding Decrees
In the process of providing tax consulting services, it is essential to have a thorough understanding. Circular 80/2021/TT-BTC guidance on the Law on Tax Administration or Circular 78/2014/TT-BTC regarding corporate income tax This is mandatory. These documents detail the calculation methods and the necessary forms.
Utilizing tax consulting services helps businesses avoid getting lost in a "jungle" of regulations, especially regarding related-party transactions under Decree 132/2020/ND-CP. This is one of the hottest areas currently facing the highest risk of tax arrears collection, and businesses need to pay particular attention to it.
Common types of tax advisory services at MAN
At MAN, tax consulting services are tailored to meet various needs, from routine compliance to final settlement, tax refunds, and long-term tax planning. Each service package not only helps businesses reduce the risk of errors but also optimizes cash flow and financial strategies within the framework of current laws, such as Circular 80/2021/TT-BTC.
Monthly and quarterly tax compliance consulting
This is a fundamental yet crucial type of tax consulting service. We assist businesses in reviewing the validity of invoices and supporting documents before filing tax returns. This helps minimize the risk of invoices from businesses that have absconded or temporarily ceased operations.
Introduction: To better understand the scope of work in our compliance consulting package, please refer to the task list below.
- Verify the legality of input and output invoices.
- Provide advice on how to handle errors from the previous tax filing period.
- Stay updated on the latest tax policies applicable to your business sector.
- Instructions for preparing VAT and personal income tax returns, and reports on invoice usage.
Tax consulting services regarding tax settlement and refund.
Tax settlement is the most sensitive time for businesses. Tax consulting services at this time focus on protecting expenses already incurred and demonstrating their reasonableness to the tax authorities. For export businesses, tax refund services can be extremely effective in unlocking capital flows.
According to Circular 80/2021/TT-BTC, the current tax refund process has several new points regarding the classification of refund applications before verification. Tax consulting services will help businesses prepare "clean" applications to shorten the time it takes to receive refunds from the state treasury, avoiding prolonged capital stagnation.
Tax structure consulting and long-term tax planning.
This is the highest level of tax consulting service. Instead of just solving problems that have already occurred, we work with businesses to establish the most optimal operational plan right from the start of the business project to minimize tax obligations.
Tax planning is not tax evasion. It is the use of legally permitted incentives to legitimately reduce taxes. For example, choosing an investment location or industry that enjoys the corporate income tax rate of 10% for 15 years as stipulated.
Price list for tax consulting services at MAN – Master Accountant Network
To help businesses easily choose the solution that best suits their scale and needs, MAN would like to provide our customers with a price list for popular service packages:
| Type of service | Business size | Reference service fee (VNĐ) |
| Tax consulting on a case-by-case basis. | All sizes | From 2,000,000 VND/time |
| Monthly Compliance Consulting Package | Small businesses (SMEs) | From 3,000,000 VND/month |
| Monthly Compliance Consulting Package | Medium and large enterprises | From 10,000,000 VND/month |
| Tax Health Check Service | By fiscal year | From 15,000,000 VND/year |
| Consulting services for preparing related-party transaction documents. | FDI enterprises / Corporations | From 30,000,000 VND per application |
| VAT refund consulting | According to the tax refund project | 5% – 15% tax refund amount |
Note: The above price list is for reference only. The actual service fee will be quoted accurately after a MAN expert reviews your profile and assesses the complexity of your business operations.
Standard tax consulting service procedures at MAN
MAN's tax consulting service process is built on a comprehensive risk control approach, from reviewing the current situation to implementing corrective actions and monitoring compliance. Each step has a clear output report, helping businesses proactively prevent tax arrears and penalties, and optimize their tax obligations within the legal framework.
Step 1: Survey and assess current risks
When we begin accepting a new client for our tax consulting services, MAN conducts a financial health check and audit of their accounting system. We review the books for the past 3-5 years to identify potential errors and risks of tax arrears.
Step 2: Develop a remediation and optimization roadmap.
Based on the survey results, our tax consulting team will provide a detailed report of the errors and propose solutions. We categorize risks into levels: Low – Medium – High, so that businesses can prioritize and resolve them completely.
Step 3: Implementation and Monitoring
Our tax consulting services go beyond mere words. MAN will work alongside your in-house accountants to adjust accounting entries and finalize documents according to instructions. This process ensures that actual figures always match the tax reports submitted to the authorities.
| Stage | Job Description | Output |
| Phase 1 | Collect data and documents. | Risk Status Report |
| Phase 2 | Consultation on adjustments and optimization | Legally compliant accounting records |
| Phase 3 | Representative working with the Tax Authority | Favorable tax audit report |
Common mistakes to avoid when not using tax consulting services.
Failing to utilize tax advisory services puts many businesses at risk of having expenses disallowed, late payment penalties, or missing out on important tax incentives. Regulations in Circular 96/2015/TT-BTC and Decree 125/2020/ND-CP are frequently changing, requiring continuous updating. Early identification of common mistakes helps businesses proactively prevent them and protect their long-term financial interests.
Confusion between accounting expenses and tax expenses.
Many businesses believe that all actual expenses are deductible when calculating corporate income tax. However, according to Article 4 of Circular 96/2015/TT-BTC, only expenses with sufficient invoices and serving production and business activities are accepted. Tax consulting services will help you accurately classify expenses to avoid them being disallowed during tax settlement.
Missing deadlines for filing tax returns and paying taxes.
Even a one-day delay in filing tax returns can result in fines ranging from 2 million to 25 million VND according to Decree 125/2020/ND-CP. Utilizing tax consulting services provides businesses with an early warning system, ensuring all tax declaration and payment obligations are fulfilled on time.
Not taking full advantage of tax incentives.
The government frequently offers support packages such as reducing VAT to 8% (Resolution 110/2023/QH15) or extending tax payment deadlines. Without specialized tax consulting services, businesses can easily overlook these benefits, significantly reducing their competitiveness in the market.
Key tax categories requiring in-depth consultation.
In business operations, some tax regulations require in-depth consultation due to their complexity and high risk. Tax consulting services typically focus on obligations under the Corporate Income Tax Law, Value Added Tax Law, and Personal Income Tax Law to help businesses comply with regulations, minimize tax arrears, and optimize financial efficiency.
Corporate Income Tax (CIT)
This is the most complex tax and also the focus of our tax consulting services. Issues related to provisions, asset depreciation, and employee benefits require thorough consultation to optimize tax payments in accordance with the law.
Value Added Tax (VAT)
Our VAT tax consulting service focuses on the legality of input invoices. In the context of "risky invoices" being a focal point, checking the tax identification number and operational status of our partners on the General Department of Taxation's website is our top priority.
Personal Income Tax
For businesses with foreign experts or senior staff, our personal income tax consulting service helps ensure proper tax settlement. We help avoid double taxation by leveraging bilateral tax avoidance agreements that Vietnam has signed with international partners.
Economic benefits of investing in tax consulting services.
Save on operating costs and fines.
The cost of tax consulting services is often significantly lower than late payment penalties or back taxes due to knowledge errors. This is an investment that yields direct returns by safeguarding the company's cash flow.
Here's an example illustrating the effectiveness of counseling:
- Company A: Self-assessment resulted in the disallowance of 2 billion VND in invalid expenses -> 400 million VND in corporate income tax arrears + 20% penalty (80 million VND) + Daily accrued late payment interest.
- Company B: Use tax consulting services, By reviewing risks beforehand, the correct amount of tax was paid, no penalties were incurred, and 200 million VND in tax savings from legitimate investment incentives were optimized.
Enhance reputation and trustworthiness with partners.
A business with a clean tax record is always highly valued by banks and investors. Tax consulting services help to make financial reporting transparent, facilitating fundraising and business expansion into larger markets.
Conclude
Tax consulting services are not just a temporary solution, but an essential part of modern business management. Understanding the rules of the game helps business owners confidently make investment decisions, ensuring that capital flows generate optimal value without legal obstacles. In a volatile business environment, support from tax experts is key to maintaining stability and promoting sustainable growth for any organization.
MAN – Master Accountant Network proudly serves as a trusted partner, providing a comprehensive ecosystem of services ranging from auditing services, tax accounting, tax consulting services, until tax settlement and tax reporting. With a team of experts deeply familiar with business practices, we are committed to providing practical solutions that help businesses overcome tax burdens and achieve significant breakthroughs.
Service contact information at MAN – Master Accountant Network
- Address: No. 19A, Street 43, Tan Thuan Ward, Ho Chi Minh City
- Mobile/Zalo: 0903 963 163 – 0903 428 622
- Email: man@man.net.vn
Content production by: Mr. Le Hoang Tuyen – Founder & CEO MAN – Master Accountant Network, Vietnamese CPA Auditor with over 30 years of experience in Accounting, Auditing and Financial Consulting.
Frequently Asked Questions about Tax Consulting Services
Smaller businesses need tax consulting services even more to avoid overwhelming legal risks and optimize operating costs right from the initial stages of establishment.
Service fees vary depending on the size of the documents, the business sector, and the specific requirements of the company. MAN always has a flexible and transparent pricing policy based on the actual value delivered to customers.
At MAN, we are committed to legal contractual responsibility. If errors are due to professional advice, we will be responsible for compensation and will cooperate in resolving the consequences for our clients.
Ideally, this should be done right at the start of the business or at least 3 months before each tax filing period to allow the expert sufficient time to review and adjust the books and prepare documentation to defend the expenses. Do small businesses need to use tax consulting services?
How are tax consulting service fees calculated?
Are tax consulting services liable if a business is penalized?
When is the best time to hire a tax consultant?
