Will the contractor without fulfilling tax eliminated?

Will the contractor without fulfilling tax eliminated?

To prove the financial situation, the contractor must submit financial statements corresponding to the completed accounting periods. Attached is a certified photocopy of one of the following documents: Tax finalization inspection record; Tax self-finalization declaration; Tax authority's written certification of tax liability fulfillment ...

According to Ms. Nguyen Thi Huyen Trang (in Bac Lieu Province), in the bidding documents of the investor clearly, state that the contractor is assessed to meet these criteria when fully meeting the requirements for Financial health as follows:

- Net asset value (total assets minus total liabilities) each year must be positive (> 0).

- Profit per year must be positive (> 0).

- The solvency ratio for short-term debts (equal to short-term assets divided by total short-term liabilities) per year must be greater than or equal to 1 (≥ 1).

- Contractors fulfill their tax obligations until the end of the year ... (certified by the tax agency).

Ms. Trang would like to ask, does the contractor not fulfill the tax obligations, affect the bidder's capacity as well as the evaluation of the bid? Does this contractor selected to win the bid?

The Ministry of Planning and Investment answers to this issue as follows:

Clause 2, Article 12 of Decree No. 63/2014 / ND-CP of the Government stipulates that The bidding documents are not allowed to mention any terms and conditions that aim to restrict the participation of bidders or give priority to one or several bidder(s), which can cause unfair competition among bidders.

According to Clause 1, Article 16 of Decree No. 63/2014 / ND-CP, upon completion of the bid opening, bidders are responsible to clarify their bid packages as requested by the procuring entities. In case bidder's evidence for their validation, competence and experience have been lacked, procuring entities request bidders to clarify and provide further documents to prove their validation, competence and experience.

Under the guidance in Section 2.1 Chapter III of the Bidding Documents for Procurement of Goods issued together with Circular No. 05/2015 / TT-BKHDT, only the contractor that satisfies the contractor's net asset value in the most recent year must be positive. There is no requirement for positive annual profit, short-term debt ratio per year ≥ 1 ...

According to the instructions in Form No. 14 Chapter IV of the Bidding Documents form of goods procurement issued together with the Circular No. 05/2015 / TT-BKHDT, to prove that the financial situation, the contractor must submit financial statements corresponding to the accounting periods that have been completed. Attached is a certified copy of one of the following documents:

- Examination record of tax finalization;

- A self-finalization tax return (value-added tax and corporate income tax) certified by the tax agency of the time of submission of the declaration;

- Documents proving that the contractor has declared electronic tax finalization;

- The tax administration agency's written certification (certifying the annual payment amount) of the fulfillment of the tax obligation;

- Audit report.

Accordingly, the preparation of the Bidding Documents and evaluation of the Bid on financial capacity must comply with the provisions of Circular No. 05/2015 / TT-BKHDT.

Besides, there are no conditions in the Bidding Documents that limit the participation of the contractor, violating the provisions of Clause 2, Article 12 of Decree No. 63/2014 / ND-CP of the Government.

News Related

OTHER NEWS

Guidance on converting VAT calculation method

JQTEC Consulting Production and Trading One Member Limited Company (in Khanh Hoa Province) was established on November 21, 2012, using invoice deduction method from 2012 to 2016. Due to knowledge of law Tax... Read more »

Inconsistency in calculating the area of commercial and resettlement apartments

According to Ha Duong Law Firm (in Hanoi), the Company recently received a number of questions from households who are able to arrange resettlement houses regarding the identification of apartment area. Specifically, these... Read more »

Moving head office, do businesses have to apply for a work permit again?

Foreign workers who have been granted a work permit and are still in force can be sent, transferred or dispatched to work in another province or city that is differentfrom province or city... Read more »

Competence to approve investment policies

The amended Law on Investment project (the “LOI 2020”) dated June 17, 2020 comprises seven chapters, 77 articles and four attached appendices. The law took effect on January 1, 2021 and stipulates competence... Read more »

Requirements for suspension of pension fund and death benefit fund

The Ministry of Labor, Invalids and Social Affairs (MOLISA) released Official Letter 1511/LDTBXH-BHXH, dated May 4, 2020 to specify conditions for enterprises to suspend contributions to the pension fund and death benefit fund.... Read more »

Can intellectual property be used to mortgage a bank loan?

Inventions products with registered intellectual property can be considered as collateral for loans at credit institutions. However, the reality of operating in Vietnam and internationally shows that the mortgage of intellectual property rights... Read more »

How to calculate license fees for individual business households

Ms. Nguyen Thi Nhan (in Hochiminh City) is an individual business household, who sells groceries, registered tax on April 3, 2018. The tax authority sets the revenue of VND 50,000,000 / month and... Read more »

How to determine a non-consulting or consulting service supply package

Mr. Tong Ngoc Thuong (in Bac Kan Province) asked, 2 bidding packages formulating outlines and cost estimates for the project of delimiting prohibited areas, temporarily banning mineral activities and bidding packages for delimiting... Read more »

Policies to support businesses to invest in agriculture

Phuc Hung Organic Co Ltd., (in Kien Giang Province) started a business in 2018, owning 20 hectares of land specializing in rice cultivation with an average yield of 8 tons / ha. The... Read more »

Waiting time for registration of intellectual property rights of 2 years is too long

Although the expertise of the application form and the content of an application require a lot of time, but the waiting time for registration of intellectual property rights of 2 years as current... Read more »