ENTERPRISES IN "06" STATUS MAY BE TEMPORARILY PROHIBITED FROM EXITING THE COUNTRY: WHAT SHOULD ENTERPRISES NOTE?

According to Decree No. 252/2026/ND-CP, business individuals, household business owners, beneficial owners, and legal representatives of enterprises may be temporarily prohibited from exiting the country if they fail to carry out procedures to restore or terminate the validity of their tax identification numbers within the prescribed period.

This regulation is particularly noteworthy for enterprises currently in status 06 – taxpayers not operating at the registered address.

1. When can one be temporarily prohibited from exiting the country?

According to Article 28 of Decree No. 252/2026/ND-CP, business individuals, household business owners, beneficial owners, and legal representatives of enterprises, cooperatives, and cooperative unions are subject to temporary exit prohibition if:

• The tax authority has issued a notice that the taxpayer is not operating at the registered address;

• After 120 days from the date the tax authority issued the notice, the taxpayer fails to carry out procedures to restore the tax identification number or terminate the validity of the tax identification number as prescribed.

Before applying the measure of temporary exit prohibition, the tax authority is responsible for notifying 30 days in advance to allow the taxpayer time to carry out necessary procedures and rectify the violation.

Thus, the fact that an enterprise still exists on the enterprise registration system or an individual has a complete passport and air ticket does not mean that they are guaranteed to be allowed to exit the country if they fall under the case of temporary prohibition as regulated.

2. What is tax identification number status "06"?

Status 06 – taxpayer not operating at the registered address is a sign that enterprises need to pay special attention to.

When falling into this status, enterprises should proactively:

1. Check the actual operating status and registered address;

2. Review tax declaration dossiers, tax obligations, and invoices;

3. Contact the direct managing tax authority;

4. Determine whether the enterprise needs to continue operating or cease operations;

5. Carry out procedures to restore or terminate the validity of the corresponding tax identification number.

Enterprises should not wait until the need to exit the country arises to address the tax identification number status.

3. In case the enterprise wishes to continue operating

If the enterprise continues to operate, it needs to carry out procedures to restore the validity of the tax identification number.

Basically, the enterprise needs to review and complete issues related to:

• Actual operating address;

• Missing tax declaration dossiers;

• Tax debts, late payment interest, and penalties;

• Invoice status;

• Other obligations with the tax authority.

The legal representative or authorized person shall carry out the dossier as prescribed. In case the enterprise changes its address, it needs to simultaneously carry out procedures to change tax registration information as prescribed.

After the enterprise completes the necessary obligations and conditions, the tax authority shall conduct inspection, verification, and update the status of tax identification number restoration as prescribed.

4. In case the enterprise does not continue operating

If the enterprise does not wish to continue doing business, it can carry out procedures to terminate the validity of the tax identification number associated with dissolution or cessation of operations.

The enterprise needs to review and complete related obligations, including:

• Tax declaration dossiers and tax finalization;

• Reports and dossiers related to invoices;

• Outstanding taxes payable;

• Penalties, late payment interest if any;

• Obligations related to customs authorities if arising;

• Other obligations as required by the tax authority.

After completing the obligations as prescribed, the tax authority shall carry out procedures to terminate the validity of the tax identification number and update the corresponding status on the system.

5. Enterprises need to proactively check the status of their tax identification numbers

Enterprises and individuals can proactively look up the status of their tax identification numbers on the tax authority's information system to promptly detect issues that need to be addressed.

In particular, enterprises should check immediately when:

• No longer operating at the registered address;

• Changed address but have not updated information;

• Have not fulfilled tax declaration obligations for a long time;

• Have outstanding tax debts or issues related to invoices;

• The legal representative or owner plans to exit the country in the near future.

OPLAW – Legal Update

The regulation on temporary exit prohibition in cases where taxpayers fail to restore or terminate the validity of their tax identification numbers within the prescribed period requires enterprises to proactively manage their legal status and tax obligations.

Enterprises in tax identification number status "06" should promptly determine a solution, instead of only doing so when the need to exit the country arises or when they have received a temporary exit prohibition notice.

OPLAW recommends that enterprises regularly review the status of their tax identification numbers, registered addresses, tax declaration dossiers, and outstanding obligations to limit legal risks and operational disruptions.

Source: Decree No. 252/2026/ND-CP and guiding information from the tax authority.

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