When offsetting the refundable tax payment against the delinquent taxes receivable from a taxpayer pursuant to the provisions set out in Article 29 of the Act, the tax collection authorities shall execute such offsetting process in the following order:
1. any delinquent tax of the same item in the same tax collection authority ;
2. any delinquency charges or surcharges for delayed filing or non- filing of tax return, interest accrued, and any penalty or fine payable in the same tax collection authority ;
3. any delinquent tax payable to the same tax collection authority in respect of different items of tax payable;
4. any delinquency charges or surcharges for delayed filing or non- filing of tax return, interest accrued, and any penalty or fine payable to the same tax collection in respect of different items of tax payable;
5.any delinquent tax payable to the other government tax collection authorities of the same level ;
6. any delinquency charges or surcharges for delayed filing or non-filing of tax return, interest and penalty or fine payable to the other government tax collection authorities of the same level; and
7. any outstanding tax payable and delinquency charges or surcharges for delayed filing or non-filing of tax return, interest and penalty or fine payable in respect of other items of tax.
When applying the offsetting process in the preceding Paragraph, the first espiration date of a tax collectable in the same order shall be processed first. When the tax collectable expiration date is the same but falls in the jurisdiction of different tax collection authority, the refundable tax payment can be offset against the proportion of the delinquent taxes receivable from the said taxpayer.
Where a taxpayer fails to pay a tax in due date and also fails to apply for a recheck in accordance with the provisions set out in Subparagraphs 1 and 3, Paragraph 1, Article 35 of the Act, the refundable tax payment can be offset against the delinquent taxes receivable from the said taxpayer only after the recheck application period is over.