Official Dispatch No. 3782/TCT-CS dated August 25, 2023 of the General Department of Taxation guiding tax policy on income from interest on loans subject to tax assessment
In case an enterprise other than an organization operating under the Law on Credit Institutions has irregular lending activities if it lends to another organization (including a branch of an enterprise to which this branch pays separate corporate income tax) without interest or at an interest rate lower than the normal interest rate of the same term and size in the market, it shall fall into the case of tax assessment in accordance with the law on tax administration.
In the case of a loan with a specific interest payment term under the loan contract, the enterprise must recognize the financial revenue of the interest receivable arising period regardless of whether the lending enterprise has earned interest or not.
