Legal updates

The General Department of Taxation shall instruct provincial/municipal Tax Departments to inspect electronic invoices. Accordingly, the General Department of Taxation has built a function on the electronic invoice application to meet the requirements of controlling electronic invoices, preventing the issuance of false invoices.

Some of the main functions are as follows:

The system automatically controls the total value of goods sold on issued invoices against the input value threshold calculated by K times the total value of inventories and the total value of purchased goods.

Accordingly, the General Department of Taxation guides the case that the Company sells goods to foreign partners without a customs declaration, the value-added tax rate is 10%.

Accordingly, the General Department of Taxation guides:

(i)In case goods and services are eligible for VAT reduction according to Decree 15/2022/ND-CP, after December 31, 2022, if errors are detected must issue an adjustment or replacement invoice and they do not affect the amount of goods and payable VAT or adjustment of the taxable price, the adjusted or replaced invoice shall apply the VAT rate of 8%; Where errors in quantity of goods lead to adjust the amount of goods and VAT, the adjusted or replaced invoice shall apply the VAT rate prescribed at the time of making the adjusted or replaced invoice.

Accordingly, the General Department of Taxation guides:

(i)In case goods and services are eligible for VAT reduction according to Decree 15/2022/ND-CP, after December 31, 2022, if errors are detected must issue an adjustment or replacement invoice and they do not affect the amount of goods and payable VAT or adjustment of the taxable price, the adjusted or replaced invoice shall apply the VAT rate of 8%; Where errors in quantity of goods lead to adjust the amount of goods and VAT, the adjusted or replaced invoice shall apply the VAT rate prescribed at the time of making the adjusted or replaced invoice.

Accordingly, the National Assembly Standing Committee agreed on the scope of application of the VAT reduction policy as stipulated in Resolution No. 43/2022/QH15 dated January 11, 2022 of the National Assembly on fiscal and monetary policies. support the program of socio-economic recovery and development.

Accordingly, in order to implement Article 4 of Decree No. 145/2020/ND-CP of the Ho Chi Minh Department of Labour, War Invalids and Social Affairs guiding the implementation of the report on the use of labor, as follows:

1.Subjects of the report: Enterprises, agencies and organizations that employ employees and have their headquarters and operating locations in Ho Chi Minh City (hereinafter referred to as units).

Accordingly, the case of Mr. A is a foreigner assigned to work in Vietnam. Mr. A came to Vietnam for the first time on December 4, 2022 for the purpose of medical examination and work permit. After that, he returned home on 10/02/2023 and returned to Vietnam to work and receive salary at the Company.

From July 1, 2023, the basic salary applied to state officials and public employees will be increased from 1,490,000 to 1,800,000 VND/month.

Accordingly, the ceiling for payment of social insurance and health insurance (equal to 20 times the basic monthly salary) will increase from 29,800,000 to 36,000,000 VND/month.

According to the General Department of Taxation, if the electronic invoice for sale of goods or provision of services has a time to sign on the invoice other than the time of invoice making, if the time of signing on the invoice arises at the same time or after the time of invoice making, the prepared electronic invoice is still determined to be a valid invoice.

Accordingly, the Tax Department guides the case that the Company in Vietnam signs a warehouse lease contract with another company in the US, the cost of renting the warehouse is included in the deductible cost when determining the corporate income taxable income if it meets the conditions specified in Article 4 of Circular No. 96/2015/TT-BTC.