Legal updates

In cases where a company issues an invoice at the incorrect time as stipulated in Clause 2, Article 9 of Decree No. 123/2020/NĐ-CP but does not fall under the cases specified in Clause 9, Article 3 of Decree No. 123/2020/NĐ-CP (regarding the use of illegal invoices and documents, and the unlawful use of invoices and documents), and the invoice fully complies with the form and content requirements of Decree No. 123/2020/NĐ-CP, it will be considered a valid invoice.

The General Department of Taxation agrees with the proposal of the Hanoi Tax Department: In cases where fixed assets lack documentation proving the enterprise’s ownership (i.e., the enterprise has not been issued a Land Use Rights Certificate or a Certificate of Ownership for assets attached to the land) as required by law, such assets do not meet the conditions for depreciation deduction as an expense when determining taxable corporate income.

In cases where a domestic enterprise sells goods to a foreign trader with a presence in Vietnam and is designated to deliver the goods to a third party, which is a Vietnamese enterprise, through a bonded warehouse, such transactions do not meet the conditions for export sales to organizations and individuals abroad or for consumption outside Vietnam. Additionally, goods sold to organizations and individuals in non-tariff zones and consumed within these zones do not qualify as exported goods eligible for the 0% VAT rate under Clause 1, Article 9 of Circular No. 219/2013/TT-BTC.

In the case where a taxpayer submits a supplementary declaration for the VAT return for the tax period of June 2023 on August 10, 2023, and the supplementary declaration only results in an increase in the deductible VAT amount for the tax period of June 2023, the taxpayer shall report this adjustment under item [38] “Adjustment to Increase Deductible Value-Added Tax from Previous Periods” on the initial VAT return for the tax period of July 2023. This is in compliance with the regulations, as it falls within the filing deadline for the VAT return of the July 2023 tax period.

The General Department of Taxation requests the Tax Department to confirm individuals’ tax obligations in accordance with the guidelines set forth in Circular No. 80/2021/TT-BTC dated September 29, 2021, issued by the Ministry of Finance.

The General Department of Taxation has provided specific guidance on determining the place for submitting personal income tax refund applications in Official Letter No. 4172/TCT-DNNCN dated September 20, 2023, concerning the enhancement of personal income tax refund application processing.

The Long An Provincial Tax Department has issued guidance on preparing tax reports and key notes for enterprises to implement at the beginning of 2025.

The General Department of Taxation provides guidance as follows: In cases where the Tax Department has issued VAT refunds for exported goods and services without non-cash payment documents, the Tax Department must recover the refunded VAT amounts that lack non-cash payment documents in accordance with the provisions of the VAT Law and tax administration regulations.

VAT will be reduced for groups of goods and services currently subject to the 10% VAT rate, except for those listed in Appendices I, II, and III issued in conjunction with this Decree.

Principles: In cases where a business establishment incurs amounts collected and paid on behalf of others, which are not related to the sale of goods or provision of services by the business establishment, the establishment is not required to declare or pay tax as per applicable regulations.

According to the Company’s explanation: In cases where suppliers issue VAT invoices indicating the Company’s name and tax identification number, and the Company subsequently requests the Partner to reimburse these amounts, the Company must issue a VAT invoice to the Partner, applying the VAT rate as stipulated by law. The Company is responsible for declaring input and output VAT in accordance with the applicable laws on tax management.