The Tax Department of Ninh Binh Province has recently issued Official Letter No. 3716/NBI-QLDN2 providing guidance on the supporting documentation required for deductible expenses.
According to the Official Letter, for purchases of goods, services of VND 5 million or more per transaction, where payment has not yet been made at the time the expense is recognized, the company is allowed to treat such deductible expenses for the purpose of determining taxable income, provided that a valid contract for the purchase of goods or services is in place.
The Tax Department of Ninh Binh Province, based on Point c, Clause 13, Article 3 of Circular No. 20/2026/TT-BTC, provides that:
Article 3. Supporting documentation for expenses deductible as prescribed in Points b and c, Clause 1, Article 9 of the Law on Corporate Income Tax
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13. Supporting documentation for certain expenses as prescribed in Point c, Clause 1, Article 9 of the Law on Corporate Income Tax is as follows:
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c) In cases where goods or services are purchased on a per-transaction basis with a value of VND 5 million or more, and payment has not yet been made at the time of expense recognition, such expenses may still be treated as deductible for the purpose of determining taxable income, provided that there is a contract for the purchase of goods or services and a delivery/acceptance record. Upon payment, the enterprise must also obtain non-cash payment supporting documents.
For detailed information, please refer to the link.
