Official Letter No. 47061/CTHN-TTHT dated August 20, 2024 of the Hanoi Tax Department, provides guidance on invoices for received sponsorships
If an entity receives financial support as stipulated in Clause 1 and Article 5 of Circular 219/2013/TT-BTC, the entity will fall in cases of exemption declaring and paying VAT. The entity shall issue a receipt as prescribed.
In cases where the entity receives funds from organizations or individuals to provide services such as repair, warranty, promotion, or advertising, it must issue an invoice as prescribed in Clause 1, Article 4 of Decree 123/2020/ND-CP and must fully specify the content as prescribed in Article 10 of Decree 123/2020/ND-CP. Additionally, the entity must declare and pay taxes as required.
