No VAT and no invoice issuance for collections and payments made on behalf of State agencies

This guidance is provided in Official Letter No. 4762/CT-CS on invoices, issued on October 29, 2025.

According to Official Letter No. 4762/CT-CS, the Tax Department received Official Letter No. 2563/BHXH-TCKT dated October 10, 2025 of Vietnam Social Security regarding invoices. On this matter, the Tax Department provides the following opinion:

Pursuant to Clause 1, Article 14 of Government Decree No. 181/2025/ND-CP dated July 01, 2025 prescribing the principles for determining the value-added tax calculation price;

Pursuant to Point a, Clause 3, Article 1 of Government Decree No. 70/2025/ND-CP dated March 20, 2025 amending and supplementing Clause 1, Article 4 of Government Decree No. 123/2020/ND-CP dated October 19, 2020 prescribing principles for issuance, management, and use of invoices and vouchers.

Based on the above provisions:

In cases where a business establishment receives remuneration from State agencies that is unrelated to its sale of goods or provision of services, and such receipt arises from performing collection and payment activities on behalf of State agencies, such amounts shall not be included in the value-added tax calculation price and the business establishment is not required to issue invoices.