VietnameseOfficial Dispatch No. 4127/TCT-DTNN of November 14, 2005, on taxation on money amounts received from overseas companies
ATTRIBUTE
Official Dispatch No. 4127/TCT-DTNN of November 14, 2005, on taxation on money amounts received from overseas companies
| Issuing body: | General Department of Taxation | Effective date: | Known Please log in to a subscriber account to use this function. Don’t have an account? Register here |
| Official number: | 4127/TCT-DTNN | Signer: | Pham Van Huyen |
| Type: | Official Dispatch | Expiry date: | Updating |
| Issuing date: | 14/11/2005 | Effect status: | Known Please log in to a subscriber account to use this function. Don’t have an account? Register here |
| Fields: | Tax - Fee - Charge |
For more details, click here.
Download files here.
LuatVietnam.vn is the SOLE distributor of English translations of Official Gazette published by the Vietnam News Agency
Effect status: Known
MINISTRY OF FINANCE GENERAL DEPARTMENT OF TAXATION ------- | SOCIALIST REPUBLIC OF VIET NAM Independence - Freedom – Happiness --------- |
No. 4127/TCT-DTNN | Hanoi, November 14, 2005 |
OFFICIAL LETTER
ON TAXATION ON MONEY AMOUNTS RECEIVED FROM OVERSEAS COMPANIES
To: Provincial/municipal Departments of Taxation
The General Department of Taxation has recently received requests of many Tax Departments and enterprises for guidance on tax policy applicable to money amounts received by enterprises from overseas companies. Addressing this matter, the General Department of Taxation expresses its opinions as follows:
Pursuant to the Finance Ministry's Circular No. 120/2003/TT-BTC of December 12, 2003, guiding the implementation of the Government's Decree No. 158/2003/ND-CP of December 10, 2003, detailing the implementation of the Value-Added Tax (VAT) Law and the Law Amending and Supplementing a Number of Articles of the VAT Law;
Pursuant to the Finance Ministry's Circular No. 128/2003/TT-BTC of December 22, 2003, guiding the implementation of the Government's Decree No. 164/2003/ND-CP of December 22, 2003, detailing the implementation of the Business income tax Law;
For Vietnam-based companies which receive money amounts from overseas companies, the following tax policy shall apply as from January 1, 2004:
- For money amounts received by Vietnam-based companies from overseas companies for performance of advertising, marketing or warranty services and other activities in service of the sale of products manufactured by Vietnamese enterprises or imported into Vietnam, which are considered turnovers of Vietnamese enterprises, such companies must issue value-added invoices, calculate and account VAT into their turnovers when determining incomes liable to business income tax according to regulations.
- Other money amounts (if any) not relating to the above-said product sale support activities shall be considered incomes of Vietnamese companies, for which such companies shall not have to calculate VAT but shall have to make receipts and account them into incomes liable to business income tax according to regulations.
Tax Departments shall have to check financing contracts, contracts of goods or service purchase and sale, and base themselves on actual production and/or business of enterprises to clearly verify the use purposes of money amounts received from overseas companies before guiding receiving units to fulfill their tax obligations according to regulations.
The General Department of Taxation notifies the provincial/municipal Tax Departments and enterprises thereof for knowledge and implementation.
FOR THE GENERAL DIRECTOR OF TAXATION DEPUTY GENERAL DIRECTOR Pham Van Huyen |
Processing, please wait...
LuatVietnam.vn is the SOLE distributor of English translations of Official Gazette published by the Vietnam News Agency
VIETNAMESE DOCUMENTS
Official Dispatch 4127/TCT-ĐTNN DOC (Word)This utility is available to subscribers only. Please log in to a subscriber account to download. Don’t have an account? Register here
Official Dispatch 4127/TCT-ĐTNN ZIP (Word)This utility is available to subscribers only. Please log in to a subscriber account to download. Don’t have an account? Register here
ENGLISH DOCUMENTS
Others
Official Dispatch 4127/TCT-ĐTNN DOC (Word)This utility is available to subscribers only. Please log in to a subscriber account to download. Don’t have an account? Register here
* Note: To view documents downloaded from LuatVietnam.vn, please install DOC, DOCX and PDF file readers
For further support, please call 19006192
