Tax Declaration for Advertising Expenses on Facebook

For domestic network operators/advertisers, the required documents include: a contract/offer-acceptance or email order or another appropriate method in accordance with the Commercial Law, the E-Transaction Law, the Information Technology Law; a VAT invoice, and non-cash payment documents (if the total invoice value is from 20 million VND or more per instance).

For international network operators/advertisers (without taxpayer registration in Vietnam), there are usually no paper form contracts and invoices similar to those in Vietnam, but rather terms and conditions provided on the advertising page. Accordingly, if the customer has advertising needs and accepts the terms regarding time, method, amount for credit card or bank account payment, etc., the service will be carried out. Therefore, the necessary set of documents for enterprises to be eligible for deductible expenses may include:

- The unit's regulation on purchasing online services, including advertising, in accordance with Vietnamese Laws (as mentioned above);- Written request from the business department for advertising with superiors, accompanied by a printout of the terms provided by the network site/advertising site (price, advertising method, payment method, advertising time, etc.) approved by the enterprise's leadership.- Acceptance report or documents proving that the enterprise's advertising requirements have been fulfilled as such requests mentioned above;- Payment documents: Bank statement along with transfer order, check, etc., of the enterprise proving the payment to the advertising site;- Declaration form and documents for filing foreign contractor tax in accordance with Circular 78/2014/TT-BTC and Circular 103/2014/TT-BTC.

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