Vietnam: 05 cases that multiple business operations incur the same type of tax

According to the Decree No. 126/2020/NĐ-CP of Vietnam’s Government, the composition of each tax declaration dossier varies according to the type of tax, taxpayer, tax accounting method, tax period (monthly, quarterly, annually or by each occurrence).  In case multiple business operations incur the same type of tax, it will be specified in the same tax declaration dossier, unless:

- The taxpayer has multiple business operations including traditional or computerized lottery business, in which case VAT, excise tax and post-tax profit from lottery business shall be separately declared.

- The taxpayer has multiple business operations including jewelry business, in which case VAT, excise tax and post-tax profit from jewelry business shall be separately declared.

- The taxpayer is authorized by the state to collect certain amounts, in which case VAT on such amounts shall be separately declared.

- The taxpayer has operational investment projects eligible for VAT refund, in which case a VAT declaration dossier shall be separately prepared for each project and VAT on purchases of each project shall be offset against VAT payable (if any) in the same tax period.

- The taxpayer is authorized to manage business cooperation contracts without establishment of separate juridical persons, in which case tax on each contract shall be separately declared under these contracts.

View more details at the Decree No. 126/2020/NĐ-CP of Vietnam’s Government, effective from December 05, 2020.

Ty Na

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