Newsletter

Official Letter No. 1064/QNG-QLDN1 dated 4 February 2026, issued by the Quang Ngai Provincial Tax Department, providing guidance on the application of exchange rates for exported goods.

When export revenue from goods or services arises, the Company shall, based on the guidance for determining the actual transaction exchange rate as prescribed in Appendix II – the Chart of accounts issued together with Circular No. 99/2025/TT-BTC dated 27 October 2025 of the Ministry of Finance, determine the actual transaction exchange rate at the time the export of goods or provision of services occurs. This serves as the basis for determining export revenue, issuing invoices, and declaring value-added tax (VAT) for export revenue in accordance with regulations.

 Official Letter No. 1067/CT-CS dated 12 February 2026, issued by the General Department of Taxation regarding the extension of the operating term of a software development project.

For a new investment project of the Company that satisfies the conditions for investment incentive sectors, it is entitled to corporate income tax (CIT) incentives for the period stated in the initial Investment Registration Certificate (05 years). For the extended period under the amended Investment Registration Certificate, the project is not entitled to tax incentives for the extension period.

Official Letter No. 33/TMĐT-QLT3 dated 6 March 2026, issued by the E-commerce Tax Sub-Department regarding value-added tax (VAT) on services performed overseas when providing logistics services to Vietnamese enterprise customers:

– Where the Company enters into a contract with a Vietnamese customer to provide logistics services that are performed (carried out) entirely overseas, such services are not subject to Vietnamese VAT regulations.

– Where the Company provides international freight transport services for routes from Vietnam to overseas, from overseas to Vietnam, or where both the origin and destination are overseas (including any domestic routes), such transportation is considered international transport (including the domestic routes) and is subject to the 0% VAT rate, provided that the conditions stipulated in Clause 3, Article 18 are satisfied and the case does not fall under Clause 4, Article 17 of Decree No. 181/2025/ND-CP dated 1 July 2025.

– Other services related to logistics that are performed in Vietnam are subject to the 10% VAT rate in accordance with Clause 3, Article 9 of the Law on VAT.

Official Letter No. 1706/CT-CS dated 24 March 2026, issued by the Tax Department regarding value-added tax (VAT) and invoices:

Prior to 1 July 2025, where an enterprise is licensed by the Ministry of Labor, War Invalids and Social Affairs (now the Ministry of Home Affairs) to provide labor outsourcing services, enters into labor contracts directly with employees but does not directly use them, instead leasing them to other enterprises, agencies, organizations, cooperatives, or individuals and earning a labor outsourcing service fee; the employees work at the lessee’s premises under the management and supervision of the lessee, and receive salaries and other benefits in accordance with the lessee’s policies; and on a monthly basis, the lessee transfers money to the labor outsourcing enterprise to pay salaries, bonuses, allowances, subsidies, and to make contributions to social insurance, health insurance, unemployment insurance, and trade union funds for the employees—then such amounts transferred by the lessee to the labor outsourcing enterprise for these purposes are in the nature of collections and payments on behalf, not revenue of the outsourcing enterprise, and are therefore not subject to VAT declaration and payment in accordance with Point d, Clause 7, Article 5 of Circular No. 219/2013/TT-BTC dated 31 December 2013 of the Ministry of Finance.

If the conditions for labor outsourcing activities under labor laws are not met, or if the outsourcing enterprise does not separately determine each type of service, including the amounts collected and paid on behalf, in order to apply the corresponding VAT rates, then VAT must be calculated and paid at the highest VAT rate applicable to such services in accordance with Article 11 of Circular No. 219/2013/TT-BTC dated 31 December 2013 of the Ministry of Finance.

Where the labor outsourcing enterprise has already issued invoices and declared and paid VAT at the highest tax rate, it shall comply with the guidance provided in Point b, Clause 5, Article 12 of Circular No. 219/2013/TT-BTC dated 31 December 2013 as mentioned above.