I. Corporate Income Tax
II. Personal Income Tax
2. Determine deductibility of interest expense incurred in transactions with related parties
On 24th January 2018, Hanoi Tax Department issued Official Letter no. 3966/CT-TTHT as guidance for interest expense as per Decree No. 20/2017/NĐ-CP asto companies entered into related transactions. Principle to determine deductibility of interest expense is as below:
3. Assessment of PIT on temporaty card, visa, and work permit
On 25th December 2017, General Department of Customs issued Official Letter No. 8382/TCHQ-GSQL on increasing inspections for origin of imported goods upon custom procedures. GDC has made some remarks on custom procedures for imported goods subject to special preferential import tariffs, as well as C/O acceptance, including:
4. Assessment of CIT, PIT on PIT consulting fees for foreigners
On 06th December 2017, Hanoi Tax Department issued Official letter no. 79003/CT-TTHT as guidance for CIT, PIT assessment relating to PIT consulting fees for foreigners.
According to the letter, where the company engages a PIT consulting service for the benefit of a specific individual or a group of individuals:
5. Foreign withholding tax documents
On 29th December 2017, GDT issued Official Letter No. 6005/TCT-TNCN as guidance of foreign withholding tax documents
Individuals who declare and directly finalise tax position with tax departments; and have already paid foreign withholding tax have to submit below documents in order to claim tax credit for such paid tax:
Taxpayer is responsible for the accuracy of information contained in the photos; and information in provided documents must be sufficient, clear and related. It is to make sure that tax credit is foreign withholding tax.
6. Notes on Certificates of Origin since 25/12/2017
In case there’re doubts about C/O validity, C/O declaration or actual origin of imported goods, during verification process conducted by GDC, imported goods are not entitled to special preferential import tariffs. MFN preferential import tariffs shall apply.