Tax Consultancy
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VALUE-ADDED TAX CALCULATION METHODS UNDER THE LAWS OF VIETNAM
Tax is the state’s income which has huge effects on business entities and customers in the economy. One sort of tax which has widest governing scope is value-added tax paid by customers through purchasing goods or using services. Value-added tax is applied to goods and services and business entities providing goods and services shall add the value-added tax amount to the final price. Those business entities shall pay the value-added tax (VAT) amount to the state budget as their obligations. There are two methods for VAT calculation: tax credit method and direct calculation method based on added value. Tax credit method: From the point of a company, they also need to purchase material or using services for manufacturing. Hence, there is ... -
PERSONAL INCOME TAX AUDIT SERVICES IN VIETNAM
In business activities of enterprises, payment for employees take a huge portion in the budget. To make the levy of personal income tax more convenient, the obligations to perform tax audit for this kind of tax belongs to enterprises, as prescribed by the law. According to the law on tax administration, tax audit is determination of payable tax amount of a taxation year or a period from the beginning of the taxation year to the time of termination of taxable activities or from the commencement to the termination of taxable activities. According to the Law on Personal income tax 2007 (adjusted and supplemented in 2012) and Decree No. 83/2013/NĐ-CP providing guidelines for the Law on Tax administration: - Organizations and ... -
CORPORATE INCOME TAX INCENTIVES FOR NEW INVESTMENT PROJECT IN VIETNAM
One issue investors pay much attention when operating projects in Vietnam is corporate income tax incentives which is considered as a tool for attracting foreign investment. If a foreign-owned company sets up a new investment project, that one must satisfy the following conditions to get the corporate income tax incentives: Regarding the company: - Observing accounting, invoice and documents regulations and register and pay tax as declared; - Separately accounting the income from the business entitled to corporate income tax incentives. Regarding the new investment project: - Project which is granted the first Investment Registration Certificate from January 1st 2014 and generate turnover from the date of issue of such certificate; - Domestic investment project associated with the establishment of new ... -
TAX INCENTIVES FOR EXPANSION INVESTMENT PROJECTS IN VIETNAM
In accordance with Clause 3 Article 3 the Law on Investment 2014, expansion project means: “a project to make investment to expand the scale, improve the capacity, apply new technologies, reduce pollution or improve environment”. Clause 3 Article 15 of such law stipulates that expansion project is one of beneficiaries eligible for investment incentives. Investment incentives are normally tax such as corporate income tax, import tax, land use tax. These are also common things to which foreign investors pay much attention when investing in Vietnam. Therefore, in order to know whether your investment project is eligible for investment incentives or not, you have to base on regulations on investment, tax and land. Corporate income tax (CIT) incentives: Operating investment project which ... -
ENTERPRISE INCOME TAX CONSULTING SERVICES IN VIETNAM
Enterprise income tax is a kind of tax calculated based on incomes form business activities of enterprises and other incomes, which are often incomes earned from property transfer. Formula: Payable enterprise income tax = [Taxable incomes – (Tax-exempt incomes + Losses carried forward from the previous year)] × Tax rate Taxable incomes = Revenue – Deductible expense + Other incomes From January 1, 2016, enterprise income tax rate is 20%. Tax declaration: Enterprise income tax declaration are procedures for provisionally calculating the amount of tax that enterprise may have to pay. This is a duty belongs to enterprises to create grounds for tax assessment. Enterprises have obligations to declare tax and submit the quarterly tax declaration form to tax agencies ... -
TAX DECLARATION SERVICES
Tax is a compulsory contribution to state revenue, as well as a tool for economy management. Before paying tax, enterprises have their duties to report and declare tax. Tax report and declaration help tax agencies establish grounds for tax assessment, tax exemption and reduction cases. Some taxes and tax reporting terms are regulated in Circular No. 156/2013/TT-BTC issued by the Ministry of Finance on November 6, 2013, Decree No. 83/2013/NĐ-CP issued by the Government on July 22, 2013. Popular tax duties are VAT, enterprise income tax, personal income tax and license tax. However, depends on enterprise’s features and transactions incurred during the operation of enterprises, there might be other tax duties. Kim Húc collects some regulations on tax report and ...
