On 16th December 2019, Hanoi Tax Department issued Official Letter No. 93851/CT-TTHT. Whereby:
In case the Company has a gift giving program to customers and employees on annual holidays in accordance with the provisions of law, the Company shall implement the following:
- Regarding invoices:
- In case the Company has no engagement in gold trading, pays VAT by deduction method, buys processed gold products from organizations specialized in trading or processing gold, silver or gemstones in order to give to their customers and employees as gifts, the Company must issue VAT invoices which indicate all information (including calculation of VAT) as invoices for selling goods and services to customers.
- In case the Company buys gift vouchers from suppliers to give to customers and employees, these vouchers are considered as monetary valuable documents which can be used as payment instruments. When giving these vouchers to customers and employees, the Company is not required to issue VAT invoices.
- In case the Company gives goods as gifts to customers and employees but the receivers do not ask for invoices, the Company must still issue an invoice which specifies that “the buyer did not take invoice” in accordance with current regulations.
- Regarding personal income tax:
- In case the Company offers gifts (goods, vouchers) to individual customers, if those gifts are not assets subject to ownership or use right registration according to regulations of the law and do not fall into any of the categories specified in Clause 10, Article 2 of Circular No. 111/2013/TT-BTC issued on 15th August 2013 by Ministry of Finance, receivers are not subject to personal income tax from gifts.
