On May 09, 2016, the General Department of Taxation issued official letter No. 1964/TCT-CS guiding on deductible VAT foreign contractor tax which be collected arrears. Accordingly, the Company signed a contract with foreign contractor but not declare, pay tax on behalf of foreign contractor. Tax authorities check and collect tax arrears for VAT pay on behalf of foreign contractor, these VAT shall not be declared, deducted.
