On September 8th, 2020 Hanoi Tax Department issued Official Letter No. 81763/CT-TTHT. Whereby:
If the Companies purchase goods from foreign providers without carrying out the import procedures to Vietnam, but they resell these goods to customers who are enterprises operating, doing business in Vietnam (hereinafter referred to buyers) under the condition that goods delivery will be carried out at Vietnamese port/airport (the delivery conditions will pursuant to CIF Incoterm 2010) and buyers will implement the import procedures and pay any related incurred tax (if any), all the above goods transactions activities will not be qualified for applying the tax rate of 0%. The Company must issue invoices, calculate and declare the output VAT when selling goods to customers in Vietnam as regulated by the law.
If the taxpayers have a voucher of import VAT payment bearing the taxpayer’s name and meet the condition on VAT deduction, they will be deductible for the output VAT as stipulated by the law.
