On June 25th 2018, Hanoi Department of Tax issued the Official Letter No 43328/CT-TTHT. Accordingly, in case Enterprise signs a contract to purchase goods of a foreign company but does not directly import into
Vietnam and resells such goods to another company in a foreign country, this will be called as merchanting trade and is not required to carry out customs procedures. This activity is not subject to Value Added Tax aaccording to Clause 20, Article 4 of Circular No. 219/2013 / TT-BTC issued by Ministry of Finance.
