On September 26, 2019, Hanoi Tax Department issued Official Letter No. 74660/CT-TTHT. Whereby:
In case the Company provides seminar services for foreign enterprises, this service is provided and consumed outside Vietnam in accordance with the law, it is subject to the VAT rate of 0% if meeting conditions prescribed in Clause 2 Article 9 of Circular No. 219/2013/TT-BTC dated December 31, 2013 of the Ministry of Finance. The company uses commercial invoices in accordance with international practices as prescribed in Clause 7, Article 3 of Circular No. 119/2014/TT-BTC.
If the income from the aforementioned service contract for a project in a foreign country that has signed Avoidanceof Double Tax Agreement (DTA) with Vietnam is already subject to CIT (or a tax of a similar nature) abroad, and the amount of tax paid is in accordance with the provisions of foreign law and the provisions of the DTA, then the amount of tax paid (or deemed to be paid) in foreign countries will be deducted from the amount of tax to submit in Vietnam if meeting the conditions and principles specified in Article 48 of Circular No. 205/2013/TT-BTC. Procedures for deducting foreign tax on the payable tax amount in Vietnam comply with Clause 4, Article 44 of Circular 156/2013/TT-BTC of November 6, 2013.
