Vietnam - Tax Policy On Capital Transfer Activities.
Legal News & Analysis - Asia Pacific - Vietnam - Tax
29 July 2021
Tax Department of Binh Duong Province issued Official Letter No. 11236/CTBDU-THTT dated 7 July 2021 to guide on the tax policies related to investment projects and activities. The contents are as follow:
If having a capital transfer, the enterprise which performs the transfer will not be subjected to VAT but must pay CIT in accordance with the law.
Organizations and individuals receiving capital transfers are responsible for determining, declaring, withholding, and paying CIT on behalf of foreign organizations in accordance with the law.