According to Circular 219/2013/TT-BTC providing guidance on implementation of the Law on VAT, services being consumed outside of Vietnam or in the non-tariff zone are subject to 0% VAT. However, the concept of “being consumed outside Vietnam” is not defined clearly in the relevant Decrees and Circulars on VAT but only in Official Letters issued by the Tax Departments for each of specific situation.
Please follow the link below to download our full Spotlight in this respect and other guidance issued by the tax authorities, including:
- The application of Value Added Tax rates for services supplied to enterprises in the non-tariff zones
- Determination on deductible interest expense when calculating taxable income for Corporate Income Tax
- Tax policies on compensation and commission from the receipt and payment on behalf
- Taxable income when calculating Personal Income Tax for foreign employees
- Personal Income Tax finalization for employees
English version: Download here
Vietnamese version: Download here
Should you require further information, please contact your usual RSM advisor or one of the tax professionals listed in the contact list.