How to calculate for commercial discounts provided to household businesses paying fixed xem bóng đá trực tiếp trên youtube in Vietnam?
Which entities shall pay taxes in the case where an organization pays commercial discounts on behalf of another household businesspaying fixed xem bóng đá trực tiếp trên youtube in Vietnam?
Based on Article 8 ofCircular 40/2021/TT-BTC, amended by Section 2, Article 1 ofCircular 100/2021/TT-BTC, which stipulates the method of xem bóng đá trực tiếp trên youtube calculation for cases where organizations or individuals declare and pay taxes on behalf of individuals, the following is provided:
Method of xem bóng đá trực tiếp trên youtube Calculation for Cases Where Organizations or Individuals Declare and Pay Taxes on Behalf of Individuals
- Organizations or individuals declare and pay taxes on behalf of individuals in the following cases:
a) Organizations renting property from individuals, where the lease agreement specifies that the tenant is responsible for paying the xem bóng đá trực tiếp trên youtube;
b) Organizations conducting business collaborations with individuals;
c) Organizations paying bonuses, support for achieving sales targets, promotions, commercial discounts, payment discounts, cash or non-cash support, compensation for contract violations, and other compensations to household businesses paying fixed xem bóng đá trực tiếp trên youtube;
d) Organizations in Vietnam partnering with foreign digital platform providers (without a permanent establishment in Vietnam) for paying income from digital content products and services to individuals as per the agreement with the foreign digital platform provider;
đ) Organizations, including e-commerce platform owners, declaring and paying taxes on behalf of individuals based on authorization according to civil law regulations;
e) Individuals declaring and paying taxes on behalf of individuals who are taxpayers, based on authorization according to civil law regulations.
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Thus, when an organization provides commercial discounts to household businesses paying fixed xem bóng đá trực tiếp trên youtube, the organization is responsible for declaring and paying taxes on their behalf.
How tocalculatefor commercial discountsprovided to household businesses paying fixed xem bóng đá trực tiếp trên youtube in Vietnam?
According to Article 10 ofCircular 40/2021/TT-BTC, the basis for xem bóng đá trực tiếp trên youtube calculation is stipulated as follows:
Basis for xem bóng đá trực tiếp trên youtube Calculation
The xem bóng đá trực tiếp trên youtube basis for business households and individual businesses is the taxable revenue and the xem bóng đá trực tiếp trên youtube rate applied to the revenue.
- Taxable Revenue
Taxable revenue for VAT and personal income xem bóng đá trực tiếp trên youtube for business households and individual businesses includes the revenue (if within the taxable scope) from the total sales, processing fees, commissions, and service provision generated during the xem bóng đá trực tiếp trên youtube period from production and business activities, including bonuses, sales support, promotions, commercial discounts, payment discounts, cash or non-cash support; pricing supports, surcharges, additional fees received according to regulations; compensation for contract violations, and other compensations (only calculated for personal income taxable revenue); and other revenue enjoyed by business households and individual businesses, regardless of whether collected or not.
- xem bóng đá trực tiếp trên youtube Rate on Revenue
a) The xem bóng đá trực tiếp trên youtube rate on revenue includes the VAT rate and the personal income xem bóng đá trực tiếp trên youtube rate applied specifically to each field and profession as guided in Appendix I issued together with this Circular.
b) In case business households and individual businesses operate in various fields and professions, they shall declare and calculate xem bóng đá trực tiếp trên youtube based on the xem bóng đá trực tiếp trên youtube rate applicable to each field and profession. If unable to determine the taxable revenue for each field and profession or determine it incorrectly according to actual business activities, the xem bóng đá trực tiếp trên youtube authority shall determine the taxable revenue for each field and profession according to xem bóng đá trực tiếp trên youtube management regulations.
- Determining the xem bóng đá trực tiếp trên youtube Payable
VAT payable = VAT taxable revenue x VAT rate
Personal income xem bóng đá trực tiếp trên youtube payable = Personal income xem bóng đá trực tiếp trên youtube taxable revenue x Personal income xem bóng đá trực tiếp trên youtube rate
Where:
- VAT taxable revenue and personal income xem bóng đá trực tiếp trên youtube taxable revenue are guided in Section 1 of this Article.
- VAT rate and personal income xem bóng đá trực tiếp trên youtube rate are guided in Appendix I issued with this Circular.
Additionally, based on Appendix 1 - the list of industries for calculating VAT and personal income xem bóng đá trực tiếp trên youtube on revenue for business households and individual businesses issued together withCircular 40/2021/TT-BTC, trade discount activities are identified with a personal income xem bóng đá trực tiếp trên youtube rate of 0.5% and a VAT rate of 1%.
Thus, the amount of xem bóng đá trực tiếp trên youtube payable from commercial discounts provided to household businesses paying fixed xem bóng đá trực tiếp trên youtube, which the organization pays on their behalf, is determined by the following formula:
| Personal income xem bóng đá trực tiếp trên youtube payable = Personal income xem bóng đá trực tiếp trên youtube taxable revenue x 0.5% VAT payable = VAT taxable revenue x 1% |
How to calculate for commercial discounts provided to household businesses paying fixed xem bóng đá trực tiếp trên youtube in Vietnam?(Image from Internet)
Vietnam: What does the xem bóng đá trực tiếp trên youtube return for organizations declaring taxes on behalf of household businesses paying fixed taxinclude?
Based on Section 1, Article 16 ofCircular 40/2021/TT-BTC, the xem bóng đá trực tiếp trên youtube return for organizations declaring taxes on behalf of household businesses paying fixed xem bóng đá trực tiếp trên youtube is stipulated as follows:
The monthly or quarterly xem bóng đá trực tiếp trên youtube return for organizations declaring taxes on behalf of household businesses paying fixed xem bóng đá trực tiếp trên youtube in cases of business collaboration with organizations; organizations paying individuals for achieving sales targets; organizations owning e-commerce platforms; organizations in Vietnam as partners of foreign digital platform providers (without a permanent establishment in Vietnam) paying income to individuals:
- xem bóng đá trực tiếp trên youtube declaration for business households and individual businesses using form number 01/CNKD issued withCircular 40/2021/TT-BTC;
- Appendix of Detailed Business Household and Individual Business Listing (applicable to organizations, individuals declaring and paying taxes on behalf of individuals; individuals collaborating in business with organizations; organizations paying individuals for sales achievements; organizations owning e-commerce platforms; organizations in Vietnam partnering with foreign digital platform providers) using form number 01-1/BK-CNKD issued withCircular 40/2021/TT-BTC;
- Copy of the business collaboration contract (if it's the first xem bóng đá trực tiếp trên youtube declaration of the contract). The xem bóng đá trực tiếp trên youtube authority has the right to request the original for comparison and to verify the accuracy of the copy against the original.
