xoilac tv trực tiếp bóng đá hôm nayWhat incomes are subject to corporate income tax of foreign contractors in Vietnam?
What incomes aresubject to corporate income tax of foreign contractors in Vietnam?
Pursuant to Clause 1, Article 7 ofCircular 103/2014/TT-BTCstipulated as follows:
Taxable Income under CIT
- xoilac tv trực tiếp bóng đá hôm nay taxable income under CIT for foreign contractors and foreign subcontractors is income arising from xoilac tv trực tiếp bóng đá hôm nay provision and distribution of goods; provision of services, services associated with goods in Vietnam based on a contractor agreement, subcontractor agreement (excluding cases stipulated in Article 2, Chapter I).
- In cases where goods are delivered under xoilac tv trực tiếp bóng đá hôm nay form of: Delivery points located within xoilac tv trực tiếp bóng đá hôm nay territory of Vietnam (except for cases stipulated in Clause 5, Article 2, Chapter I); or xoilac tv trực tiếp bóng đá hôm nay provision of goods accompanied by certain services conducted in Vietnam such as marketing, trade promotion activities, after-sales services, installation services, testing, warranty, maintenance, replacement, and other accompanying services with goods provision (including cases where services are provided free of charge), even if xoilac tv trực tiếp bóng đá hôm nay provision of these services is or is not included in xoilac tv trực tiếp bóng đá hôm nay value of xoilac tv trực tiếp bóng đá hôm nay goods supply contract, xoilac tv trực tiếp bóng đá hôm nay taxable income under CIT for foreign contractors and foreign subcontractors is xoilac tv trực tiếp bóng đá hôm nay total value of goods and services.
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Thus, xoilac tv trực tiếp bóng đá hôm nay taxable income under CIT for foreign contractors is xoilac tv trực tiếp bóng đá hôm nay income arising from xoilac tv trực tiếp bóng đá hôm nay provision, distribution of goods; provision of services, services associated with goods in Vietnam based on a contractor agreement, subcontractor agreement (excluding cases stipulated in Article 2, Chapter I ofCircular 103/2014/TT-BTC).
What incomes are subject to corporate income tax of foreign contractors in Vietnam?(Image from xoilac tv trực tiếp bóng đá hôm nay Internet)
How to determinerevenues subject tocorporate income tax of foreign contractors in Vietnam?
According to Clause 1, Article 13 ofCircular 103/2014/TT-BTC, xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT for foreign contractors is determined as follows:
xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT is xoilac tv trực tiếp bóng đá hôm nay total revenue excluding VAT that foreign contractors, foreign subcontractors receive, before deducting taxes to be paid. xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT includes expenses paid by xoilac tv trực tiếp bóng đá hôm nay Vietnamese party on behalf of xoilac tv trực tiếp bóng đá hôm nay foreign contractor, foreign subcontractor (if any).
However, in certain cases, xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT is determined as follows:
- Case 1: If, according to xoilac tv trực tiếp bóng đá hôm nay contractor agreement, subcontractor agreement, xoilac tv trực tiếp bóng đá hôm nay revenue received by xoilac tv trực tiếp bóng đá hôm nay foreign contractor, foreign subcontractor does not include CIT to be paid, then xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT is determined by xoilac tv trực tiếp bóng đá hôm nay formula:
Taxable Revenue under CIT = Revenue excluding CIT / (1 - CIT Rate on taxable revenue)
- Case 2: If a foreign contractor signs an agreement with a Vietnamese subcontractor or foreign subcontractor who pays tax by xoilac tv trực tiếp bóng đá hôm nay declaration method or xoilac tv trực tiếp bóng đá hôm nay foreign subcontractor pays tax by xoilac tv trực tiếp bóng đá hôm nay hybrid method to delegate a portion of xoilac tv trực tiếp bóng đá hôm nay work or item stipulated in xoilac tv trực tiếp bóng đá hôm nay contractor agreement signed with xoilac tv trực tiếp bóng đá hôm nay Vietnamese party along with a list of Vietnamese subcontractors, foreign subcontractors executing xoilac tv trực tiếp bóng đá hôm nay corresponding work or items attached to xoilac tv trực tiếp bóng đá hôm nay contractor agreement, then xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT for xoilac tv trực tiếp bóng đá hôm nay foreign contractor excludes xoilac tv trực tiếp bóng đá hôm nay work value undertaken by xoilac tv trực tiếp bóng đá hôm nay Vietnamese subcontractor or foreign subcontractor.
In cases where a foreign contractor signs agreements with suppliers in Vietnam to purchase materials, equipment to execute xoilac tv trực tiếp bóng đá hôm nay contractor agreement, and goods, services for internal consumption, excluding items or work undertaken by xoilac tv trực tiếp bóng đá hôm nay foreign contractor according to xoilac tv trực tiếp bóng đá hôm nay contractor agreement, xoilac tv trực tiếp bóng đá hôm nay value of such goods and services is not deducted when determining xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT for xoilac tv trực tiếp bóng đá hôm nay foreign contractor.
- Case 3: If a foreign contractor signs an agreement with a foreign subcontractor who pays tax directly, xoilac tv trực tiếp bóng đá hôm nay Vietnamese party declares and pays CIT on behalf of xoilac tv trực tiếp bóng đá hôm nay foreign contractor, foreign subcontractor at a CIT rate applicable to xoilac tv trực tiếp bóng đá hôm nay business sector performed under xoilac tv trực tiếp bóng đá hôm nay contractor agreement, subcontractor agreement. xoilac tv trực tiếp bóng đá hôm nay foreign subcontractor is not required to declare and pay CIT on xoilac tv trực tiếp bóng đá hôm nay part of xoilac tv trực tiếp bóng đá hôm nay work value they perform according to provisions stipulated in xoilac tv trực tiếp bóng đá hôm nay subcontractor agreement signed with xoilac tv trực tiếp bóng đá hôm nay foreign contractor for which xoilac tv trực tiếp bóng đá hôm nay Vietnamese party has already declared and paid on their behalf.
- Case 4: xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT for xoilac tv trực tiếp bóng đá hôm nay leasing of machinery, equipment, vehicles is xoilac tv trực tiếp bóng đá hôm nay entire rental amount. If xoilac tv trực tiếp bóng đá hôm nay leasing revenue includes costs directly paid by xoilac tv trực tiếp bóng đá hôm nay lessor, such as vehicle insurance, maintenance, registration certification, operator costs, and transportation costs for machinery and equipment from abroad to Vietnam, then these costs are excluded from xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT if actual supporting documents are provided.
- Case 5: xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT for foreign airlines is xoilac tv trực tiếp bóng đá hôm nay revenue from passenger tickets sales, air waybills, and other charges (excluding charges collected on behalf of xoilac tv trực tiếp bóng đá hôm nay state or an organization as regulated by law) in Vietnam for transporting passengers, goods, and other conveyance subjects on xoilac tv trực tiếp bóng đá hôm nay airline's or joint venture flights.
- Case 6: xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT for foreign shipping companies is xoilac tv trực tiếp bóng đá hôm nay total freight collected from transporting passengers, goods, and other surcharges obtained from xoilac tv trực tiếp bóng đá hôm nay port of loading in Vietnam to xoilac tv trực tiếp bóng đá hôm nay final unloading port (including freight for shipments transshipped through intermediate ports) and/or freight collected from transporting goods between ports in Vietnam.
Freight used as xoilac tv trực tiếp bóng đá hôm nay basis for calculating CIT excludes freight already subjected to CIT at xoilac tv trực tiếp bóng đá hôm nay Vietnamese port concerning foreign shipowners and freight paid to Vietnamese transport enterprises for participating in transporting goods from xoilac tv trực tiếp bóng đá hôm nay Vietnamese port to an intermediate port.
- Case 7: For international logistics services from Vietnam abroad, (regardless of xoilac tv trực tiếp bóng đá hôm nay payer, whether xoilac tv trực tiếp bóng đá hôm nay sender or receiver) xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT is xoilac tv trực tiếp bóng đá hôm nay total revenue xoilac tv trực tiếp bóng đá hôm nay foreign contractor receives, excluding xoilac tv trực tiếp bóng đá hôm nay international transport charges paid to xoilac tv trực tiếp bóng đá hôm nay carrier (airline, shipping line).
- Case 8: For international courier services from Vietnam abroad (regardless of xoilac tv trực tiếp bóng đá hôm nay payer, whether xoilac tv trực tiếp bóng đá hôm nay sender or receiver), xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT is xoilac tv trực tiếp bóng đá hôm nay total revenue xoilac tv trực tiếp bóng đá hôm nay foreign contractor receives.
- Case 9: For reinsurance, xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT is determined as follows:
+ For activities of reinsurance cession abroad, xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT is xoilac tv trực tiếp bóng đá hôm nay reinsurance premium ceded abroad that xoilac tv trực tiếp bóng đá hôm nay foreign contractor receives (including reinsurance commission and client reimbursement expenses as agreed).
+ For activities of accepting reinsurance from abroad, xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT is xoilac tv trực tiếp bóng đá hôm nay reinsurance cession commission that xoilac tv trực tiếp bóng đá hôm nay foreign contractor receives.
- Case 10: For securities transactions, xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT is determined as follows:
+ For securities transfer, deposit certificates, xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT is xoilac tv trực tiếp bóng đá hôm nay total revenue from sales of securities, deposit certificates at xoilac tv trực tiếp bóng đá hôm nay time of transfer.
- Case 11: xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT for interest rate swap transactions is xoilac tv trực tiếp bóng đá hôm nay difference between xoilac tv trực tiếp bóng đá hôm nay interest received and interest paid by xoilac tv trực tiếp bóng đá hôm nay foreign contractor in one calendar year. xoilac tv trực tiếp bóng đá hôm nay tax period for xoilac tv trực tiếp bóng đá hôm nay calendar year is determined according to xoilac tv trực tiếp bóng đá hôm nay Corporate Income Tax Law, xoilac tv trực tiếp bóng đá hôm nay Tax Administration Law, and related guiding documents.
- Case 12: For treasury bills:
+ xoilac tv trực tiếp bóng đá hôm nay determination of taxable revenue under CIT for treasury bills applies to each type of treasury bill held by investors at xoilac tv trực tiếp bóng đá hôm nay time of maturity.
+ xoilac tv trực tiếp bóng đá hôm nay taxable revenue under CIT for treasury bills is determined as follows:
+ Taxable Revenue under CIT = (Face value of treasury bill - Weighted average purchase price of treasury bills held by investors at maturity date) x + Number of treasury bills held by investors at maturity date
+ xoilac tv trực tiếp bóng đá hôm nay calculation of weighted average purchase price of xoilac tv trực tiếp bóng đá hôm nay treasury bills held by investors at maturity is performed in three steps:
(i) Step 1: Determine xoilac tv trực tiếp bóng đá hôm nay quantity of treasury bills held at maturity date.
(ii) Step 2: Determine xoilac tv trực tiếp bóng đá hôm nay quantity, purchase date, and corresponding purchase price of xoilac tv trực tiếp bóng đá hôm nay treasury bills held at maturity date (determined in step 1) based on xoilac tv trực tiếp bóng đá hôm nay first-in, first-out (FIFO) principle.
(iii) Step 3: Calculate xoilac tv trực tiếp bóng đá hôm nay weighted average purchase price using xoilac tv trực tiếp bóng đá hôm nay formula:
=∑( number of treasury bills held at maturity at each purchase date x corresponding purchase price at each purchase date) ÷ Number of treasury bills held at maturity date.
How to calculate xoilac tv trực tiếp bóng đá hôm nay CIT for foreign contractors in Vietnam?
Based on Article 13 ofCircular 103/2014/TT-BTC, xoilac tv trực tiếp bóng đá hôm nay formula for calculating xoilac tv trực tiếp bóng đá hôm nay CIT for foreign contractors is:
CIT Payable = Taxable Revenue under CIT x CIT Rate on taxable revenue
Where:
+ Taxable Revenue under CIT is xoilac tv trực tiếp bóng đá hôm nay total revenue excluding VAT that foreign contractors, foreign subcontractors receive, before deducting taxes to be paid. Taxable Revenue under CIT includes expenses paid by xoilac tv trực tiếp bóng đá hôm nay Vietnamese party on behalf of xoilac tv trực tiếp bóng đá hôm nay foreign contractor, foreign subcontractor (if any). Taxable Revenue under CIT is determined in certain specific cases as per Clause 1, Article 13 ofCircular 103/2014/TT-BTC.
+ CIT Rate on taxable revenue is specified in Clause 2, Article 13 ofCircular 103/2014/TT-BTC.
