When determining income subject to CIT in Vietnam, what are lịch trực tiếp bóng đá hôm nay cases in which lịch trực tiếp bóng đá hôm nay depreciation of fixed assets will not be deductible?

When determining income subject to CIT in Vietnam, what are lịch trực tiếp bóng đá hôm nay cases in which lịch trực tiếp bóng đá hôm nay depreciation of fixed assets will not be deductible?

According to lịch trực tiếp bóng đá hôm nay provisions in point 2.2, paragraph 2, Article 6 ofCircular No. 78/2014/TT-BTCamended by Article 4 ofCircular No. 96/2015/TT-BTC, supplemented by paragraph 1 Article 3 ofCircular No. 25/2018/TT-BTC, depreciation of fixed assets in lịch trực tiếp bóng đá hôm nay following cases will not be deductible when determining income subject to CIT:

- Depreciation of fixed assets that are not used for business operations.

Exceptions are fixed assets serving employees at lịch trực tiếp bóng đá hôm nay enterprise, such as breakrooms, canteens, changing rooms, restrooms, medical rooms or stations, training facilities, libraries, kindergartens, sports areas, and eligible fixed assets installed in lịch trực tiếp bóng đá hôm nay aforementioned facilities; clean water reservoirs, garages, employee transportation buses, worker housing; costs of constructing physical infrastructure, costs of purchasing machinery, equipment that are fixed assets used for vocational education activities are included for depreciation in deductible expenses when determining taxable income.

- Depreciation on fixed assets without documentation proving enterprise ownership (except for fixed assets leased for finance).

- Depreciation on fixed assets not managed, tracked, or recorded in lịch trực tiếp bóng đá hôm nay enterprise's accounting books according to current asset management and accounting policies.

- Depreciation exceeding lịch trực tiếp bóng đá hôm nay current regulations of lịch trực tiếp bóng đá hôm nay Ministry of Finance on management, use, and depreciation of fixed assets.

Enterprises should notify lịch trực tiếp bóng đá hôm nay direct tax authority about lịch trực tiếp bóng đá hôm nay chosen method of fixed asset depreciation before conducting depreciation (e.g., notifying lịch trực tiếp bóng đá hôm nay choice of straight-line depreciation method...).

Annually, enterprises depreciate fixed assets according to current regulations of lịch trực tiếp bóng đá hôm nay Ministry of Finance on management, use, and depreciation of fixed assets, including cases of accelerated depreciation (if conditions are met).

Enterprises with high economic efficiency are allowed accelerated depreciation but not exceeding twice lịch trực tiếp bóng đá hôm nay standard depreciation rate determined by lịch trực tiếp bóng đá hôm nay straight-line method to quickly modernize technology for certain fixed assets under current Ministry of Finance regulations on management, use, and depreciation of fixed assets. When applying accelerated depreciation, lịch trực tiếp bóng đá hôm nay enterprise must ensure profitability.

For contributed fixed assets, transferred fixed assets when splitting, merging, consolidating, converting business forms with revaluation, lịch trực tiếp bóng đá hôm nay receiving enterprise calculates depreciation on lịch trực tiếp bóng đá hôm nay revaluated original cost into deductible expenses.

For other assets that do not qualify as fixed assets with a contribution or transfer in cases of split, merge, consolidation, business form conversion with revaluation, lịch trực tiếp bóng đá hôm nay receiving enterprise includes lịch trực tiếp bóng đá hôm nay cost or apportions it into deductible expenses based on lịch trực tiếp bóng đá hôm nay revaluation.

For self-made fixed assets, lịch trực tiếp bóng đá hôm nay original cost of fixed assets depreciated for inclusion into deductible expenses is lịch trực tiếp bóng đá hôm nay total production cost forming those assets.

For assets like tools, instruments, and reusable packaging that do not qualify as fixed assets under regulations, lịch trực tiếp bóng đá hôm nay purchase cost of these assets is apportioned into business production operating expenses over lịch trực tiếp bóng đá hôm nay term but not exceeding 3 years.

- Depreciation for fully depreciation-fixed assets.

- Some specific cases are determined as follows:

+ Not included in deductible expenses when determining taxable income: Depreciation corresponding to lịch trực tiếp bóng đá hôm nay original cost exceeding 1.6 billion VND/vehicle for passenger cars with 9 seats or less (excluding: passenger cars for transportation business, tourism, hotels; cars used for sample and test driving for car business); depreciation for fixed assets being civilian aircraft, yachts not used for business transportation of goods, passengers, tourism, hotels.

Passenger cars with 9 seats or less specializing in passenger transportation business, tourism, and hotels are cars registered in lịch trực tiếp bóng đá hôm nay enterprise's name in lịch trực tiếp bóng đá hôm nay Business Registration Certificate or Business Registration Certificate that has registered one of lịch trực tiếp bóng đá hôm nay following sectors: passenger transport, tourism, hotel business and licensed according to lịch trực tiếp bóng đá hôm nay regulations of legal documents on transportation business, passenger transport, tourism, hotels.

Civilian aircraft and yachts not used for goods, passenger transport, or tourism purposes are civilian aircraft, yachts of enterprises registered and depreciated for fixed assets but in lịch trực tiếp bóng đá hôm nay Business Registration Certificate or Business Registration Certificate, lịch trực tiếp bóng đá hôm nay enterprise has not registered goods transportation, passenger transportation, tourism, hotel business sectors.

If enterprises transfer or liquidate passenger cars with 9 seats or less, lịch trực tiếp bóng đá hôm nay remaining value is determined by lịch trực tiếp bóng đá hôm nay original purchase cost of fixed assets minus lịch trực tiếp bóng đá hôm nay accumulated depreciation of fixed assets according to current asset management and depreciation policies up to lịch trực tiếp bóng đá hôm nay transfer, liquidation time.

Example 8: Enterprise A purchased a car with less than 9 seats at an original cost of 6 billion VND, lịch trực tiếp bóng đá hôm nay company depreciated for 1 year then liquidated it. Depreciation according to current asset management and depreciation policies is 1 billion VND (lịch trực tiếp bóng đá hôm nay depreciation period is 6 years according to fixed asset depreciation regulations). lịch trực tiếp bóng đá hôm nay tax policy depreciation included in deductible expenses is 1.6 billion VND/6 years = 267 million VND. Enterprise A liquidates and sells lịch trực tiếp bóng đá hôm nay car for 5 billion VND.

Income from car liquidation: 5 billion VND - (6 billion VND - 1 billion VND) = 0 VND

- Depreciation on buildings on land used for both business production and other purposes is not included in deductible expenses for lịch trực tiếp bóng đá hôm nay portion of lịch trực tiếp bóng đá hôm nay building's value corresponding to lịch trực tiếp bóng đá hôm nay area not used for business production.

If an enterprise has buildings on land such as office headquarters, factories, stores serving business production activities, lịch trực tiếp bóng đá hôm nay enterprise is allowed depreciation into deductible expenses when determining taxable income according to lịch trực tiếp bóng đá hôm nay appropriate depreciation rate and useful life of fixed assets as stipulated by current Ministry of Finance regulations if lịch trực tiếp bóng đá hôm nay following conditions are met:

++ Possesses a Land Use Rights Certificate in lịch trực tiếp bóng đá hôm nay name of lịch trực tiếp bóng đá hôm nay enterprise (in case of privately-owned land) or has a land lease, loan contract between lịch trực tiếp bóng đá hôm nay enterprise and lịch trực tiếp bóng đá hôm nay land-owning entity or individual with lịch trực tiếp bóng đá hôm nay enterprise representative held accountable for lịch trực tiếp bóng đá hôm nay contract's accuracy before lịch trực tiếp bóng đá hôm nay law (in case of leased or borrowed land).

++ Invoices for construction work payment, along with lịch trực tiếp bóng đá hôm nay construction contract, contract liquidation, and work value settlement with lịch trực tiếp bóng đá hôm nay enterprise's name, address, and tax code.

++ Managed, tracked, and accounted buildings on land as per current fixed asset management regulations.

+ If an enterprise-owned fixed asset used for business production that needs to be temporarily paused due to seasonal production under 9 months; temporarily paused for repairs, relocation, maintenance, under 12 months, then continues serving business production, lịch trực tiếp bóng đá hôm nay enterprise is allowed depreciation and lịch trực tiếp bóng đá hôm nay depreciation cost during lịch trực tiếp bóng đá hôm nay pause period is included in deductible expenses when determining taxable income.

lịch trực tiếp bóng đá hôm nay enterprise must preserve and provide full documentation and reasons for temporarily pausing lịch trực tiếp bóng đá hôm nay fixed assets upon tax authority requests.

+ Long-term land use rights are not depreciated or apportioned into deductible expenses when determining taxable income; Time-limited land use rights, if validated with full invoices, documents, and compliant legal procedures, involved in business activities, are gradually apportioned into deductible expenses according to lịch trực tiếp bóng đá hôm nay allowed land use term in lịch trực tiếp bóng đá hôm nay Land Use Rights Certificate (including temporary cessation for repairs, new construction investment).

If an enterprise purchases tangible fixed assets as buildings, structures attached to long-term land use rights, lịch trực tiếp bóng đá hôm nay land use rights value must be separately accounted and recorded as intangible fixed assets; Tangible fixed assets as buildings, structures have an original cost being lịch trực tiếp bóng đá hôm nay actual purchase price plus (+) direct costs associated with bringing lịch trực tiếp bóng đá hôm nay tangible fixed assets into use.

lịch trực tiếp bóng đá hôm nay land use rights value is determined according to lịch trực tiếp bóng đá hôm nay contract's agreed price consistent with lịch trực tiếp bóng đá hôm nay market price, but not lower than lịch trực tiếp bóng đá hôm nay land price in lịch trực tiếp bóng đá hôm nay provincial or centrally governed city's price list at lịch trực tiếp bóng đá hôm nay purchase time.

If an enterprise purchases tangible fixed assets as buildings, structures attached to long-term land use rights but lịch trực tiếp bóng đá hôm nay land use rights value cannot be separated, it is determined following lịch trực tiếp bóng đá hôm nay provincial or centrally governed city's price list at lịch trực tiếp bóng đá hôm nay purchase time.

If an enterprise transfers part of its capital or lịch trực tiếp bóng đá hôm nay entire enterprise to another as per law, and there is asset transfer, lịch trực tiếp bóng đá hôm nay acquiring enterprise is only allowed depreciation of fixed assets into deductible expenses for lịch trực tiếp bóng đá hôm nay transferred assets which meet depreciation conditions based on lịch trực tiếp bóng đá hôm nay remaining value in lịch trực tiếp bóng đá hôm nay accounting books at lịch trực tiếp bóng đá hôm nay transferring enterprise.

When determining income subject to CIT in Vietnam, what are lịch trực tiếp bóng đá hôm nay cases in which lịch trực tiếp bóng đá hôm nay depreciation of fixed assets will not be deductible? (Image from lịch trực tiếp bóng đá hôm nay Internet)

What doesincome subject to CIT in Vietnaminclude?

Under Article 3 of lịch trực tiếp bóng đá hôm nayLaw No. 14/2008/QH12 xem bóngamended by paragraph 1 of Article 1 ofLaw No. 71/2014/QH13 dated November, taxable income includes income from business operations and other income.

Other income includes:

- Income from capital transfer, transfer of capital contribution rights;

- Income from real estate transfer, project transfer, investment project participation transfer, exploration, mining, processing mineral rights transfer;

- Income from asset use rights, asset ownership rights, including income from intellectual property rights as regulated by law;

- Income from transfer, lease, liquidation of assets, including valuable papers;

- Income from deposit interest, loan interest, foreign currency sales; income from previously written-off bad debt recovery;

- Income from unidentified payable debts;

- Income from previous years' business omitted income and other income.

* Vietnamese enterprises investing abroad bringing back income after paying foreign corporate income tax to Vietnam are subject to lịch trực tiếp bóng đá hôm nay Double Taxation Avoidance Agreement if signed between Vietnam and lịch trực tiếp bóng đá hôm nay respective countries, according to lịch trực tiếp bóng đá hôm nay Agreement's provisions.

For countries without a Double Taxation Avoidance Agreement with Vietnam, if lịch trực tiếp bóng đá hôm nay corporate income tax rate in those countries is lower, lịch trực tiếp bóng đá hôm nay differential amount with lịch trực tiếp bóng đá hôm nay tax rate specified in Vietnam's corporate income tax law will be collected.

What isthe applicablecorporate income tax rate in Vietnam?

Under Article 10 of lịch trực tiếp bóng đá hôm nayLaw No. 14/2008/QH12 xem bóngamended by paragraph 6 of Article 1 of lịch trực tiếp bóng đá hôm nay Law onLaw No. 71/2014/QH13 dated November 26(some phrases were replaced by paragraph 1 of Article 67 of lịch trực tiếp bóng đá hôm naytrực tiếp bóng đá euro) which stipulates lịch trực tiếp bóng đá hôm nay corporate income tax rate:

Tax Rate

1. lịch trực tiếp bóng đá hôm nay corporate income tax rate is 22%, except as provided in paragraphs 2, 3 of this Article and subjects eligible for preferential tax rates provided in Article 13 of this Law.

Cases subject to lịch trực tiếp bóng đá hôm nay 22% tax rate under this paragraph are subject to a 20% tax rate from January 1, 2016.

2. Enterprises with total annual revenue not exceeding twenty billion VND apply a 20% tax rate.

lịch trực tiếp bóng đá hôm nay revenue to determine enterprises subject to lịch trực tiếp bóng đá hôm nay 20% tax rate under this paragraph is lịch trực tiếp bóng đá hôm nay previous year's revenue.

3. lịch trực tiếp bóng đá hôm nay corporate income tax rate for petroleum activities ranges from 25% to 50% suitable for each petroleum contract; lịch trực tiếp bóng đá hôm nay corporate income tax rate for exploration, extraction of rare resources in Vietnam ranges from 32% to 50% suitable for each project, each business establishment.

lịch trực tiếp bóng đá hôm nay Government of Vietnam regulates detailed guidance on implementing this Article.

Thus, lịch trực tiếp bóng đá hôm nay current corporate income tax rate is 20%.

lịch trực tiếp bóng đá hôm nay corporate income tax rate for petroleum activities ranges from 25% to 50% suitable for each petroleum contract; lịch trực tiếp bóng đá hôm nay corporate income tax rate for exploration, extraction of rare resources in Vietnam ranges from 32% to 50% suitable for each project, each business establishment.

* For enterprises with total annual revenue not exceeding twenty billion VND, a 20% tax rate applies.