What is proposal for household businesses and individuals with a turnover trực tiếp bóng đá hôm nay euro less than 150 million VND per year not to pay VAT in Vietnam?
Let me ask: Is there a proposal that household businesses and individuals with a turnover trực tiếp bóng đá hôm nay euro less than 150 million VND per year will not pay VAT in Vietnam? - Question from Ms. Chau (Hanoi).
What is proposal for household businesses and individuals with a turnover trực tiếp bóng đá hôm nay euro less than 150 million VND per year not to pay VAT in Vietnam?
In Clause 25, Article 5 trực tiếp bóng đá hôm nay euro the 2008 Value Added Tax Law, amended by Clause 1, Article 1 trực tiếp bóng đá hôm nay euro the 2013 Amended Value Added Tax Law, there are regulations on non-taxable objects as follows:
Non-taxable objects
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25. Goods and services provided by business households and individuals that earn annual revenue trực tiếp bóng đá hôm nay euro less than 100 million VND.
The business establishments that sell the goods and services that are not subject to VAT in this Article shall not deduct input VAT or receive input VAT refund, except for the cases to which the tax rate trực tiếp bóng đá hôm nay euro 0% applies that are defined in Clause 1 Article 8 trực tiếp bóng đá hôm nay euro this Law.
In Clause 25, Article 5 trực tiếp bóng đá hôm nay euro the Draft Law on Value Added Tax (amended), there is a proposal for the level trực tiếp bóng đá hôm nay euro sales revenue not subject to value added tax as follows:
Non-taxable objects
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25. Goods and services trực tiếp bóng đá hôm nay euro household businesses and individuals with annual revenue trực tiếp bóng đá hôm nay euro one hundred fifty million VND or less; Assets sold by non-business organizations and individuals who are not value-added taxpayers; national reserve goods sold by the national reserve agency; activities and services collecting fees and charges according to the law on fees and charges.
Thus, it is expected that if household businesses and individuals have annual sales revenue trực tiếp bóng đá hôm nay euro 150 million VND or less, they will not have to pay VAT instead trực tiếp bóng đá hôm nay euro 100 million VND as currently in Vietnam.
What is proposal for household businesses and individuals with a turnover trực tiếp bóng đá hôm nay euro less than 150 million VND per year not to pay VAT in Vietnam? (Image from the Internet)
When is the VAT invoice issued in Vietnam?
In Article 9 trực tiếp bóng đá hôm nay euro Decree 123/2020/ND-CP, there are regulations on invoicing time as follows:
Invoicing time
1. Invoices for sale trực tiếp bóng đá hôm nay euro goods (including the sale trực tiếp bóng đá hôm nay euro state-owned property, property confiscated and put into state fund, and the sale trực tiếp bóng đá hôm nay euro national reserve goods) shall be issued when the right to own or use goods is transferred to buyers, whether the payment trực tiếp bóng đá hôm nay euro the invoiced amount is made or not.
2. Invoices for provision trực tiếp bóng đá hôm nay euro services shall be issued upon completion trực tiếp bóng đá hôm nay euro the provision trực tiếp bóng đá hôm nay euro services, whether the payment trực tiếp bóng đá hôm nay euro the invoiced amount is made or not. In case a service is provided with payments collected in advanced or during the provision trực tiếp bóng đá hôm nay euro that service, an invoice shall be issued when each payment is collected (excluding payments trực tiếp bóng đá hôm nay euro deposited amounts or advance payments which are made to ensure the execution trực tiếp bóng đá hôm nay euro contracts for provision trực tiếp bóng đá hôm nay euro accounting, audit, financial consulting or taxation services; valuation services; technical survey and design services; supervision consulting services; investment construction project formulation services).
3. In case where multiple deliveries are required, or each goods item or service phase is accepted, it shall be mandatory to issue an invoice showing quantity, value trực tiếp bóng đá hôm nay euro goods or service for each respective delivery or acceptance.
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Thus, VAT invoices in Vietnam are issued at the following time:
- For goods sales activities:
VAT invoices are issued when the right to own or use goods is transferred to buyers, whether the payment trực tiếp bóng đá hôm nay euro the invoiced amount is made or not.
- For service provision activities:
VAT invoices are issued upon completion trực tiếp bóng đá hôm nay euro the provision trực tiếp bóng đá hôm nay euro services, whether the payment trực tiếp bóng đá hôm nay euro the invoiced amount is made or not.
If money is collected before or while providing services, the time trực tiếp bóng đá hôm nay euro invoice issuance is the time trực tiếp bóng đá hôm nay euro collection, except in the case trực tiếp bóng đá hôm nay euro collecting deposits or advances to ensure the performance trực tiếp bóng đá hôm nay euro contracts to provide services: accounting, audit, financial consulting or taxation services,...
- For multiple deliveries or handover trực tiếp bóng đá hôm nay euro individual items and translation stages:
VAT invoices are issued upon each delivery or stage handover.
How much is penalty for not issuing an invoice when selling goods in Vietnam?
According to Article 24 trực tiếp bóng đá hôm nay euro Decree 125/2020/ND-CP regulating penalties for violations against regulations on issuance trực tiếp bóng đá hôm nay euro invoices upon sale trực tiếp bóng đá hôm nay euro goods or provision trực tiếp bóng đá hôm nay euro services, specifically:
Penalties for violations against regulations on issuance trực tiếp bóng đá hôm nay euro invoices upon sale trực tiếp bóng đá hôm nay euro goods or provision trực tiếp bóng đá hôm nay euro services
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2. Fines ranging from VND 500,000 to VND 1,500,000 shall be imposed for one trực tiếp bóng đá hôm nay euro the following violations:
a) Failing to issue general invoices in accordance with laws on invoices for sale trực tiếp bóng đá hôm nay euro goods or provision trực tiếp bóng đá hôm nay euro services;
b) Failing to invoice promotional, advertising or sample goods or services; goods and services used as gifts, donations, presents, swaps or employee’s payment-in-kind wages, except for internally circulated or consumed goods for further production purposes.
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5. Fine from 10,000,000 VND to 20,000,000 VND for acts trực tiếp bóng đá hôm nay euro not issuing invoices when selling goods or providing services to buyers according to regulations, except for the acts specified in Point b, Clause 2 trực tiếp bóng đá hôm nay euro this Article.
Clause 5, Article 5 trực tiếp bóng đá hôm nay euro Decree 125/2020/ND-CP stipulates principles trực tiếp bóng đá hôm nay euro sanctioning administrative violations trực tiếp bóng đá hôm nay euro taxes and invoices as follows:
Sanctioning principles
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5. For a tax or invoice-related administrative violation, if an entity commits such violation, they must be fined two times as much as the amount trực tiếp bóng đá hôm nay euro penalty imposed on persons, except the amounts trực tiếp bóng đá hôm nay euro penalty for the acts prescribed in Article 16, 17 and 18 herein.
At Point a, Clause 4, Article 7, Decree 125/2020/ND-CP stipulates the principles for applying fines as follows:
Sanctioning forms, remedies and principles trực tiếp bóng đá hôm nay euro imposition trực tiếp bóng đá hôm nay euro fines for tax or invoice-related administrative violations
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4. Principles trực tiếp bóng đá hôm nay euro determination trực tiếp bóng đá hôm nay euro fine amounts
a) The fine amounts specified in Article 10, 11, 12, 13, 14 and 15; clause 1 and 2 trực tiếp bóng đá hôm nay euro Article 19; and Chapter III herein, shall be those applied to violating entities.
Taxpayers that are family households or sole proprietorship households shall be fined the same as violating persons.
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Thus, failure to issue invoices when selling goods will result in a fine in Vietnam as follows:
- Fine from 500,000 to 1,500,000 VND for organizations and from 250,000 to 750,000 VND for individuals, households, and household businesses for the following acts:
+ Do not create consolidated invoices.
+ Do not issue invoices for goods used for promotion, advertising, or sample products; goods used to give away, give away, donate, exchange, or pay instead trực tiếp bóng đá hôm nay euro wages to workers, goods circulated internally, consumed internally to continue the production process
- Fine from 10,000,000 to 20,000,000 VND for organizations and from 5,000,000 to 10,000,000 VND for individuals, households, and household businesses for the act trực tiếp bóng đá hôm nay euro not issuing invoices when selling goods, provide services to other buyers.
In addition, failure to issue invoices is considered tax evasion and will be sanctioned and remedial measures will be taken according to Article 17 trực tiếp bóng đá hôm nay euro Decree 125/2020/ND-CP.
Note: The fine for this behavior is the fine level trực tiếp bóng đá hôm nay euro the organization. For individuals who commit the same behavior, the penalty will be half the amount trực tiếp bóng đá hôm nay euro the organization in Vietnam.
Best regards!
