{"id":90801,"date":"2023-11-15T11:32:24","date_gmt":"2023-11-15T03:32:24","guid":{"rendered":"https:\/\/premiatnc.com\/vn\/?page_id=90801"},"modified":"2024-09-17T09:33:57","modified_gmt":"2024-09-17T01:33:57","slug":"vat-refund","status":"publish","type":"page","link":"https:\/\/premiatnc.com\/vn\/vat-refund\/","title":{"rendered":"Vietnam Value Added Tax"},"content":{"rendered":"\t\t
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\n\t\t\t\t\t\t\t\t\tVAT Refund Service\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t
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\n\t\t\t\t\t\t\t\t\tVAT Refund Service\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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VAT Refund Service<\/h2>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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For those exploring Vietnam, understanding value-added tax refunds is vital. Vietnam provides these refunds to exporters, foreign tourists, and Vietnamese citizens residing abroad. This guide simplifies the VAT refund process, outlining eligibility, steps, and necessary information for reclaiming VAT on eligible goods. Whether navigating markets or shopping, this guide aims to streamline the refund process, making your journey more rewarding. Continue reading to find out more about the VAT refund in Vietnam and the details that follow.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t

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What does the VAT refund entail in Vietnam?<\/h2>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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The VAT refund process involves requesting reimbursement from tax authorities for the VAT paid on goods and services used in business operations. This VAT amount was initially paid by the taxpayer on behalf of the purchaser.<\/p>

VAT refund in Vietnam is a method used to calculate the tax amount payable to the national budget on taxable products. To put it simply, when a company purchases a product, it incurs VAT costs, termed input VAT. Subsequently, when the company sells the product to a customer, the buyer is responsible for paying the VAT calculated based on the product’s value, termed output VAT.<\/p>

The VAT payment for the company is then calculated as follows: output VAT minus input VAT.
If the output VAT is more than the input VAT, the business has to pay the difference to the government. If the input VAT is more than the output VAT, the business can get a refund from the government.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Eligibility criteria for VAT refund in Vietnam<\/h2>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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  1. Taxpayers using the tax deduction method are eligible for a refund if their input VAT hasn’t been fully deducted in the current period and can be carried forward.<\/li>
  2. Taxpayers registered for VAT payment using the deduction method and involved in new investment projects with unclaimed input VAT exceeding 300 million VND during the initial investment phase qualify for a VAT refund.<\/li>
  3. Taxpayers engaged in exporting goods or services with unclaimed input VAT exceeding 300 million Vietnamese Dong in a month or quarter are eligible for a monthly or quarterly VAT refund, excluding specific customs-related cases.<\/li>
  4. Taxpayers utilizing the tax deduction method are eligible for a VAT refund during changes in ownership, company transformation, mergers, or dissolution, provided there’s an excess of paid VAT or unclaimed input VAT.<\/li>
  5. Foreigners or Vietnamese citizens residing abroad can claim a VAT refund on goods purchased in Vietnam and taken upon departure.<\/li>
  6. Programs funded by non-refundable official development assistance, aid, or humanitarian aid can request a VAT refund for goods and services procured in Vietnam. Similarly, organizations using aid funds for non-refundable programs in Vietnam qualify for a VAT refund on such goods and services.<\/li>
  7. Entities with diplomatic privileges and immunities, as per relevant laws, are eligible for a VAT refund on goods and services purchased in Vietnam, documented with VAT invoices inclusive of VAT payment.<\/li><\/ol>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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    Requirements for a VAT refund in Vietnam<\/h2>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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    Companies, both local and FDI, seeking input VAT deduction for conditional business lines must ensure they possess VAT invoices for purchased goods and services, alongside bank remittances, and for exported goods and services, they additionally require contracts for sale and processing, with documents demonstrating payment through a bank, to apply for VAT refunds as subject to VAT, part of the VAT refund procedure in Vietnam, requiring supporting documents including tax refund declarations and VAT refund declaration form issued within 30 days<\/span> and needing refunds in Vietnam, while the refund amount for VAT refunded goods, including investment projects, is subject to tax authorities’ inspection, which might require refund customs inspection and refund declarations issued, further necessitating boarding pass when leaving the country at the tax refund counter.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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    Applying for a VAT refund in Vietnam<\/h2>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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    \n\t\t\t\t\t\t\t\t\tIn Vietnam, VAT refunds (returns) may be required by companies in specific instances:\n
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      For tax refunds on exported goods and services:<\/h3>\n<\/li>\n<\/ol>\n