Official letter No. 78769/CT-TTHT
dated August 26th, 2020 of the Department of Taxation of Ha Noi city regarding filling out VAT invoices in case of collecting on behalf of foreign logistics service providers, forwarders
Posted: 7/9/2020 8:55:35 AM | Latest updated: 15/9/2020 3:59:21 PM (GMT+7)
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According to point d Clause 7 Article 5 of Circular No. 219/2013/TT-BTC , in case a Company signs a contract on collection, payment on behalf of foreign shipping firms with regard to amounts arising outside Vietnam such as charges for customs declaration, freight, etc. if the collection made on behalf of the foreign shipping firms neither generate income nor relate to the Company’s goods sale and service provision, the Company shall be exempt from VAT declaration and payment.
With regard to the amount collected on other’s behalf such as freight for international transport from foreign countries to Vietnam and amounts paid for services provided and consumed outside Vietnam, upon be transferred to the foreign shipping firms, such amounts shall be exempt from withholding tax (Clause 3 Article 2, point b.5 Clause 1 Article 12, point b.6 Clause 1 Article 13 of Circular No. 103/2014/TT-BTC).