According to opinions of the General Department of Taxation, in case a company gifts assets subject to registration of right to ownership to customers without accompanied purchase or sale of goods, the gifts received by the customers shall be subject to personal income tax (PIT) in terms of incomes from gifts according to the regulations at clause 10 Article 3 of the Law on PIT.
In case the Company pays assistance in cash or in kind to household businesses that meet revenue targets, it shall declare and pay tax on behalf of the household businesses according to the regulations at Point dd Clause 5 Article 7 of Decree No. 126/2020/ND-CP .
With regard to sales promotion bonuses and discounts given to household businesses, the tax declaration and payment made on behalf of the household businesses shall be carried out according to the guidelines provided at Official Dispatch No. 346/TCT-DNNCN dated February 9th, 2022.
Notably, in case the company provides gifts as sales promotion, discounts, etc. for individuals and pay tax on behalf of these individuals, the Company must not deduct input VAT and must not record them as deductible expenditures when determining income subject to corporate income tax regarding the taxes paid on behalf of these individuals.
|Published||Vietlaw's Newsletter No. 583|
|Hóa đơn hàng khuyến mạiCập nhật đến: 19-Oct-2022|