Vietnam presents VAT compliance simplification Bill
- 14 January 2013 | Richard Asquith
The Vietnamese Ministry of Finance has proposed changes to the Vietnam VAT law. The principle changes include:
- companies will be able to submit input VAT suffered on expenditure dating back up to 12 months. This compares to the current time of only 6 months.
- in addition to the above, the annual threshold for deducting input VAT is to be raised to VND 500m for refunds
- new exemptions for health and personal insurance costs for sole traders
- a new basis for the calculation for the liability to charge VAT for small businesses
The draft bill will not be implemented until 2014, subject to the approval of Parliament.