Effective from and on July 1, transactions involving goods and services valued at under 20 million VND must be conducted without cash. This requirement is outlined in the Law on Value Added Tax (VAT) 2024, No. 48/2024/QH15, which was enacted on November 26, 2024.
Point b, Clause 2, Article 14 of the Law on Value Added Tax 2024, No. 48/2024/QH15 stipulates that one of the conditions for the deduction of input value added tax is the existence of a non-cash payment document for acquired goods and services, with certain exceptions as determined by the Government. Therefore, in accordance with the Law on Value Added Tax 2024, all acquired goods and services must be accompanied by a non-cash payment document, barring specific exceptions as outlined by the Government.
Specifically, Clause 6, Article 1 of the Law amending and supplementing the Law on Value Added Tax 2013 (which amends and supplements Point b, Clause 2, Article 12 of the Law on Value Added Tax 2008) stipulates that one of the three conditions for the deduction of input Value Added Tax is the possession of a non-cash payment document for purchased goods and services, with the exception of goods and services acquired in transactions valued at less than 20 million VND. Furthermore, Point c, Clause 2, Article 14 of the Law on Value Added Tax 2024 introduces additional documents that qualify for input Value Added Tax deductions. Accordingly, for exported goods and services, packing slips, bills of lading, and goods insurance documents (if applicable) are required; except in certain special cases as prescribed by the Government, input Value Added Tax remains deductible. This represents a new provision compared to the existing law.
Reported by Truc Huynh – Translated by Vi Bao
