OFFICIAL LETTER 77220/CTHN-TTHT ON VAT DEDUCTION AND DEDUCTIVE EXPENSES FOR EDUCATION FUNDING
Official letter 77220/CTHN-TTHT on VAT deduction and deductible expenses for education funding:
Based on the above regulations, in case the Company has an educational grant if it is for the correct subjects specified in item a, point 2.22, Clause 2, Article 4 of Circular 96/2015/TT-BTC and there are complete documents to determine the grant. Sponsorship as prescribed in item b, point 2.22, clause 2, article 4 of Circular 96/2015/TT-BTC is included in deductible expenses when determining income subject to corporate income tax.
Input VAT on goods and services used for production and trading of goods and services subject to VAT is fully deductible according to the provisions of Clause 1, Article 14 of Circular No. 219/2013/TT-BTC of the Ministry Finance if it meets the VAT deduction conditions specified in Article 15 of Circular 219/2013/TT-BTC (amended and supplemented in Clause 10, Article 1 of Circular 26/2015/TT-BTC, Article 1 Circular 173/2016/TT-BTC).
