Official letter 50626/CTHN-TTHT about VAT policy:
In case the company receives the proceeds from sponsorship as prescribed in Clause 1, Article 5 of Circular No. 219/2013/TT-BTC dated December 31, 2013 of the Ministry of Finance, it is not required to declare and pay tax. , prepare receipts for payment according to regulations. In case business establishments receive sponsorship money from organizations or individuals to perform services for organizations and individuals such as repair, warranty, promotion, and advertising, they must declare and pay tax according to regulations. The corporate sponsorship money received from the overseas partner company, if it is not in the tax-exempt income field as prescribed in Clause 7 Article 8 of Circular 78/2014/TT-BTC, is determined as income. according to the provisions of Clause 15, Article 7 of Circular 78/2014/TT-BTC mentioned above. Taxable income in the tax period includes income from production and trading of goods and services and other incomes.
