Công văn 3544/TCT-CS

To: Tax Offices of provinces and centrally run cities

The General Department of Taxation has received requests from some Provincial Tax Offices and enterprises for guidance on the supply of goods and services for vehicles engaged in international traffic. Regarding this issue, the General Department of Taxation gives the following guidance:

- The determination of vehicles engaged in international traffic complies with existing laws.

- Vehicles engaged in international traffic specified at Point 1.23.d.2, Section II, Part A of the Ministry of Finance’s Circular No. 32/2007/TT-BTC of April 9, 2007, include:

+ Vehicles owned by organizations or individuals overseas who carry on international traffic activities.

+ Vehicles owned by Vietnamese organizations or individuals or those time-chartered or bareboat-chartered by Vietnamese organizations or individuals from foreign organizations or individuals for international traffic purposes.

When supplying goods or services for a vehicle engaged in international traffic owned by a Vietnamese organization or individual or a vehicle time-chartered or bareboat-chartered by a Vietnamese organization or individual from a foreign organization or individual, the supplier of those goods or services shall issue a value-added invoice specifying the name and code number of that vehicle, the date, month and year of supplying the goods or services.

When supplying goods or services for a vehicle engaged in international traffic owned by an organizations or individual overseas, the supplier of those goods or services shall request the vehicle owner to provide the name and code number of that vehicle, the serial number and date of the arrival declaration form or the flight operation permit (for an aircraft), of that vehicle and shall issue a value-added invoice specifying the name and number, and the serial number and date of the declaration form or the flight operation permit (for an aircraft), of that vehicle and the date, month and year of supplying the goods or services.

A supplier of goods or services shall preserve invoices, contracts (if any) and payment vouchers on its sale of goods or services. A seller of goods or services through an agent shall produce a minutes on payment between the seller and the agent, which specifies the name and quantity of goods or services sold for a vehicle engaged in international traffic; the name and code number, the serial number and date of the arrival declaration form or the flight operation permit (for an aircraft), of that vehicle to be certified by a tax agency for not imposing value-added tax on goods or services directly supplied for vehicles engaged in international traffic.

The General Department of Taxation informs Provincial Tax Offices for information and guidance to taxpayers for implementation.