Government issued Decree 181/2025/ND-CP detailing the implementation of a number of articles of the Law on Value Added Tax (VAT), providing specific guidance on non-taxable entities.
Accordingly, in Decree 181/2025/ND-CP, the Government has specifically stipulated the conditions for applying tax rate 0% as follows:
Exported goods and services subject to tax rate 0% prescribed in Article 17 of Decree 181/2025/ND-CP (except for some special cases prescribed in Articles 27 and 28 of Decree 181/2025/ND-CP) must satisfy the following regulations:
– For export goods, there must be:
- Contract for sale and processing of exported goods (in case of sale and processing); export entrustment contract (in case of export entrustment).
- Non-cash payment documents for exported goods.
- Customs declaration as prescribed.
– For export services, except for the provisions in Clauses 3, 4, 5, Article 18 of Decree 181/2025/ND-CP, there must be:
- Service provision contracts with organizations and individuals abroad or in duty-free zones.
- Non-cash payment documents for export services.
– For international transport, there must be:
- Contract for the carriage of passengers, luggage, and goods between the carrier and the charterer on international routes from Vietnam to foreign countries or from foreign countries to Vietnam or both departure and destination points abroad in forms in accordance with the provisions of law. For passenger transport, the contract of carriage is a ticket. International transport businesses shall comply with the provisions of the law on transport.
- Non-cash payment documents. In case of transporting individual passengers, there must be direct payment documents.
– For aviation services, there must be:
- Service provision contract with foreign organization, foreign airline or service provision request of foreign organization, foreign airline.
- Non-cash payment documents. In case the services provided to foreign organizations or foreign airlines are irregular, unscheduled and without a contract, there must be a direct payment document from the foreign organization or foreign airline.
The provisions on contracts and payment documents stated in Clause 4, Article 18 of Decree 181/2025/ND-CP do not apply to services for passengers taking international flights from Vietnamese airports.
Particularly for aircraft repair services provided to foreign organizations and individuals, to be eligible for tax rate 0%, aircraft brought into Vietnam must go through temporary import and re-export procedures according to regulations.
– For maritime services, there must be:
- Service provision contract with foreign organization, shipping agent or service provision request of foreign organization or shipping agent.
- Non-cash payment documents of foreign organizations or non-cash payment documents of shipping agents for service providing businesses.
Particularly for ship repair services provided to foreign organizations and individuals, to be eligible for tax rate 0%, ships brought into Vietnam must go through temporary import and re-export procedures according to regulations.
See more at Decree 181/2025/ND-CP effective from July 1, 2025.
