Answering tax declarations for business households

Xuyên Đông |

On the Ministry of Finance's Information Portal, the tax authority answers questions about tax declaration of business households.

Accordingly, the business household of Mr. D. N. H in Tay Ninh reflected that the unit is currently operating in the field of providing construction drawing processing services (deploying shop drawing drawings) for customers who are companies abroad.

In order to comply with the provisions of tax law, business households have sent documents presenting the specific characteristics of their operations and requested the Ministry of Finance to guide them on contents related to value-added tax obligations.

Regarding the specific characteristics of operation, business households performing construction drawing processing services for customers are foreign companies without legal entities and no permanent establishments in Vietnam.

The service is implemented in Vietnam and the product is construction technical drawings transferred to customers via the internet such as email, MS Teams, WhatsApp.

These drawings serve the construction of construction projects outside the territory of Vietnam, project information and construction site are directly shown on the drawings.

Therefore, service products are used by customers for construction activities abroad and are not consumed in Vietnam.

Regarding the form of issuing invoices, periodically on the 25th of each month, based on the work summary table, business households issue sales invoices to foreign customers, which show the list of projects, detailed addresses of each project, work content and corresponding service value for each project.

Regarding payment methods, customers make transfers from abroad to the account of business households in Vietnam through the SWIFT system with a payment term of 45 days from the date of issuance of invoices as agreed.

On that basis, business households requested tax authorities to guide on the applied value-added tax rate, in case of meeting export service conditions, is a 0% tax rate applied? Are the necessary documents to prove export services, as well as the use of scanned contracts sent via email and work exchange data via online chat platforms accepted as a basis to prove transactions?

Responding to this issue, the Base Tax of Tay Ninh province 2 has based on current legal regulations to guide.

Specifically, based on point b, clause 1, Article 9 of the Law on Value Added Tax No. 48/2024/QH15 dated November 26, 2024 of the National Assembly stipulating the 0% tax rate applicable to export services, including services provided directly to organizations and individuals abroad and consumed outside Vietnam.

At the same time, based on point a, clause 2, Article 17 of Decree 181/2025/ND-CP dated July 1, 2025 of the Government detailing export services including services provided directly to organizations and individuals abroad and consumed outside of Vietnam, in which individuals abroad meet the conditions outside of Vietnam during the service provision period.

Regarding the conditions for application, based on Clause 2, Article 18 of Decree 181/2025/ND-CP dated July 1, 2025 of the Government stipulating that export goods and services applying a 0% tax rate must have a service provision contract with organizations and individuals abroad or in non-tariff zones and have non-cash payment vouchers for export services. Based on the above regulations, if export services meet the regulations on the 0% tax rate and the conditions for applying the 0% tax rate, the export service revenue is subject to the value-added tax rate of 0%.

On the tax declaration dossier, revenue applying a 0% tax rate is separated from taxable revenue at a 0% rate, based on the Form of Declaration 01/CNKD issued together with Circular No. 50/2026/TT-BTC, which has supplemented the target of tax-exempt revenue and revenue applying a 0% tax rate.

Xuyên Đông
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