Entries by ADCiptek

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Tax department provides guidance on determining land rental expenses for CIT calculation

On March 14, 2015, the Tax Department – Ministry of Finance issued an official letter addressing inquiries related to deductible expenses for corporate income tax (CIT) purposes. Specifically, the guidance pertains to the treatment of one-time lump-sum land rental payments and management fees for leased land that has not yet been utilized for production and business activities. The issue raised was whether land rental expenses for leased land that has not yet been put into use for business operations could be considered deductible when determining taxable income for CIT purposes.

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Clarification on multiple issues in invoice and documentation regulations

On March 20, 2025, the Government issued Decree No. 70/2025/ND-CP (“Decree 70”), amending and supplementing several provisions of Decree No. 123/2020/ND-CP on invoices and documents (“Decree 123”), with the aim of updating regulations concerning the time of issuance of invoices for certain types of business activities. The key updates in Decree 70 include the following:

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Guidance on determining investment incentive areas following administrative unit reorganization

On April 9, 2025, the Ministry of Finance issued Official Letter No. 4525/BTC-PC to officially guide state management agencies and investors on how to determine areas eligible for investment incentives in the event of administrative boundary changes due to the reorganization and consolidation of administrative units. The Official Letter clarifies several important points as follows: