Tax refund is an enterprise's demand upon a large amount of input VAT and eligible for tax refund to meet the capital use demand of the enterprise.
Certainly, there are plenty of enterprises encounter difficulties in dealing with procedures, expertise and experience to complete tax refund procedures, which leads to prolonged time and unexpected refunds amount.
Common cases of VAT refund:
- Exporting enterprises with an undeducted input VAT amount from more than 300 million VND.
- Newly established enterprises from investment projects or oil and gas researching, exploration and development projects during the investment phase and not into operation yet, if the investment period is from more than 1 year, they shall be refunded with VAT on goods and services used for annual investment.
- Enterprises conduct ownership conversion, transformation, merger, consolidation, split, division dissolution, bankruptcy or opertation termination with an overpaid VAT amount or a deductible input VAT amount.
- Foreigners and Vietnamese living abroad holding passports or immigration papers issued by competent foreign authorities are eligible for tax refund over goods purchased in Vietnam and brought along upon leaving Vietnam.
Conditions for VAT refund:
- Enterprises pay taxes via the tax credit method;
- Enterprises conduct to establish and keep accounting books and accounting documents in accordance with the accounting laws.
Benefits for the implementation of tax refund procedures
- Recover the deductible VAT amount through enterprise's taxable periods upon goods or services purchase.
- Help enterprises fully implement the regime of accounting documents and invoices through tax inspection and examination.
- Offer financial conditions for businesses in difficulties situation.
VAT refund process at TPM:
- Guide enterprises to prepare documents and books for VAT refund.
- Consult, check and guide enterprises to complete records related to accounting for tax refund.
- Prepare other tax refund records (relevant forms, except accounting documents).
- Submit tax refund profile.
- Monitor and update tax refund information.
- Collaborate with the Enterprise giving explanation to the Tax Authorities over contents related to the tax refund documents.
- Receive the decision of tax refund at the Tax Authorities.