Some changes have been made to Vietnam’s VAT regime in respect of VAT invoices and the VAT on exports. The aim of the changes is to require adequate documentation to be maintained in respect of the transaction, including proof of export.
There will no longer be a need to produce special export invoices, the normal sales invoice being sufficient evidence. If services rather than goods are provided to a customer outside Vietnam there must be evidence that the services were consumed outside the country.
VAT invoices will have to be pro-forma invoices that are pre-numbered and are purchased from the tax office, unless the taxpayer is permitted to produce invoices in-house. Any cash advance to suppliers before the delivery of goods must include the VAT charge. In future local branches that are established under the rules of the Export Processing Zones must submit their own separate VAT return.
