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KPMG Legal Update - Vietnam - August 2019

On 26 June 2019, the State Bank of Vietnam issued Circular 06/2019/TT-NHNN which contains salient changes on foreign exchange control for foreign direct investment activities in Vietnam. Circular 06/2019/TT-NHNN will come into effect on 6 September 2019 and replace Circular 19/2014/TT-NHNN dated 11 August 2014.

EY Vietnam Tax Update - August 2019

August 2019 Tax update highlights the following key points: 1) Guidance on the compulsory time for applying e-invoices. 2) Guidance on determining deductible interest expenses under Decree 20/2017/ND-CP, 3) Personal Income Tax (PIT) treatment of promotional gifts, and 4) PIT withholding and finalization obligations for employees during probation period.

Doing Business In Vietnam

Vietnam’s economy continues to expand and modernise, and with the opening up of previously restricted industries and sectors to meet WTO commitments and commitments under various Free Trade Agreements (FTA’s); opportunities continue to develop. Growth is being further stimulated through these bi-lateral FTA’s (e.g. South Korea) and others such as the EU Vietnam Free Trade Agreement and the CPTPP.

PwC Vietnam Tax Newsletter (Quarter 2 / 2019)

In this edition, we a look at 2 developments on the fast developing international trade / FTA front – the long awaited and much anticipated signing of the EVFTA, and some new regulations implementing Vietnam’s commitments under the CPTPP.

New Amendments to Law on Intellectual Property and Law on Insurance Business

On 14 June 2019, the National Assembly ratified Law No. 42/2019/QH14 amending both the Law on Intellectual Property and the Law on Insurance Business

New Foreign Exchange Control Regulations for Foreign Direct Investment in Vietnam

The State Bank of Vietnam issued Circular 06/2019/TT-NHNN dated 26 June 2019, which will come into force from 6 September. Circular 06 brings some welcome simplifications of the procedures for remitting funds in M&A transactions. In brief, in the past, funds generally had to be flowed via the Vietnam target company, even when the buyer and seller were overseas. This requirement has now been mainly relaxed.

Vietnam Legal Update: New Solar FiT and Rooftop Solar Power Development Acceleration Program

Foreign Contractor Tax in Vietnam

Document Preservation In Vietnam

Vietnamese law has fairly specific rules identifying documents that must be preserved and the periods for which they must be preserved. Regulations on preservation of electronic documents, however, are not sufficient. This piece discusses the requirements to preserve accounting and business documents. Additionally, separate sections address the preservation of anti-money laundering documents, documents that relate to transfer pricing, law client and medical patient files, and documents that relate to cybersecurity.

Update On The Latest Regulations And Important Tax Policies - July 2019

In this newsletter: 1) Some notable points of the amended Tax Administration Law No. 38/2019/QH14, 2) Import Duty exemption for raw materials and supplies imported for processing and production of on-spot exported goods, and 3) VAT refund for imported for re-exported goods.

Transfer Pricing Update

In June, the National Assembly approved the new Law on Tax Administration 38/2019/QH14, which contains rovisions relating to transfer pricing. The new law will mostly take effect from 1 July 2020. A decree, followed by a circular, will subsequently be issued to provide detailed guidance on the provisions of the new law. The National Assembly also issued Decree 51/2019/ND-CP. Decree 51 provides details of the penalties applicable for violation of transfer pricing-related provisions contained in the Law on Technology Transfer 2017. We take a look at these two new regulations in this article.

KPMG Technical Update - Tax and Legal - June 2019

Technical update issues covered: 1. Corporate income tax, 2. Value added tax and invoices, 3. Foreign contractor tax, 4. Import duty, export duty and customs procedures, and 5. Personal Income Tax (“PIT”) and labor regulations.

New Law On Tax Administration Has Finally Been Issued

In June, the new law on tax administration 38/2019/QH14 was approved by the National Assembly. The new law will take effect from 1 July 2020, except for its provisions on invoices and e-documents, which will come into force on 1 July 2022. A decree and circular will be issued in due course to provide more detailed guidance on the new law.

EY Vietnam Tax Update - June 2019

June 2019 Tax Update highlights the following key points: 1) Revised customs duty treatment related to on-the-spot import/export, 2) Profit repatriation of foreign contractors, and 3) PIT treatment of deposit received by a seller in the event a buyer refuses to execute. a contract

Wind, Power and Vietnam

Although Vietnam has long had favorable wind patterns and supporting geography, the serious development of wind power has only recently begun. The industry holds great promise. This article discusses Vietnam’s policy to develop commercial wind power including licensing procedures, technical requirements, subsidies and financial support and further government support.

Update On The Latest Regulations And Important Tax Policies - June 2019

In this newsletter from Grant Thornton Vietnam: 1) Decree No. 38/2019/ND-CP increasing basic salary from 1 July 2019, 2) Guidance on conditions for determining foreign workers who are subject to compulsory social insurance contribution, 3) Personal Income Tax (PIT) for share transfer of individuals in Joint Stock Companies, 4) Guidance on allocation of reduced PIT in 2018 of employees in Economic Zones, and 5) Transfer Pricing documentation (Master File) for an enterprise whose parent company is not multinational corporation but established under Vietnamese regulations

Vietnam Legal Update: Draft Public-Private Partnership Law

The Ministry of Planning and Investment of Vietnam published a draft Law on Public-Private Partnerships (the “Draft PPP Law”). The current public-private partnership (“PPP”) legal regime is comprised of various laws, decrees, and implementing regulations; the Draft PPP Law serves to consolidate this framework, while clarifying a number of issues and bringing changes to further incentivize PPPs in a number of key sectors.

Vietnam Legal Update: Draft Decision 3 and Vietnam’s Solar Future from July 2019

On 12 April 2019, the Ministry of Industry and Trade of Vietnam (the “MOIT”) released a new draft Decision on mechanisms to encourage the development of solar power projects in Vietnam. Introducing a number of changes, this Draft Decision modifies the previously issued draft. Subject to final approval by the Prime Minister, the Draft Decision is expected to be in full force from 1 July 2019.

EY Vietnam Tax Update - May 2019

This Tax Update highlights the following key points: 1) Response of the General Department of Taxation to certain petitions from the Vietnam Business Forum in 2018, 2) Notification of the enforcement of the Vietnam – Cambodia Tax Treaty, 3) Timing of issuance and content of an e-invoice, 4) Certain projects implemented before 1 January 2015 are not eligible for the conversion of tax incentives,5) Increase in general minimum wage from 1 July 2019, and 6) The PIT treatment of coupons/vouchers provided to employees.

New Model Wind PPA

On 15 January 2019, the Ministry of Industry and Trade (MOIT) issued Circular 2 on wind power projects (Circular 2/2019), which took effect on 28 February 2019. Circular 2/2019 provides the new model power purchase agreement (Wind PPA) applicable to wind farm projects in Vietnam. In this article, we provide our comments on the Wind PPA followed by a summary.