Late declaration of value added tax (VAT) invoice

Kim Hong Co., Ltd. and other companies consulted Pham & Associates about the matter of late declaration of VAT invoice. Namely, Kim Hong purchased the goods together with a relevant VAT invoice dated September 30, 2013 which had omitted the declaration for refund of tax. Whether or not Kim Hong could execute this work in March 2014?

In this regard, Pham & Associates had the views as follows:

Article 14.7 of Circular No. 06/2012/TT-BTC dated January 11, 2012 of the Ministry of Finance guiding the VAT provides that:

“Input VAT arising in a month may be declared for refund of tax immediately when the tax amount payable in that month is determined, regardless of whether relevant goods or services have been delivered for use or remain in stock.

a/ If businesses detect some VAT invoices not yet declared for input VAT credit, they may make an additional declaration. The time limit for an additional declaration six months from the month when the omitted invoices were issued, except the case provided at Point b of this Article”.

In the light of the above, Kim Hong purchased the goods together with a relevant VAT invoice dated September 30, 2013 which had omitted the declaration. Kim Hong executed the declaration in March 2014 was overdue the time limit. Therefore, the Company had not permitted to declare the input VAT.

The amount of VAT was being non-refund will be considered as the lawful expenses when determining income tax.

For more information about this matter, please contact us via Email: hanoi@pham.com.vn

Pham and Associates