Official Letter No. 1219/CCTKV17-QLDN1 dated May 29, 2025, issued by the Sub-Department of Taxation of Region XVII regarding the issuance of VAT invoices and revenue recognition for exported sample goods

• In cases where the Company exports sample goods free of charge for customers to try, and such activities are conducted in accordance with proper promotional procedures as prescribed by the Law on Commerce, the Company is required to issue an invoice upon delivery of the goods in accordance with Clause 1, Article 4 of Decree No. 123/2020/NĐ-CP dated October 19, 2020, issued bythe Government. The invoice must specify the name and quantity of the goods, clearly indicate that they are sample goods, and state the taxable value as zero (0). If the provision of goods or services for promotional purposes is not in compliance with the Law on Commerce, the Company must declare and pay VAT as if the goods or services were used for internal consumption, given as gifts, or donated, pursuant to Clause 5, Article 7 of Circular No. 219/2013/TT-BTC dated December 31, 2013, issued by the Ministry of Finance.
• In cases where the Company exports sample goods overseas and such goods meet the conditions for exported goods as stipulated in Article 9 of Circular No. 219/2013/TT-BTC dated December 31, 2013, issued by  the Ministry of Finance, a VAT rate of 0% may be applied.

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