Official Letter No. 2824/CT-CS dated July 31, 2025, regarding tax policy

The Tax Department concurs with the proposed handling by the Regional Tax Sub-department XIX (now the Can Tho City Tax Department) under Option 1. Specifically, in cases where the Phung Hiep District Land Fund Development Center (a revenue-generating public service unit) signs a contract with Hau Giang Power Company to carry out compensation, support, and resettlement for land recovery related to a local power project, during the performance of the contract, the Center receives payment from Hau Giang Power Company as determined by the Provincial People’s Committee. If it is determined that this constitutes revenue from business activities, the Phung Hiep District Land Fund Development Center must issue an invoice to Hau Giang Power Company and declare and pay VAT and CIT on the revenue from the above-mentioned activities.

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