VietlawOnline

blue-check Regarding accounting of loan interest cost of enterprises having related-party transactions

Official letter No. 31449/CTHN-TTHT dated August 12th, 2021 of the Department of Taxation of Ha Noi city regarding guidelines on determination of deductible loan interest cost with regard to enterprises having related-party transactions
Posted: 23/8/2021 2:42:04 PM | Latest updated: 7/9/2021 3:41:39 PM (GMT+7) | LuatVietnam: 5283 | Vietlaw: 531
VietlawOnline

According to clause 3 Article 16 of Decree No. 132/2020/ND-CP, the limit of loan interest cost to be deducted of enterprises having related-party transactions is 30%.

The declaration of ratio of loan interest cost in a specific tax period shall be carried out according to the form and guidelines provided at Annex I of Decree No. 132/2020/ND-CP .

However, with regard to the issue relating to whether deferred payment interest belongs to the group loan interest cost to be deduced under the limit of 30% or not, it does not belong to scope of competence to provide guidelines of a tax authority. Enterprises should contact with other competent agencies for obtaining guidelines

Ms Phuong Thao (VietlawOnline.com)
Please tag VietlawOnline.com when reposting this article
Related documents
Not found
Penalty document
Unknown
Information
Effective Date Unknown
ExpiredDate Unknown
Published Vietlaw's Newsletter No. 531
Files attachment
enflag pdficon CV31449-12082021CTHN[VLO].pdf
Timeline
No data

Reasonable expenses