NON-CASH PAYMENT DOCUMENTS

From July 1, 2025, the value of any goods must have a non-cash payment document

From July 1, 2025, according to new regulations in the amended Law on Value Added Tax 2024 and related guiding documents, requirements for non-cash payment documents will be tightened. This will directly impact businesses, business households, and organizations that incur large input costs.

For goods and services purchased each time costing ≥ 5 million VND, a non-cash payment document is required to deduct VAT.

From July 1, 2025, which goods must have non-cash payment documents?

Starting from July 1, 2025, the amended Law on Value Added Tax 2024 officially takes effect, bringing about major changes in the VAT deduction policy and calculation of corporate income tax expenses. An important new point: all purchased goods and services must have non-cash payment documents - no longer limited to 20 million VND or more as before.

New regulations on cashless payments

From July 1, 2025, all input invoices (even if less than VND 20 million) must have non-cash payment documents if:

- Want to deduct value added tax (VAT) ; or

- Want to calculate deductible expenses when determining taxable income for corporate income tax .

Valid non-cash payment methods include:

- Bank transfer;

- Payment via corporate e-wallet;

- Credit/debit card via POS machine;

- Legal electronic payment gateway;

- Other forms as prescribed by law.

Exceptions

Some special cases can be paid in cash (for example: payment in remote areas, natural disasters, storms and floods, areas without banks...) , but must meet specific conditions according to the Government's guiding Decree .

Why should we apply cashless payment?

This policy aims to:

- Cash flow transparency;

- Limit tax fraud;

- Improve tax management capacity;

- Promote digital transformation in the corporate finance and accounting system.

What do businesses need to prepare?

1. Check the entire payment process

Businesses need to review contracts, accounting policies and spending processes – especially recurring purchases and service rentals.

2. Working with suppliers

Switch payment methods with partners to non-cash payments to avoid the risk of additional costs or tax collection.

3. Apply technology

Use accounting software connected to banks, ERP system with integrated electronic payment to store documents in accordance with regulations.

Conclude

From July 1, 2025 , all businesses and business households must strictly implement non-cash payments for all input invoices if they want to deduct taxes or include them in expenses. This is not only a mandatory regulation, but also an important step forward in financial transparency and modernizing business operations.