How to Claim VAT Refunds in Vietnam (2026): Guide for Foreign Investors & Exporters

VAT refunds in Vietnam are something many businesses only start paying attention to once they accumulate a significant amount of uncredited input VAT. In practice, quite a few companies meet the eligibility requirements but still face delays—or even rejection—simply due to documentation issues. With a clear understanding of the regulations and proper preparation from the outset, businesses can significantly reduce processing time and minimize risks.

This article focuses on the key points: when you are eligible for a refund, what documents are required, and how the process works under current regulations.

When Are Businesses Eligible for a VAT Refund?

Not all input VAT is refundable. Vietnamese tax regulations clearly define the cases where refunds may be granted, with the most common being export activities and investment projects.

For exporters, goods and services are subject to a 0% VAT rate if all regulatory conditions are met. If the input VAT related to exported goods or services remains uncredited and reaches at least VND 300 million in a month or quarter, businesses may apply for a refund. However, it is essential to demonstrate that the export transactions are genuine and that payments comply with applicable rules.

For new investment projects, companies can claim refunds on input VAT incurred during the pre-revenue phase. This mechanism helps ease financial pressure, but the documentation must clearly show that the expenses are legitimate and directly related to the project.

In addition to exports and investment projects, other cases with excess input VAT may also be considered for refunds under current regulations. However, the VND 300 million threshold mainly applies to export-related refunds and should not be assumed to apply universally.

Key Conditions for VAT Refund Eligibility

While the requirements are not overly complicated, they are easy to get wrong without proper control from the beginning.

First, the business must apply the credit method and have a valid tax code. Companies classified as high tax risk are often subject to stricter scrutiny.

Second, invoice compliance is critical. All input invoices must be valid electronic invoices, properly issued and declared. Since invoice data is now directly connected to the tax authority’s system, invalid invoices are quickly identified.

Another important factor is the payment method. Previously, the commonly applied threshold was VND 20 million, but current regulations have lowered it to VND 5 million in many cases.

This means that purchases above this threshold must be supported by non-cash payment documents to qualify for input VAT credit and refund consideration. Cash payments that do not meet the permitted conditions may result in the disallowance of the corresponding VAT amount.

Finally, accounting records must be clear and consistent. Any mismatch between tax declarations and supporting documents often leads to delays or further review.

What Documents Are Required for VAT Refunds in Vietnam?

Many businesses assume that submitting a refund application form is enough. In reality, the tax authority reviews the entire set of documents to verify whether transactions are legitimate and compliant. Essentially, a VAT refund dossier serves as proof of the validity of all related activities.

At a minimum, businesses must submit a refund request through the tax authority’s electronic portal. The information must fully match previously submitted tax returns. Supporting documents will vary depending on the case.

For exporters, documentation is typically subject to stricter review. The dossier must clearly reflect the full transaction chain—from purchase to export.

This includes export contracts, completed customs declarations, bank payment records, and shipping documents. The key is not just having all documents, but ensuring consistency across them. For example, contract values must align with payment amounts and customs declarations.

For investment projects, the documentation must demonstrate that the business is in the investment phase and that incurred expenses are project-related. This usually includes the investment registration certificate, enterprise registration certificate, and all relevant invoices and supporting documents. The tax authority will assess whether these expenses genuinely serve the project.

One commonly overlooked requirement is payment documentation. Under current rules, expenses of VND 5 million or more must be supported by valid non-cash payment evidence. Without it, even valid invoices may not be accepted for VAT credit or refund.

How Long Does a VAT Refund Take in Practice?

For applications classified as “refund first, audit later” with transparent data, processing can be relatively quick within statutory timelines. However, in practice, many VAT refunds take around 3 to 6 months, or longer if additional explanations or verifications are required.

For cases subject to pre-refund audits, the timeline is often significantly extended. When further clarification, document supplementation, or third-party verification is involved, the process can take several months or even up to a year—especially for large export or investment-related claims.

Once approved, the refund is transferred to the company’s bank account. This final step is usually quick, but the overall timeline largely depends on the review process.

Common Reasons for Delays or Rejections

Most issues arise not from the regulations themselves but from errors in preparation. Common problems include invalid invoices, inconsistencies between documents, or transactions involving high-risk suppliers.

Improper payment methods or late submission can also lead to rejection. The good news is that these issues are largely preventable with proper internal controls from the beginning.

How Green NRJ Supports VAT Refunds

Green NRJ supports businesses throughout the entire VAT refund process—from eligibility assessment and document preparation to working directly with tax authorities. The approach focuses on getting things right from the start, helping ensure that applications meet requirements on the first submission.

With practical experience in export and investment sectors, Green NRJ not only assists with refunds but also helps optimize cash flow and reduce long-term tax risks.

Conclusion

VAT refunds in Vietnam in 2026 do not have to be overly complicated. With a clear understanding of the rules and proper preparation, businesses can significantly streamline the process, reduce delays, and avoid repeated clarification requests.

If you are looking for a structured and efficient approach to VAT refunds in Vietnam, Green NRJ is ready to support you every step of the way.