Official Document 1258/CT-CS Issued on March 3, 2026, by the Tax Department, Circular 1258/CT-CS is a crucial legal document guiding Value Added Tax (VAT) obligations. In the new economic context, understanding the Tax Department's guidelines in Circular 1258/CT-CS helps businesses avoid risks related to tax arrears and administrative penalties. This also helps optimize the tax declaration process in accordance with current regulations.
Circular 1258/CT-CS clarifies cases of exemption from legal liability when taxpayers comply with guidance documents from state agencies. For accountants and tax consultants, in-depth analysis of Circular 1258/CT-CS is a prerequisite for ensuring transparency in financial reporting. Let's delve into the details of the new points in this document with MAN – Master Accountant Network.
Key content of Official Letter 1258/CT-CS of 2026
The main content of Official Letter 1258/CT-CS focuses on resolving VAT issues related to raw silk products and the principles for applying guiding documents to exempt penalties.
Key legal basis cited
To fully understand the spirit of Official Letter 1258/CT-CS, we need to examine the legal framework on which the Tax Department based its guidance:
- Value Added Tax Law 2008 (amended and supplemented by Law No. 106/2016/QH13): Regulations regarding tax rates under Article 10% and categories exempt from tax.
- Law on Tax Administration 2019 (Article 16): Affirming the right of taxpayers not to be penalized if they follow the instructions of the Tax authorities.
- Decree 125/2020/ND-CP (Article 9): Regulations specifying cases where administrative penalties are not imposed for tax and invoice violations.
- Circular 80/2021/TT-BTC & Circular 40/2025/TT-BTC: Instructions on tax filing procedures and the latest forms.
VAT treatment for raw silk products
According to Official Letter 1258/CT-CS, the Tax Department has agreed on a plan for handling unspun raw silk. This is a continuation of previous regulations. Official Document 2395/TCT-CS To ensure consistency in management, the determination of the VAT collection period in Official Letter 1258/CT-CS is calculated from the date the corresponding legal documents came into effect in Lam Dong and Ho Chi Minh City.
Regulations on exemption from penalties according to Official Letter 1258/CT-CS
One of the highlights of Circular 1258/CT-CS is the protection of the legitimate rights of taxpayers through provisions on exemption from administrative penalties.
Conditions for avoiding late payment penalties
Based on Official Letter 1258/CT-CS, taxpayers will not be penalized or charged late payment fees if they comply with the previous guidance. This creates a sense of reassurance for businesses when applying the professional guidance from the Tax authorities. This regulation helps to alleviate the financial burden caused by complex changes in tax policy.
Cases to which this applies are specified in Official Letter 1258/CT-CS.
Below is a summary table of the conditions for exemption from liability as guided by Circular 1258/CT-CS and relevant legal regulations:
| Target | Content as per Official Letter 1258/CT-CS | Legal basis |
| Applicable objects | Taxpayers should follow the instructions of the Tax authorities. | Clause 11, Article 16 of the Law on Tax Administration |
| Administrative penalties | No administrative penalties will be imposed for tax violations. | Clause 2, Article 9 of Decree 125/2020/ND-CP |
| Late payment penalty | No late payment penalty for taxes. | Article 16 of the 2019 Tax Administration Law |
| Exclusion cases | Errors were discovered after an inspection at the headquarters. | Article 9 of Decree 125/2020/ND-CP |
Having access to the data table from Official Letter 1258/CT-CS will provide businesses with a basis for dialogue with tax authorities during tax settlements or periodic audits in 2026.
If your business is subject to additional tax payments but you are having difficulty determining your obligations or applying the regulations under Circular 1258/CT-CS, please contact MAN – Master Accountant Network for assistance. in-depth tax consulting and Assisting with tax procedures, From reviewing documents and providing explanations to tax authorities to fulfilling tax obligations in accordance with regulations, this helps businesses minimize the risk of penalties.
See more articles at: Price list for corporate income tax settlement consulting services
Form 01/GTGT - Latest VAT Tax Declaration Form for 2026
In addition to policy, Circular 1258/CT-CS also reiterates the importance of complying with the new declaration forms issued by the Government and the Ministry of Finance.
Updated Decree 373/2025/ND-CP
On December 31, 2025, the Government issued Decree 373/2025/ND-CP amending Decree 126/2020/ND-CP. Accordingly, the application dossier... VAT In 2026, the latest forms must be used. Official document 1258/CT-CS emphasizes that taxpayers need to update themselves correctly to reflect the changes. Circular 40/2025/TT-BTC Regarding tax records.
Instructions for filling out Form 01/GTGT
Form 01/GTGT applies to taxpayers using the deduction method. When implementing Circular 1258/CT-CS, accountants need to pay attention to the non-taxable revenue figures to ensure consistency between invoices and tax returns. Correctly applying the form as per Circular 1258/CT-CS demonstrates professionalism in financial management.
See the full article: Form 01/GTGT Value Added Tax Declaration 2026 here
Are public housing properties subject to VAT?
A common legal issue that arises alongside the guidance in Official Letter 1258/CT-CS is the tax rate on public assets.
According to Article 4 of Decree 181/2025/ND-CP, housing that is public property sold by the State to current tenants is exempt from Value Added Tax (VAT). This point should be noted to ensure the same application of the guidelines on tax-exempt items in Official Letter 1258/CT-CS. This supports social welfare policies regarding housing.
Based on the Housing Law 2023, the list of public assets exempt from VAT includes:
- Government and local government housing.
- Housing for resettlement purposes.
- Social housing is built with investment from the State.
- Housing is established as public property according to regulations.
The principle for determining tax-exempt items in Official Letter 1258/CT-CS is based on the Value Added Tax Law, similar to the method used for determining tax-exempt public housing assets.
Conclude
Circular 1258/CT-CS serves as a "guidebook" for businesses to handle complex VAT situations in 2026. The flexible application of the contents of Circular 1258/CT-CS demonstrates the tax risk management capabilities of businesses. With detailed guidance on forms and penalty exemptions, this document is an important resource for all accountants.
To ensure businesses stay on track and optimize their tax payments, MAN – Master Accountant Network Providing solutions:
- Auditing services and tax accounting: Check compliance based on Official Letter 1258/CT-CS.
- In-depth tax consulting services: Assisting in resolving issues related to tax rates and exemptions.
- Tax settlement services: We offer comprehensive tax filing services, guaranteeing accuracy and committing to protecting your data.
Contact MAN today to receive expert advice and help your business stand firm against any tax audit with the support of Official Letter 1258/CT-CS.
Service contact information at MAN – Master Accountant Network
- Address: No. 19A, Street 43, Tan Thuan Ward, Ho Chi Minh City
- Mobile/Zalo: 0903 963 163 – 0903 428 622
- Email: man@man.net.vn
Content production by: Mr. Le Hoang Tuyen – Founder & CEO MAN – Master Accountant Network, Vietnamese CPA Auditor with over 30 years of experience in Accounting, Auditing and Financial Consulting.
Frequently Asked Questions about Official Document 1258/CT-CS
In principle, Circular 1258/CT-CS is guidance from the Tax Department for a specific case. However, the legal grounds for exemption from penalties mentioned in the circular are general regulations that businesses can refer to broadly.
You should directly cite the Law on Tax Administration and Decree 125/2020/ND-CP as clearly stated in Official Letter 1258/CT-CS. If necessary, contact a professional firm like MAN for assistance in protecting your rights.
According to Official Letter 1258/CT-CS, the general tax rate remains at 10%. Cases eligible for preferential treatment or tax exemption will be implemented according to the specific list in the Value Added Tax Law. Does Official Document 1258/CT-CS have nationwide validity?
What should I do if I follow Official Letter 1258/CT-CS but am still being asked to pay a fine?
Will the VAT rate in 2026 change compared to Official Letter 1258/CT-CS?
