Official Letter No. 5487/CT-CS dated November 25, 2025 of the Tax Department provides detailed guidance on VAT deduction for goods and services paid late or in installments. This article will analyze important points about invoices, documents, non-cash payment documents and VAT adjustment mechanism, helping businesses comply with the law, optimize tax benefits and manage cash flow effectively.
Overview of Official Dispatch No. 5487/CT-CS
Official dispatch No. 5487/CT-CS issued to guide businesses on how to deduct input VAT on goods and services with late payment.
According to Official Dispatch No. 5487/CT-CS, VAT deduction must comply with the latest legal regulations, including VAT Law 48/2024/QH15 and Decree 181/2025/ND-CP. The main content of the document emphasizes:
- Input VAT deduction must have full invoices and documents.
- Non-cash payment is a mandatory condition for VAT deduction in cases of deferred payment and installment payment.
- There is a regulatory mechanism VAT if payment documents are not met.
Thus, Official Dispatch No. 5487/CT-CS is not only a legal document, but also an important guide to help businesses comply with tax laws and avoid the risk of tax arrears or fines.
Deduction of input VAT according to Official Dispatch No. 5487/CT-CS
One of the important points of Official Dispatch No. 5487/CT-CS is the specific instructions on how to deduct input VAT when a business purchases goods and services but makes late payment. According to Clause 2, Article 14 of the VAT Law No. 48/2024/QH15, a business establishment is allowed to deduct input VAT if:
- Have legal invoices and documents.
- Goods and services have actually been used for production and business activities.
- There is proof of non-cash payment for values from 5 million VND or more.
Official Letter No. 5487/CT-CS emphasizes that if payment is made in installments without non-cash payment documents, the enterprise must adjust the deducted VAT amount for the value without documents.
Invoices and tax payment documents according to Official Dispatch No. 5487/CT-CS
Another important factor mentioned in Official Dispatch No. 5487/CT-CS is compliance with regulations on invoices and tax payment documents. Article 25 of Decree No. 181/2025/ND-CP stipulates:
- Invoices and documents must have full information according to the law.
- Invoices must be issued on time and with the correct transaction content.
- Business establishments must keep this document for comparison when tax authorities inspect.
Compliance with the instructions in Official Dispatch No. 5487/CT-CS will help businesses avoid risks in accounting records and ensure the right to deduct VAT in accordance with the law.
Non-cash payment documents according to Official Dispatch No. 5487/CT-CS
One of the important new points in Official Dispatch No. 5487/CT-CS is the requirement for non-cash payment documents. Specifically, Article 26 of Decree 181/2025/ND-CP stipulates that:
- Payment via bank, e-wallet or other electronic payment method.
- Cash payments are not accepted for amounts of 5 million VND or more.
- Enterprises need to store payment documents as a basis for VAT deduction.
If the enterprise does not have non-cash payment documents, Official Dispatch No. 5487/CT-CS requires an adjustment to reduce the deducted VAT amount for the payment portion that does not meet the conditions.
Adjusting input VAT when paying in installments according to Official Dispatch No. 5487/CT-CS
Official dispatch No. 5487/CT-CS clearly stipulates the mechanism for adjusting input VAT:
- In case of deferred payment or installment payment for goods and services with value from 5 million VND or more.
- If at the time of payment there is no non-cash payment document, the enterprise must declare and adjust the amount of deducted VAT.
- The reduced VAT amount only applies to the value without payment documents.
This helps ensure the legal basis for declaring and deducting VAT, avoiding incorrect deductions and tax arrears.
Re-declare VAT when there is payment document according to Official Dispatch No. 5487/CT-CS
When an enterprise has adjusted to reduce input VAT due to lack of payment documents, Official Dispatch No. 5487/CT-CS allows:
- Declare and deduct the value of goods and services when there is a non-cash payment document.
- The deductible VAT will be recorded in the tax period in which the voucher is generated.
This helps businesses be flexible in tax management, both complying with the law and optimizing VAT benefits.
Important notes when applying Official Dispatch No. 5487/CT-CS
When applying Official Letter No. 5487/CT-CS, businesses need to pay special attention to some important points to ensure the right to deduct VAT and comply with legal regulations. The table below summarizes the main notes to help businesses correctly perform the steps of declaring, adjusting and storing payment documents:
| STT | Notes when applying Official Dispatch No. 5487/CT-CS | Detailed description |
| 1 | Check invoices and documents before deduction | Enterprises need to ensure that invoices and documents are legal and have complete information before deducting VAT. |
| 2 | Keep non-cash payment documents | Payment transactions via bank, e-wallet or other electronic payment methods must be fully archived. |
| 3 | Adjust the deducted VAT amount | When there is a late payment or there is no payment document, the enterprise must declare and adjust to reduce the deducted VAT amount. |
| 4 | Re-declare when there is payment document | After having a non-cash payment document, the enterprise has the right to declare and deduct the adjusted VAT to ensure tax benefits. |
Practical examples of applying Official Dispatch No. 5487/CT-CS
To make it easier to visualize, suppose a business buys goods worth 100 million VND, paying in installments.
- If the business makes full non-cash payments, it can immediately deduct 10 million VND in VAT.
- If there is no payment document at the payment date, the enterprise must adjust the corresponding VAT reduction for the unpaid value.
- When there is a payment document, the enterprise is allowed to declare and deduct the adjusted VAT amount.
This example clearly illustrates the tax adjustment mechanism according to Official Dispatch No. 5487/CT-CS.
Impact of Official Dispatch No. 5487/CT-CS on businesses
Applying Official Letter No. 5487/CT-CS not only helps businesses comply with the law but also brings many practical benefits in VAT and cash flow management. The table below summarizes the main impacts that businesses can receive when properly implementing the instructions of the Official Letter:
| STT | Impact of applying Official Dispatch No. 5487/CT-CS | Detailed description |
| 1 | Comply with legal regulations on VAT | Enterprises shall declare and deduct VAT in accordance with the guidance of the law and Official Dispatch 5487/CT-CS. |
| 2 | Avoid the risk of tax arrears or penalties | Applying the correct procedure helps businesses avoid being charged or fined for incorrect deductions. |
| 3 | Manage installment payments well | Helps businesses track and adjust deferred or installment payments, ensuring accounting transparency. |
| 4 | Optimize VAT benefits and ensure cash flow | Businesses can declare and deduct the correct VAT amount, optimize benefits and maintain stable cash flow. |
Conclude
Official dispatch No. 5487/CT-CS is an important guidance document to help businesses declare, VAT deduction when paying in installments or paying in installments for goods and services. Understanding and correctly applying the contents of the document will help businesses comply with the law, avoid the risk of tax arrears and ensure optimal VAT benefits. This is an important legal basis for businesses to manage taxes effectively, transparently and professionally.
To optimize the application of Official Dispatch No. 5487/CT-CS and comprehensively manage taxes, businesses can use auditing services, full tax accounting of MAN – Master Accountant Network. With a team of experienced experts, MAN supports from the declaration and adjustment of VAT to working with tax authorities, helping businesses save time, optimize costs and be completely assured of legal compliance.
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.
