VAT refunds in Vietnam in 2026: why your claim is stuck and how to unblock it

The short answer

VAT refund claims in 2026 typically stall for three reasons:

• the claim is classified as high-risk and moved to audit-before-refund (Article 16 of Circular No. 94/2026/TT-BTC);

• a seller or another link in the supply chain carries a risk alert;

• the business fails to provide complete explanations or documents within 10 working days.

The good news is that the legal framework has been substantially eased. From 1 January 2026, Law No. 149/2025/QH15 abolished the condition that "the seller has declared and paid VAT". Official Letter No. 6936/CT-QLTT of the Tax Department dated 18 September 2026 adds two further points:

• a risk alert does not amount to a conclusion that the refund is refused;

• where only part of a claim is at risk, the remainder continues to be processed.

From the 2025 bottleneck to the 2026 position

When VAT Law No. 48/2024/QH15 took effect on 1 July 2025, refund claimants also had to show that their sellers had declared and paid VAT on the invoices issued.

This turned exporters into the bearers of risk for the whole supply chain. A single supplier filing late could halt an entire refund claim.

Following strong feedback from businesses, the National Assembly passed Law No. 149/2025/QH15, which abolished this condition from 1 January 2026. Decree No. 359/2025/ND-CP likewise repealed Article 37(3) of Decree No. 181/2025/ND-CP. Claims filed and accepted before 1 January 2026 but not yet decided also no longer need to meet the seller condition.

Businesses must still meet the remaining conditions:

• they use the credit-invoice method;

• they keep proper accounting books and records;

• they meet the input VAT credit conditions;

• they do not use invoices or documents arising from prohibited acts.

Official Letter 6936/CT-QLTT: six points to know

On 18 September 2026, the Tax Department issued Official Letter No. 6936/CT-QLTT to standardise how VAT refunds are handled nationwide. It is worth printing and bringing to any meeting with the tax authority.

1. A risk alert is management information only. An alert on a seller or invoice does not mean the transaction is fictitious or that the business is ineligible for a refund.

2. Only the at-risk portion is audited first. For refund-before-audit claims, the portion not flagged as risky continues through the refund-first process. The whole claim is not halted because part of it is flagged.

3. A seller leaving its address or dissolving is not grounds for refusal. The tax authority must assess the legality and genuineness of the transaction based on the documents.

4. The seller-payment condition no longer applies to refund periods from 1 January 2026. Earlier periods follow the rules in force at the time.

5. Ten working days to respond from the date the tax authority issues a request, under Circular No. 89/2026/TT-BTC.

6. Refunds are clawed back only with a basis from an audit, verification or conclusion of a competent authority. They are not clawed back merely because a seller later receives an alert or is dissolved.

Why claims get stuck: diagnosis and remedies

Symptom	Typical cause	What the business should do
Notice of switch to audit-before-refund	The system classified the claim as high-risk. The tax authority may change the classification mid-process if risk indicators emerge	Ask the tax authority to clarify the scope of the risk. Prepare evidence of the transactions. If the previous claim was audited with no findings, check the exception in Circular 94/2026
Request for explanations or documents	Missing payment, delivery or export documents	Respond fully and consistently within 10 working days. If more time is needed, request it in writing
Part of the amount "held back"	Some input invoices come from suppliers with risk alerts	Ask for the non-risk portion to be processed separately under Letter 6936. Evidence the flagged transactions separately
No response past the deadline	Workload or internal issues at the tax office	Check status on the e-tax system and send a written request for resolution. Note the right to interest where a refund is delayed through the tax authority's fault
Proposed refusal or clawback	The tax authority considers the transaction fictitious or the invoice unlawful	Ask for the specific grounds. Respond with evidence. Consider an administrative complaint

Building an evidence pack for a "genuine transaction"

In every scenario, the decisive question is whether the business can prove the transaction is genuine. A strong evidence pack follows both the flow of goods and the flow of money consistently:

• contracts, purchase orders and price schedules;

• input and output invoices;

• bank payment records;

• warehouse receipts and issues, delivery notes and transport documents;

• production consumption norms (for manufacturers);

• customs declarations, bills of lading and commercial invoices (for exports);

• correspondence and emails where clarification is needed.

Illustrative case

Company F, a garment exporter, claims a VAT refund of VND 8 billion. The system links VND 1.2 billion to two fabric suppliers flagged as "not operating at the registered address".

Previously, the whole claim might have been held pending verification. Under Letter 6936, the remaining VND 6.8 billion continues through the refund-first process. Only VND 1.2 billion moves to audit-before-refund.

For the audited portion, Company F prepares an evidence pack tracing the transaction chain:

• fabric purchase contracts;

• bank payment orders;

• warehouse receipts and transport documents;

• fabric consumption norms per product code, reconciled with the export declarations for finished goods.

Once the figures match, the tax authority has sufficient basis to confirm the transactions are genuine, even though the suppliers are no longer at their registered addresses.

Checklist before filing a refund claim

1. Reconcile the VAT return, input invoices and the refund amount. Resolve differences before filing.

2. Check the operating status and risk rating of key suppliers.

3. Ensure every invoice of VND 5 million or more is supported by bank payment.

4. For exports: match customs declarations, contracts and payments from overseas customers.

5. Prepare the transaction evidence pack in electronic form, organised by supplier.

6. Assign a contact person to track tax authority notices so the 10-working-day deadline is not missed.

7. Keep a copy of Official Letter 6936/CT-QLTT to cite in discussions.

FAQs

From 2026, can a buyer obtain a refund if the seller has not paid VAT?

Potentially, yes. The seller-payment condition was abolished from 1 January 2026. The buyer must still meet the other conditions and prove the transaction is genuine.

If a supplier is flagged as risky, will the whole claim be refused?

No. Under Official Letter 6936/CT-QLTT, only the at-risk amount is audited first. The rest continues to be processed.

How long do businesses have to respond to a request for explanations?

Ten working days from the date the tax authority issues the notice, under Circular No. 89/2026/TT-BTC.

Can a refund be clawed back if the seller later dissolves?

Not for that reason alone. A clawback requires a conclusion that the business was ineligible or committed a violation.

Legal basis

• VAT Law No. 48/2024/QH15, as amended by Law No. 149/2025/QH15.

• Decree No. 181/2025/ND-CP, as amended by Decree No. 359/2025/ND-CP.

• Law on Tax Administration No. 108/2025/QH15 and Decree No. 252/2026/ND-CP (Article 30).

• Circular No. 89/2026/TT-BTC (Articles 48 and 49) and Circular No. 94/2026/TT-BTC (Article 16).

• Official Letter No. 6936/CT-QLTT of the Tax Department dated 18 September 2026.

How W&A can help

A VAT refund is cash flow, and every month a claim is stuck is a cost of capital the business bears. With tax lawyers and licensed tax agents, W&A supports businesses throughout the refund process:

• Pre-filing review: screening risky invoices and suppliers and preparing the transaction evidence pack from the outset.

• Preparing and filing VAT refund claims for exporters and investment projects.

• Representation before the tax authority: explanations that cite the correct rules and Official Letter 6936/CT-QLTT, and requests to process non-risk portions separately.

• Complaints against refusals or clawbacks, and litigation support where needed.

• Supplier control process design: reducing risk in future refund periods.