{"id":648,"date":"2025-05-27T20:15:06","date_gmt":"2025-05-28T03:15:06","guid":{"rendered":"https:\/\/giaodichlienket.man.net.vn\/?p=648"},"modified":"2025-10-14T19:13:25","modified_gmt":"2025-10-15T02:13:25","slug":"nghi-dinh-20-2025-nd-cp","status":"publish","type":"post","link":"https:\/\/giaodichlienket.man.net.vn\/en\/nghi-dinh-20-2025-nd-cp\/","title":{"rendered":"Decree 20\/2025\/ND-CP"},"content":{"rendered":"<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP has been officially issued to amend and supplement Decree 132\/2020\/ND-CP. This document plays an important role in tax management, controlling related-party transactions and preventing transfer pricing, while creating a clear legal framework for businesses. The following article will help you understand in detail the key content of the new decree, as well as how to apply it correctly to ensure compliance and minimize legal risks for businesses.<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Index<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewbox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewbox=\"0 0 24 24\" version=\"1.2\" baseprofile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/giaodichlienket.man.net.vn\/en\/nghi-dinh-20-2025-nd-cp\/#Gioi_thieu_Nghi_dinh_202025ND-CP_ve_giao_dich_lien_ket\" >Introducing Decree 20\/2025\/ND-CP on related-party transactions<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/giaodichlienket.man.net.vn\/en\/nghi-dinh-20-2025-nd-cp\/#Nghi_dinh_202025ND-CP_la_gi\" >What is Decree 20\/2025\/ND-CP?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/giaodichlienket.man.net.vn\/en\/nghi-dinh-20-2025-nd-cp\/#Pham_vi_dieu_chinh\" >Scope of adjustment<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/giaodichlienket.man.net.vn\/en\/nghi-dinh-20-2025-nd-cp\/#Doi_tuong_ap_dung\" >Applicable objects<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/giaodichlienket.man.net.vn\/en\/nghi-dinh-20-2025-nd-cp\/#Diem_moi_quan_trong_trong_Nghi_dinh_202025ND-CP\" >Important new points in Decree 20\/2025\/ND-CP<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/giaodichlienket.man.net.vn\/en\/nghi-dinh-20-2025-nd-cp\/#Nghi_dinh_202025ND-CP_sua_doi_bo_sung_khoan_2_Dieu_21_Nghi_dinh_1322020ND-CP_quy_dinh_ve_trach_nhiem_cua_Ngan_hang_Nha_nuoc\" >Decree 20\/2025\/ND-CP amends and supplements Clause 2, Article 21 of Decree 132\/2020\/ND-CP regulating the responsibilities of the State Bank.<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/giaodichlienket.man.net.vn\/en\/nghi-dinh-20-2025-nd-cp\/#Tac_dong_Nghi_dinh_202025ND-CP_den_doanh_nghiep\" >Impact of Decree 20\/2025\/ND-CP on businesses<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/giaodichlienket.man.net.vn\/en\/nghi-dinh-20-2025-nd-cp\/#Rui_ro_thue_neu_khong_tuan_thu\" >Tax risks of non-compliance<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/giaodichlienket.man.net.vn\/en\/nghi-dinh-20-2025-nd-cp\/#So_sanh_Nghi_dinh_1322020ND-CP_va_Nghi_dinh_202025ND-CP\" >Comparison of Decree 132\/2020\/ND-CP and Decree 20\/2025\/ND-CP<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/giaodichlienket.man.net.vn\/en\/nghi-dinh-20-2025-nd-cp\/#Ket_luan\" >Conclude \u00a0<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/giaodichlienket.man.net.vn\/en\/nghi-dinh-20-2025-nd-cp\/#Thong_tin_lien_he_MAN_%E2%80%93_Master_Accountant_Network\" >MAN \u2013 Master Accountant Network contact information:<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Gioi_thieu_Nghi_dinh_202025ND-CP_ve_giao_dich_lien_ket\"><\/span><b>Introducing Decree 20\/2025\/ND-CP on related-party transactions<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Nghi_dinh_202025ND-CP_la_gi\"><\/span><b>What is Decree 20\/2025\/ND-CP?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP was issued by the Government on February 10, 2025, amending and supplementing a number of articles of Decree 132\/2020\/ND-CP on tax management regulations for enterprises with related-party transactions.<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP is considered a step to complete the legal framework on anti-transfer pricing and management. <a href=\"https:\/\/giaodichlienket.man.net.vn\/en\/tong-quan-giao-dich-lien-ket-2025\/\">affiliate transactions<\/a>, ensuring transparency and fairness in business operations, while approaching international practices in tax management.<\/span><\/p>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Pham_vi_dieu_chinh\"><\/span><b>Scope of adjustment<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP focuses on regulating the principles of determining taxable prices, the obligation to declare, prepare and submit related-party transaction dossiers, and at the same time, supplementing cases of exemption from declaration and dossier preparation. In addition, the decree also adjusts the price determination method (APA) mechanism to help businesses and tax authorities reach a prior agreement on the price determination method, limiting the risk of disputes.<\/span><\/p>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Doi_tuong_ap_dung\"><\/span><b>Applicable objects<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP applies to all organizations and enterprises in Vietnam that have related-party transactions, including FDI enterprises, multinational corporations and domestic enterprises that have ownership, control or borrowing relationships, or guarantees from related parties.\u00a0<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP is closely related to Decree 132\/2020\/ND-CP. While Decree 132\/2020\/ND-CP lays the first foundation for the legal framework on tax management for related-party transactions, Decree 20\/2025\/ND-CP plays the role of updating and overcoming practical shortcomings, while approaching international practices in anti-transfer pricing. Decree 20\/2025\/ND-CP is a necessary step to ensure transparency and fairness in the production and business activities of enterprises in Vietnam.<\/span><\/p>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Diem_moi_quan_trong_trong_Nghi_dinh_202025ND-CP\"><\/span><b>Important new points in Decree 20\/2025\/ND-CP<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP amending and supplementing a number of articles of <\/span><a href=\"https:\/\/thuvienphapluat.vn\/van-ban\/Doanh-nghiep\/Nghi-dinh-132-2020-ND-CP-quy-dinh-quan-ly-thue-doi-voi-doanh-nghiep-co-giao-dich-lien-ket-452218.aspx\" rel=\"nofollow noopener\" target=\"_blank\"><span style=\"font-weight: 400;\">Decree 132\/2020\/ND-CP<\/span><\/a><span style=\"font-weight: 400;\"> Decree dated November 5, 2020 of the Government regulating tax management for enterprises with related-party transactions as follows.\u00a0<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP amends and supplements Point d, Point k and adds Point m, Clause 2, Article 5 of Decree 132\/2020\/ND-CP regulating related parties.<\/span><\/p>\n<figure id=\"attachment_1921\" aria-describedby=\"caption-attachment-1921\" style=\"width: 1200px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-1921\" src=\"https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Nhung-diem-cap-nhat-Nghi-dinh-20_2025_ND-CP-1.jpg\" alt=\"Nh\u1eefng di\u1ec3m c\u1eadp nh\u1eadt Ngh\u1ecb \u0111\u1ecbnh 20\/2025\/N\u0110-CP\" width=\"1200\" height=\"800\" srcset=\"https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Nhung-diem-cap-nhat-Nghi-dinh-20_2025_ND-CP-1.jpg 1200w, https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Nhung-diem-cap-nhat-Nghi-dinh-20_2025_ND-CP-1-300x200.jpg 300w, https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Nhung-diem-cap-nhat-Nghi-dinh-20_2025_ND-CP-1-1024x683.jpg 1024w, https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Nhung-diem-cap-nhat-Nghi-dinh-20_2025_ND-CP-1-768x512.jpg 768w, https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Nhung-diem-cap-nhat-Nghi-dinh-20_2025_ND-CP-1-18x12.jpg 18w\" sizes=\"auto, (max-width: 1200px) 100vw, 1200px\" \/><figcaption id=\"caption-attachment-1921\" class=\"wp-caption-text\">Updates to Decree 20\/2025\/ND-CP<\/figcaption><\/figure>\n<p style=\"text-align: justify;\"><b>Accordingly, at Point d, Clause 2, Article 5 of Decree 132\/2020\/ND-CP stipulates:\u00a0<\/b><\/p>\n<ul style=\"text-align: justify;\">\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">An enterprise guarantees or lends capital to another enterprise in any form, including loans from a third party but secured by the financial resources of the related party, or financial transactions of a similar nature, then the related relationship is determined when: the loan value is at least equal to 25% of the owner&#039;s capital contribution at the borrowing enterprise and at the same time accounts for more than 50% of the total outstanding medium-term and long-term debt of the borrowing enterprise.<\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><b>Decree 20\/2025\/ND-CP has been amended to:\u00a0<\/b><\/p>\n<ul style=\"text-align: justify;\">\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">An affiliated relationship is defined in the case where an enterprise guarantees or lends capital to another enterprise in any form. This includes loans from third parties but secured by the financial resources of the affiliated party, or financial transactions of a similar nature. This relationship is only recognized when the total outstanding loan balance between the borrowing enterprise and the lending or guarantor enterprise reaches at least 25% of the owner&#039;s equity in the borrowing enterprise, and accounts for more than 50% of the total outstanding debt of all medium-term and long-term debts of the borrowing enterprise.<\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><b>At point k, clause 2, Article 5 of Decree 132\/2020\/ND-CP stipulates:<\/b><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<ul style=\"text-align: justify;\">\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Other cases in which an enterprise is actually under the management, control and decision-making power over the production and business activities of another enterprise.<\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><b>Decree 20\/2025\/ND-CP has been amended to:<\/b><b>\u00a0<\/b><\/p>\n<ul style=\"text-align: justify;\">\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Other cases in which an enterprise (including an independent accounting branch that declares and pays corporate income tax) is subject to the actual management, control, and decision-making on the production and business activities of the other enterprise.<\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><b>Decree 20\/2025\/ND-CP adds new point m, specifically as follows:<\/b><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<ul style=\"text-align: justify;\">\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Credit institutions with Subsidiaries or with Controlling Companies or with Affiliates of credit institutions as prescribed in <\/span><a href=\"https:\/\/thuvienphapluat.vn\/van-ban\/Tien-te-Ngan-hang\/Luat-Cac-to-chuc-tin-dung-32-2024-QH15-577203.aspx\" rel=\"nofollow noopener\" target=\"_blank\"><span style=\"font-weight: 400;\">Law on Credit Institutions 2024<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/li>\n<\/ul>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Nghi_dinh_202025ND-CP_sua_doi_bo_sung_khoan_2_Dieu_21_Nghi_dinh_1322020ND-CP_quy_dinh_ve_trach_nhiem_cua_Ngan_hang_Nha_nuoc\"><\/span><b>Decree 20\/2025\/ND-CP amends and supplements Clause 2, Article 21 of Decree 132\/2020\/ND-CP regulating the responsibilities of the State Bank.<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">In Clause 2, Article 21 of Decree 132\/2020\/ND-CP, the State Bank, within the scope of its tasks and powers, is responsible for:\u00a0<\/span><\/p>\n<ul style=\"text-align: justify;\">\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Enterprises with related-party transactions must coordinate with tax authorities to provide full information and data on foreign loans and debt repayments according to the required list. The information provided must include: loan value, applicable interest rate, principal and interest repayment period, actual capital withdrawn, principal and interest payment status, along with other relevant data (if any).<\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><b>Decree 20\/2025\/ND-CP has been amended to:<\/b><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<ul style=\"text-align: justify;\">\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">When requested by the tax authority, credit institutions must cooperate in providing information in accordance with legal regulations. The report content includes: data on related persons of members of the Board of Directors, Board of Members, Board of Supervisors, General Director (Director), Deputy General Director (Deputy Director) and equivalent positions as prescribed in the Charter of the credit institution. In addition, the report must also show information on related persons of shareholders owning at least 01% of charter capital or more, as well as affiliated companies of the credit institution, based on the management database system of the State Bank.<\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><b>Decree 20\/2025\/ND-CP replaces Appendix I - Information on related relationships and related transactions<\/b><\/p>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP replaces Appendix I attached to Decree 132\/2020\/ND-CP dated November 5, 2020 of the Government regulating tax management for enterprises with related-party transactions with Appendix I issued with Decree 20\/2025\/ND-CP.\u00a0<\/span><\/p>\n<p style=\"text-align: justify;\"><b>At the same time, Decree 20\/2025\/ND-CP has the following transitional provisions:<\/b><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<blockquote><p><span style=\"font-weight: 400;\">\u201c<\/span><span style=\"font-weight: 400;\">In case, in the corporate income tax calculation period of 2020, 2021, 2022 and 2023, the borrowing enterprise only has an affiliated relationship with an economic organization operating under the provisions of the Law on Credit Institutions prescribed in Point d, Clause 2, Article 5 of Decree 132\/2020\/ND-CP and the borrowing enterprise with the lender or guarantor falls under the cases prescribed in Point d.1 and Point d.2, Clause 2, Article 5 <\/span><a href=\"https:\/\/thuvienphapluat.vn\/van-ban\/Doanh-nghiep\/Nghi-dinh-132-2020-ND-CP-quy-dinh-quan-ly-thue-doi-voi-doanh-nghiep-co-giao-dich-lien-ket-452218.aspx?anchor=dieu_5\" rel=\"nofollow noopener\" target=\"_blank\"><span style=\"font-weight: 400;\">Decree 132\/2020\/ND-CP<\/span><\/a><span style=\"font-weight: 400;\"> Amended and supplemented in Article 1 of Decree 20\/2025\/ND-CP, with related-party transactions within the scope of regulation in Clause 2, Article 1 <\/span><a href=\"https:\/\/thuvienphapluat.vn\/van-ban\/Doanh-nghiep\/Nghi-dinh-132-2020-ND-CP-quy-dinh-quan-ly-thue-doi-voi-doanh-nghiep-co-giao-dich-lien-ket-452218.aspx\" rel=\"nofollow noopener\" target=\"_blank\"><span style=\"font-weight: 400;\">Decree 132\/2020\/ND-CP <\/span><\/a><span style=\"font-weight: 400;\">and has non-deductible interest expenses as prescribed in Point a, Clause 3, Article 16 <\/span><a href=\"https:\/\/thuvienphapluat.vn\/van-ban\/Doanh-nghiep\/Nghi-dinh-132-2020-ND-CP-quy-dinh-quan-ly-thue-doi-voi-doanh-nghiep-co-giao-dich-lien-ket-452218.aspx\" rel=\"nofollow noopener\" target=\"_blank\"><span style=\"font-weight: 400;\">Decree 132\/2020\/ND-CP <\/span><\/a><span style=\"font-weight: 400;\">From the tax year 2024, the following will be implemented:<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In case an enterprise has no related-party relationship and does not have related-party transactions as prescribed in Decree 132\/2020\/ND-CP and Decree 20\/2025\/ND-CP, the non-deductible interest expense that has not been transferred to the following tax periods up to the end of the 2023 tax period shall be evenly distributed to the following tax periods for the remaining period according to the regulations on the time for transferring interest expense at Point b, Clause 3, Article 16 of Decree 132\/2020\/ND-CP.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In case an enterprise has an affiliated relationship and affiliated transactions as prescribed in Decree -132\/2020\/ND-CP and Decree 20\/2025\/ND-CP, the loan interest expense is not deductible and has not been transferred to the next tax periods in accordance with the provisions at Point b, Clause 3, Article 16. <\/span><a href=\"https:\/\/thuvienphapluat.vn\/van-ban\/Doanh-nghiep\/Nghi-dinh-132-2020-ND-CP-quy-dinh-quan-ly-thue-doi-voi-doanh-nghiep-co-giao-dich-lien-ket-452218.aspx?anchor=dieu_16\" rel=\"nofollow noopener\" target=\"_blank\"><span style=\"font-weight: 400;\">Decree 132\/2020\/ND-CP<\/span><\/a><span style=\"font-weight: 400;\">.\u201d<\/span><\/p>\n<p><b>References:<\/b> <a href=\"https:\/\/thuvienphapluat.vn\/van-ban\/Doanh-nghiep\/Nghi-dinh-20-2025-ND-CP-sua-doi-Nghi-dinh-132-2020-ND-%D0%A1%D0%A0-quan-ly-thue-doanh-nghiep-co-giao-dich-lien-ket-642785.aspx\" rel=\"nofollow noopener\" target=\"_blank\"><span style=\"font-weight: 400;\">Law library<\/span><\/a><span style=\"font-weight: 400;\">\u00a0<\/span><\/p><\/blockquote>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Tac_dong_Nghi_dinh_202025ND-CP_den_doanh_nghiep\"><\/span><b>Impact of Decree 20\/2025\/ND-CP on businesses<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP has created many important changes in tax management for enterprises with related-party transactions. These impacts vary depending on the type of enterprise, the characteristics of its operations and the level of related-party relationships.<\/span><\/p>\n<figure id=\"attachment_1922\" aria-describedby=\"caption-attachment-1922\" style=\"width: 1200px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-1922\" src=\"https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Tac-dong-Nghi-dinh-20_2025_ND-CP-den-doanh-nghiep-1.jpg\" alt=\"T\u00e1c \u0111\u1ed9ng Ngh\u1ecb \u0111\u1ecbnh 20\/2025\/N\u0110-CP \u0111\u1ebfn doanh nghi\u1ec7p\" width=\"1200\" height=\"800\" srcset=\"https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Tac-dong-Nghi-dinh-20_2025_ND-CP-den-doanh-nghiep-1.jpg 1200w, https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Tac-dong-Nghi-dinh-20_2025_ND-CP-den-doanh-nghiep-1-300x200.jpg 300w, https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Tac-dong-Nghi-dinh-20_2025_ND-CP-den-doanh-nghiep-1-1024x683.jpg 1024w, https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Tac-dong-Nghi-dinh-20_2025_ND-CP-den-doanh-nghiep-1-768x512.jpg 768w, https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Tac-dong-Nghi-dinh-20_2025_ND-CP-den-doanh-nghiep-1-18x12.jpg 18w\" sizes=\"auto, (max-width: 1200px) 100vw, 1200px\" \/><figcaption id=\"caption-attachment-1922\" class=\"wp-caption-text\">Impact of Decree 20\/2025\/ND-CP on businesses<\/figcaption><\/figure>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">For foreign-invested enterprises (FDI) or members of multinational corporations, Decree 20\/2025\/ND-CP requires greater transparency in the preparation and storage of related-party transaction records. Enterprises must not only prepare a local file, but also provide a global file (Master file) and a country-by-country profit report (CbCR) when they reach the consolidated revenue threshold. This means that the corporation must have a multinational, synchronous and transparent data management system to avoid risks of <\/span><a href=\"https:\/\/man.net.vn\/dich-vu-chuyen-gia\/\" rel=\"nofollow noopener\" target=\"_blank\"><span style=\"font-weight: 400;\">transfer pricing<\/span><\/a><\/p>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP expands the scope of determining related-party relationships, including loans, guarantees or cost-sharing transactions between parties. This has a strong impact on domestic enterprises, which often use borrowing and guarantee mechanisms internally or between companies in the same group. Enterprises need to review loans and guarantee contracts to determine whether they are subject to related-party transaction declaration or not, and ensure that transaction valuation complies with market principles.<\/span><\/p>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Rui_ro_thue_neu_khong_tuan_thu\"><\/span><b>Tax risks of non-compliance<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">The risk if a business does not comply with Decree 20\/2025\/ND-CP on related-party transactions entails many overlapping risks, from financial, legal to business reputation.<\/span><\/p>\n<figure id=\"attachment_1923\" aria-describedby=\"caption-attachment-1923\" style=\"width: 1200px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-1923\" src=\"https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Rui-ro-neu-khong-tuan-thu-Nghi-dinh-20_2025_ND-CP-1.jpg\" alt=\"R\u1ee7i ro n\u1ebfu kh\u00f4ng tu\u00e2n th\u1ee7 Ngh\u1ecb \u0111\u1ecbnh 20\/2025\/N\u0110-CP\" width=\"1200\" height=\"800\" srcset=\"https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Rui-ro-neu-khong-tuan-thu-Nghi-dinh-20_2025_ND-CP-1.jpg 1200w, https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Rui-ro-neu-khong-tuan-thu-Nghi-dinh-20_2025_ND-CP-1-300x200.jpg 300w, https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Rui-ro-neu-khong-tuan-thu-Nghi-dinh-20_2025_ND-CP-1-1024x683.jpg 1024w, https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Rui-ro-neu-khong-tuan-thu-Nghi-dinh-20_2025_ND-CP-1-768x512.jpg 768w, https:\/\/giaodichlienket.man.net.vn\/wp-content\/uploads\/2025\/05\/Rui-ro-neu-khong-tuan-thu-Nghi-dinh-20_2025_ND-CP-1-18x12.jpg 18w\" sizes=\"auto, (max-width: 1200px) 100vw, 1200px\" \/><figcaption id=\"caption-attachment-1923\" class=\"wp-caption-text\">Risks of non-compliance with Decree 20\/2025\/ND-CP<\/figcaption><\/figure>\n<ul style=\"text-align: justify;\">\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Direct tax risks:<\/b><span style=\"font-weight: 400;\"> Tax authorities have the right to determine taxes and readjust prices\/profit margins according to the arm&#039;s length principle when businesses do not declare or declare incorrectly. The common consequences are to collect corporate income tax, calculate late payment fees according to current regulations and impose administrative penalties. Many expenses with related elements are easily eliminated when there is a lack of evidence: internal service fees of the group cannot prove the benefits; copyright fees are not commensurate; related loan interest exceeds the threshold\/is not appropriate; and the allocation of costs has no basis.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Legal and governance risks:<\/b><span style=\"font-weight: 400;\"> Tax treatment decisions can force companies to adjust their financial statements, impacting bank commitments and dividend plans. Managers\u2019 responsibilities increase if they are found to have deficient compliance controls, especially in groups with cost-sharing arrangements, internal borrowing and guarantees.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Reputational risk:<\/b><span style=\"font-weight: 400;\"> Prolonged tax disputes undermine the confidence of auditors, banks and partners; affect internal credit ratings within the group; indirectly increase the cost of capital and guarantee costs. For listed companies, negative information about tax arrears\/penalties also affects stock prices and investor relations.<\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP sets stricter requirements for both FDI and domestic enterprises. Proactively reviewing, declaring and documenting related-party transactions not only helps enterprises comply with the law, but also minimizes tax risks and future disputes.<\/span><\/p>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"So_sanh_Nghi_dinh_1322020ND-CP_va_Nghi_dinh_202025ND-CP\"><\/span><b>Comparison of Decree 132\/2020\/ND-CP and Decree 20\/2025\/ND-CP<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">To help businesses easily identify the inheritance points and changes in tax management for related-party transactions, below is a comparison table between Decree 132\/2020\/ND-CP and Decree 20\/2025\/ND-CP according to important criteria.<\/span><\/p>\n<table style=\"width: 100$; border-color: #000000;\" border=\"1\" cellspacing=\"2\" cellpadding=\"12\">\n<tbody>\n<tr>\n<td style=\"text-align: center;\"><b>Criteria<\/b><\/td>\n<td style=\"text-align: center;\"><b>Decree 132\/2020\/ND-CP<\/b><\/td>\n<td style=\"text-align: center;\"><b>Decree 20\/2025\/ND-CP<\/b><\/td>\n<td style=\"text-align: center;\"><b>Outstanding alternative<\/b><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\"><b>Time of issuance and effectiveness<\/b><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Issued on November 5, 2020, effective from the 2020 tax period.<\/span><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Issued on March 27, 2025, effective from May 1, 2025.<\/span><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">New update to fix shortcomings after 5 years of application.<\/span><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\"><b>Applicable objects<\/b><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Enterprises in Vietnam have related transactions.<\/span><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Continue to apply to all enterprises with related transactions, including FDI and domestic enterprises.<\/span><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Expand the scope in more detail with loan relationships, guarantees, cost sharing.<\/span><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\"><b>Affiliate concept<\/b><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Stipulated in Article 5.<\/span><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Amend and supplement points d and k and add point m, clause 2, Article 5.<\/span><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Clarify conditions on loans, guarantees and control relationships.<\/span><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\"><b>Exemption from declaration and filing<\/b><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">There are 3 groups of exemptions.<\/span><\/p>\n<p><b> See details at:<\/b> <a href=\"https:\/\/thuvienphapluat.vn\/van-ban\/Doanh-nghiep\/Nghi-dinh-132-2020-ND-CP-quy-dinh-quan-ly-thue-doi-voi-doanh-nghiep-co-giao-dich-lien-ket-452218.aspx\" rel=\"nofollow noopener\" target=\"_blank\"><span style=\"font-weight: 400;\">Appendix I Section II Decree 32<\/span><\/a><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Keep the specific provisions, more clearly define the exemption conditions.<\/span><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">It is easy for businesses to apply and prove exemption conditions.<\/span><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\"><b>Affiliate Transaction Profile<\/b><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Requires Local file, Master file, CbCR.<\/span><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Continue to request, but add data consistency requirement between records and HTKK.<\/span><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Increase transparency, reduce transfer pricing fraud.<\/span><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\"><b>Interest expense\u00a0<\/b><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Control 30% EBITDA, excluding certain items<\/span><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Maintain the principle but add a provision excluding cases of borrowing from commercial banks<\/span><\/td>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Reducing the risk of \u201cthin capital\u201d and clarifying cases that are not considered as links<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 132\/2020\/ND-CP lays the foundation for tax management of related-party transactions, while Decree 20\/2025\/ND-CP continues to improve, supplement and clarify many regulations to increase transparency, conform to international practices, and minimize legal risks for businesses.<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP has a profound impact on businesses in managing related-party transactions. Decree 20\/2025\/ND-CP helps businesses have a clearer direction in tax compliance and administration.<\/span><\/p>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Ket_luan\"><\/span><b>Conclude <\/b><span style=\"font-weight: 400;\">\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">Decree 20\/2025\/ND-CP not only inherits the foundation from Decree 132\/2020\/ND-CP but also adds many important regulations, especially on loan relationships, guarantees and obligations to declare related-party transaction records. Enterprises need to proactively review, standardize data and build a sustainable tax compliance strategy. This is the key to minimizing risks and enhancing transparency in financial management.<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">MAN \u2013 Master Accountant Network is a consulting firm specializing in tax management and related party transactions, accompanying many FDI enterprises, multinational corporations and domestic enterprises. With a team of experts knowledgeable in Vietnamese tax laws and international practices, MAN \u2013 Master Accountant Network provides comprehensive solutions from declaration, preparation of related party transaction records, transfer pricing policy advice, to supporting APA negotiations with tax authorities.\u00a0<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">If your business is looking for a reliable partner in the field of related party transaction management and transfer pricing, please contact us immediately. <\/span><a href=\"https:\/\/man.net.vn\/\" rel=\"nofollow noopener\" target=\"_blank\"><span style=\"font-weight: 400;\">MAN \u2013 Master Accountant Network<\/span><\/a><span style=\"font-weight: 400;\"> to get advice on the best solution, most suitable to the specific operations of the business.<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">For specific advice, businesses <\/span><span style=\"font-weight: 400;\">Please contact MAN \u2013 Master Accountant Network via:<\/span><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Thong_tin_lien_he_MAN_%E2%80%93_Master_Accountant_Network\"><\/span><strong>Contact information <a href=\"https:\/\/man.net.vn\/\" rel=\"nofollow noopener\" target=\"_blank\">MAN \u2013 Master Accountant Network<\/a>:<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400; text-align: justify;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Address: 19A, Street 43, Binh Thuan Ward, District 7, Ho Chi Minh City.<\/span><\/li>\n<li style=\"font-weight: 400; text-align: justify;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Mobile\/ zalo: +84 (0) 903 963 163 or +84 (0) 903 428 622.<\/span><\/li>\n<li style=\"font-weight: 400; text-align: justify;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Email: man@man.net.vn.<\/span><\/li>\n<\/ul>\n<p style=\"text-align: right;\"><b>Editorial Board: MAN \u2013 Master Accountant Network<\/b><\/p>","protected":false},"excerpt":{"rendered":"<p>Ngh\u1ecb \u0111\u1ecbnh 20\/2025\/N\u0110-CP \u0111\u00e3 ch\u00ednh th\u1ee9c \u0111\u01b0\u1ee3c ban h\u00e0nh nh\u1eb1m s\u1eeda \u0111\u1ed5i, b\u1ed5 sung Ngh\u1ecb \u0111\u1ecbnh 132\/2020\/N\u0110-CP. V\u0103n b\u1ea3n n\u00e0y gi\u1eef vai tr\u00f2 quan tr\u1ecdng trong vi\u1ec7c qu\u1ea3n l\u00fd thu\u1ebf, ki\u1ec3m so\u00e1t giao d\u1ecbch li\u00ean k\u1ebft v\u00e0 ph\u00f2ng ch\u1ed1ng chuy\u1ec3n gi\u00e1, \u0111\u1ed3ng th\u1eddi t\u1ea1o khung ph\u00e1p l\u00fd r\u00f5 r\u00e0ng cho doanh nghi\u1ec7p. B\u00e0i vi\u1ebft d\u01b0\u1edbi [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":1924,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[4,10],"tags":[],"class_list":["post-648","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-trung-tam-kien-thuc","category-cap-nhat-quy-dinh-moi"],"acf":[],"_links":{"self":[{"href":"https:\/\/giaodichlienket.man.net.vn\/en\/wp-json\/wp\/v2\/posts\/648","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/giaodichlienket.man.net.vn\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/giaodichlienket.man.net.vn\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/giaodichlienket.man.net.vn\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/giaodichlienket.man.net.vn\/en\/wp-json\/wp\/v2\/comments?post=648"}],"version-history":[{"count":15,"href":"https:\/\/giaodichlienket.man.net.vn\/en\/wp-json\/wp\/v2\/posts\/648\/revisions"}],"predecessor-version":[{"id":2287,"href":"https:\/\/giaodichlienket.man.net.vn\/en\/wp-json\/wp\/v2\/posts\/648\/revisions\/2287"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/giaodichlienket.man.net.vn\/en\/wp-json\/wp\/v2\/media\/1924"}],"wp:attachment":[{"href":"https:\/\/giaodichlienket.man.net.vn\/en\/wp-json\/wp\/v2\/media?parent=648"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/giaodichlienket.man.net.vn\/en\/wp-json\/wp\/v2\/categories?post=648"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/giaodichlienket.man.net.vn\/en\/wp-json\/wp\/v2\/tags?post=648"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}