Are revenues from food and drink services and other services of discotheque, karaoke establishment subject to taxable prices in Vietnam?

1. Are revenues from food and drink services and other services of discotheque, karaoke establishment subject to taxable prices in Vietnam?

Pursuant to Clause 7, Article 4 of Decree 108/2015/ND-CP on taxable prices, specifically as follows:

7. Taxable prices for services are the prices imposed by service providers.

a) For golf course business, taxable prices are VAT-exclusive revenue from selling memberships, golf tickets including practice tickets, payment for golf course maintenance, buggy rental, caddies, deposits (if any), and other amounts paid by players and members to the gold course. Other goods/services not subject to excise tax such as hotel, food and drink, commodities and games provided by the golf course are not subject to excise tax.

b) For casinos and electronic casino games, taxable prices are revenues minus (-) prizes given to players;

c) For betting business, taxable prices are revenues from selling betting tickets minus (-) prizes;

d) For discotheque, massage, and karaoke business, taxable prices are revenues from activities within the discotheque, massage establishment, karaoke establishment, including revenues from food and drink services and other services;

dd) For lottery business, taxable prices are revenues from selling lottery tickets and other permissible form of lottery business.

According to this Article, when you do business in karaoke services in Vietnam that generate revenues from food and drink services and other services of discotheque or karaoke establishment, you are still subject to taxable prices.

2. Who has power to issue Certificates of sastisfaction of security and order conditions and manage of karaoke service providers in Vietnam?

In Clause 3, Article 24 of Decree No. 96/2016/ND-CP on power to issue certificate of sastisfaction of security and order conditions, and security guard certificate, and verify and approve for security guard training curriculum/program:

3. Police authorities of districts affiliated to central-affiliated cities or provinces shall issue Certificates of sastisfaction of security and order conditions and manage the following business establishments (except for business establishments provided for in Point a Clause 1 and Point a Clause 2 of this Article), consisting of:

a) Paintball shooting service providers; karaoke service providers; massage service providers; pawnshop service providers; traders in warning devices of emergency vehicles; gas business establishments;

b) Business establishments that are not providers of accommodation service and printing service;

c) For-profit administrative units that are affiliated to district-level agencies or organizations and engage in business sectors with security and order conditions.

Thus, when you submit a complete Certificates of sastisfaction of security and order conditions and manage of karaoke service providers in Vietnam, Police authorities of districts affiliated to central-affiliated cities are responsible for issuing the Certificates of sastisfaction of security and order conditions and manage of your karaoke business.

Best Regards!