Tax Management
Configure and manage value-added tax automatically
The tax management module in Odoo provides automatic tax calculation and reporting system. Fully supports tax types per Vietnam regulations including VAT, personal income tax, corporate income tax.
With automatic tax calculation on invoices, tax report generation and accounting integration, Odoo helps businesses comply with tax regulations and save filing time.
Tax Terminology
Basic Terms
| English | Vietnamese | Description |
|---|---|---|
| VAT | Thuế GTGT | Value Added Tax |
| Output Tax | Thuế đầu ra | Tax collected from customers |
| Input Tax | Thuế đầu vào | Tax paid to suppliers |
| Tax Payable | Thuế phải nộp | Output Tax - Input Tax |
| Tax Exempt | Miễn thuế | Not subject to tax |
| Zero-rated | Không chịu thuế | Tax rate 0% |
| Tax Deduction | Khấu trừ thuế | Input tax deduction |
Tax Types in Vietnam
VAT Rates
| Rate | Application | Example |
|---|---|---|
| 0% | Exports | Export goods |
| 5% | Essential goods | Clean water, education, healthcare |
| 10% | Standard goods | Most goods and services |
| Not subject | Special goods | Unprocessed agricultural products |
Tax Configuration
Access: Settings → Accounting → Taxes
Steps
1. Click "New" to create new tax
2. Enter tax name: e.g., "VAT 10%"
3. Select tax type: Sales or Purchase
4. Select calculation method: Percentage (%) or Fixed Amount
5. Enter tax rate: e.g., 10
6. Configure scope: Invoices, Refunds, or Both
7. Set up tax accounts:
8. - Tax Account: Account to record tax
9. - Tax Repartition: Tax distribution
10. Save and activate tax
Output Tax
Tax collected from customers when selling:
Key points
• Automatically applied when creating customer invoice
• Calculated on pre-tax selling price
• Recorded in Output VAT account (3331)
• Journal entry: Credit Output VAT
• Appears on tax report
• Must be paid to tax authority
Input Tax
Tax paid to suppliers when purchasing:
Key points
• Automatically applied when creating vendor bill
• Calculated on pre-tax purchase price
• Recorded in Input VAT account (1331)
• Journal entry: Debit Input VAT
• Deducted from output tax
• Reduces tax payable
Automatic Tax Calculation
System automatically calculates tax when:
Steps
1. Creating customer invoice: Apply output tax
2. Creating vendor bill: Apply input tax
3. Selecting product: Default tax from product
4. Selecting customer: Tax by geographic location
5. Calculating total: Automatically add tax
6. Posting: Create automatic tax entry
Product Tax Configuration
Set default tax for products:
Steps
1. Go to Inventory → Products → Select product
2. Tab "General Information"
3. Field "Customer Taxes": Select sales tax (e.g., VAT 10%)
4. Field "Vendor Taxes": Select purchase tax (e.g., VAT 10%)
5. Save product
6. Tax automatically applies when selecting product in invoice
Geographic Tax (Fiscal Position)
Apply different taxes by location:
Steps
1. Go to Settings → Accounting → Fiscal Positions
2. Create new position: e.g., "Export"
3. Configure tax mapping:
4. - VAT 10% → VAT 0% (for export)
5. Assign Fiscal Position to customer
6. When creating invoice, tax automatically converts
Tax Report
Access: Invoicing → Reports → Tax Report
Steps
1. Select report period: Month, quarter
2. View output tax (Output VAT):
3. - From customer invoices
4. - Total tax collected
5. View input tax (Input VAT):
6. - From vendor bills
7. - Total tax deductible
8. Calculate tax payable: Output - Input
9. Drill-down to view details of each invoice
10. Export report for tax filing
VAT Filing
Monthly/quarterly tax filing process:
Steps
1. Reconcile all invoices in period
2. Run tax report for period
3. Check figures:
4. - Taxable revenue
5. - Output tax
6. - Deductible expenses
7. - Input tax
8. Calculate tax payable
9. Fill in tax return (01/GTGT)
10. Pay tax to tax authority
11. Record tax payment in Odoo
Record Tax Payment
After paying tax to tax authority:
Steps
1. Go to Invoicing → Accounting → Journal Entries
2. Create new entry
3. Select journal: Miscellaneous
4. Add lines:
5. - Debit: Output VAT (3331)
6. - Credit: Input VAT (1331)
7. - Credit: Bank (amount paid)
8. Enter memo: "VAT payment for month X/year Y"
9. Post entry
10. Tax account balance returns to 0
Import Tax
Handle tax when importing goods:
Steps
1. Create new tax: "Import Tax"
2. Configure rate per regulations
3. When entering import invoice:
4. - Add line for import tax
5. - Add line for import VAT
6. Post invoice
7. Tax recorded in expense or cost of goods
Export Tax
Handle tax when exporting goods:
Steps
1. Create Fiscal Position: "Export"
2. Mapping: VAT 10% → VAT 0%
3. Assign to foreign customers
4. Create export invoice
5. Tax automatically applies 0%
6. Save export documents for proof
Tax Refund
Handle when input tax > output tax:
Key points
• Negative tax = refundable
• Submit refund application to tax authority
• When receiving refund:
• - Debit: Bank
• - Credit: Input VAT (refund amount)
• Update tax account balance
Tax on Discounts
Calculate tax with discounts:
Key points
• Pre-tax discount: Reduce price before calculating tax
• Post-tax discount: Reduce price after calculating tax
• Configure in Settings → Accounting
• Odoo automatically calculates correctly per configuration
• Journal entry records accurately
Tax on Shipping
Handle tax for delivery fees:
Steps
1. Create product "Delivery Fee"
2. Assign appropriate tax (usually VAT 10%)
3. Add to invoice as a line
4. Tax automatically calculated on shipping fee
5. Or use Delivery module for automation
Accuracy Check
Ensure tax is calculated correctly:
Steps
1. Check tax configuration in Settings
2. Review tax accounts
3. Create test invoice and check amounts
4. View automatically created journal entry
5. Compare with manual calculation
6. Run tax report and reconcile
Best Practices
Steps
1. Configure tax correctly from start to avoid errors
2. Assign default tax to all products
3. Use Fiscal Position for special cases
4. Check tax report before filing
5. Store tax documents completely
6. Reconcile with accounting regularly
7. Update tax when regulations change
Common Error Handling
Errors and Solutions
| Error | Cause | Solution |
|---|---|---|
| No tax calculated | Tax not selected | Assign tax to product or select manually |
| Wrong tax rate | Wrong configuration | Check and fix tax configuration |
| Report wrong figures | Invoices not posted | Post all invoices in period |
| Cannot deduct | Missing documents | Save all valid input invoices |
E-invoice Integration
Connect with e-invoice system:
Key points
• Install e-invoice module (if available)
• Connect with e-invoice provider
• Automatically send invoices to tax authority
• Receive authentication code from tax authority
• Store e-invoices
• Comply with e-invoice regulations
Access Rights
Tax Management Permissions
| Group | Permissions |
|---|---|
| Billing | View tax on invoices, no configuration |
| Accountant | View tax reports, no configuration |
| Advisor | Full access: configure tax, reports, filing |