Concerns of Export Enterprises on Amended VAT Law

• Proposed amendments to the Value Added Tax Law are causing concerns for exporting businesses
• Exporting businesses are worried about VAT on consumer services in non-customs areas
• The amendments may create difficulties for exporting businesses
• Concerns about reduced competitiveness
• The draft amendments to the VAT Law are being reviewed by the National Assembly
• The Ministry of Finance is seeking feedback on the amendments to address inconsistencies in the tax system
• One major concern is the removal of the 0% VAT rate for services provided to non-customs areas, potentially increasing export product costs
• This could reduce the competitiveness of Vietnamese exporting businesses compared to foreign competitors
• There is also a concern about inequality between exporting businesses and domestic businesses in terms of VAT refunds
• The challenges faced by exporting businesses were discussed at a recent business forum
• VAT on consumer services in non-customs areas could hinder production and investment for exporting businesses.

Source: baochinhphu.vn

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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