- Vietnam will impose VAT on imported goods worth less than US$39.40 shipped by express delivery starting February 18, 2025.
- The decision aims to level the playing field between imported and local products, encourage local manufacturing and consumption, and enable domestic manufacturers to compete with global rivals.
- The original exemption simplified administrative procedures, reduced customs processing time, and minimized paperwork for low-value goods.
- Vietnam has upgraded its customs system, streamlining processes and speeding up goods clearance.
- The increasing scale of small-value shipments due to e-commerce growth prompted the government to eliminate the VAT exemption.
Source: research.hktdc.com
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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