VAT Reduction Policy Aims to Support Citizens and Businesses, Excludes Certain Sectors

• The extension of tax reduction policies is crucial for citizens and helps businesses manage costs and cash flow.
• A 2 percent reduction in VAT is an effective macroeconomic fiscal policy benefiting labor-intensive sectors and small to medium enterprises.
• The VAT reduction leads to stable product prices for consumers and benefits citizens through reduced VAT on purchases.
• The draft resolution presented at the 9th session of the 15th National Assembly proposes a 2 percent VAT reduction for certain goods and services, excluding sectors like telecommunications, finance, banking, and others.
• The VAT reduction is set to apply from July 1, 2025, to December 31, 2026.

Source: media.chinhphu.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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