Resolution on Value-Added Tax Reduction Signed by National Assembly Chairman Tran Thanh Man

• The National Assembly Chairman signed and announced a resolution on value-added tax reduction.
• The resolution is effective from July 1, 2025, to December 31, 2026.
• The resolution reduces the value-added tax rate by 2 percent for certain goods and services, with a maximum reduction of 8 percent.
• Exclusions include telecommunications, financial activities, banking, securities, insurance, real estate, metal products, mining products except coal, and goods and services subject to special consumption tax except gasoline.
• The government is instructed to specify details of this provision.
• The resolution specifies a 0 percent tax rate for certain export goods and services.
• A 5 percent tax rate applies to specific goods and services, including clean water, fertilizers, agricultural services, and medical equipment.
• A 10 percent tax rate applies to goods and services not specified in the 0 percent and 5 percent categories, including services provided by foreign suppliers without a permanent establishment in Vietnam.

Source: vietnam.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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