VCCI Calls for Overhaul of VAT Regulations on Mineral Exports to Boost Competitiveness

• Current VAT regulations increase the tax burden on businesses by not acknowledging economic realities of different products.
• VCCI raised concerns about VAT framework for mineral resources and exports.
• Ministry of Finance is seeking opinions to refine the draft decree on VAT Law.
• Business community calls for revisions to enhance competitiveness and reduce costs.
• VAT regulations do not differentiate between unprocessed and processed mineral resources.
• Companies must account for full VAT input as a business expense, affecting export competitiveness.
• Existing classification system inadequately groups products, ignoring distinctions between raw and processed materials.
• Businesses propose principles for certain products not to apply to others.
• Products exempt from export tax should benefit from standard VAT policy.
• Export-related services face potential double taxation, affecting Việt Nam’s trade attractiveness.
• Draft regulations on VAT rates for goods exported to duty-free zones lack clarity.
• Clearer definitions and documentation requirements could streamline compliance and reduce misunderstandings.

Source: vietnamnews.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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