The National Assembly has agreed to continue reducing value-added tax (VAT) by 2% for groups of goods and services from July 1, 2024, to December 31, 2024.

Most members of the National Assembly Standing Committee in their meeting on May 13 agreed with the Government’s proposal to slash the value added tax (VAT) by 2% to 8% but on selected provisions of goods and services.

Facebook ads in Vietnam will be subject to a 5 percent value added tax (VAT) beginning from June 1.

Vietnam’s Government slashed the value-added tax (VAT) rate from 10 to 8% earlier this month – a move that cost the State budget $2.2 billion but, along with other support, is expected to help boost the pandemic-hit economy.

From August 1, 2021, a 5 percent VAT and 2 percent PIT will be imposed on services such as saunas, massage, karaoke, discotheques, billiards, internet, games, tailoring, laundry, haircut and hairdressing, and other services.

Under a new regulation, from December 5, ride-hailing services will be taxed 10 percent instead of the current 3 percent.

The Ministry of Finance (MOF) has proposed adding fertilizer to the list of products subject to VAT with a 5 percent tax rate.

Amidst lingering complaints from businesses on VAT for imported medical devices, the Ministry of Finance has broken its silence by announcing the ongoing revision of prevailing rules, 

The Ministry of Finance will consider a value-added tax (VAT) rate of 5 per cent on fertiliser products which are now free of VAT in response to domestic producers’ claim that the zero VAT policy made it harder for them to compete.

The Ministry of Finance has submitted to the Government a five-month extension of value-added tax (VAT), personal income tax and land rent fee payments for those affected by the COVID-19 epidemic.

VietNamNet Bridge - While the taxation agency insists on imposing a luxury tax on soft drinks, some experts warn that the move could lead to Vietnam being accused of discriminatory treatment.

Last month, Toyota Việt Nam unveiled the recommended retail prices for its first shipment of cars imported from Indonesia at zero tax, and most of them are higher than before the policy of zero tariffs took effect.

VietNamNet Bridge - The reported decline in losses shows that fertilizer manufacturers are reviving. However, they still have to struggle to compete with Chinese imports.

VietNamNet Bridge - The Ministry of Finance’s (MOF) recent proposals on raising many kinds of taxes and fees have been facing strong opposition from the public.

 VietNamNet Bridge – It’s a well-worn cliché that one cannot escape death and taxes. However, it does not mean they are accepted unquestioned.

The Ministry of Finance (MOF) has sent drafts of tax laws to the Ministry of Justice (MOJ) before being submitted to the Prime Minister and NA for approval in 2018.

It seem quite clear that those who can least afford it would be hit the hardest by any increase to VAT rates.

The Ministry of Finance’s (MOF) plan to raise taxes has been facing fierce criticism from economists who believe that the real reason behind the plan is not tax reform, but just money to cover expenditures.

Rong Viet Securities estimates that if the new VAT policy is applied from 2019 with the tax rate increasing from 10 percent to 12 percent, the state budget would have VND70 trillion a year more from VAT collections.