Proposal for 5 types of income to be tax-exempt.

The draft Decree specifies 21 types of income that are exempt from tax, adding 5 more types of income that were previously exempt. It also proposes a 5-year tax exemption for income from salaries of individuals who are highly skilled professionals in certain high-tech, innovation, and digital transformation fields, in order to retain strategic human resources.

Notably, the draft Decree also stipulates exemption from personal income tax on the transfer of open-ended fund certificates if the holding period is 2 years or more, and a 50% reduction in personal income tax on profits received by individual investors from securities investment funds and real estate investment funds for a period of 5 years to promote the sustainable development of the securities market and gradually make the securities market an important medium and long-term capital mobilization channel for the economy .

Furthermore, for individuals with income from salaries and wages, in addition to the reduction in tax obligations due to adjustments in deductions, they may also receive a reduction in tax obligations through new regulations amended and supplemented in the Personal Income Tax Law No. 109/2025/QH15 and the draft Decree, such as the provision that the following items are not included in taxable personal income:

Firstly, night shift and overtime pay (according to previous regulations, only the portion of wages paid in excess of daytime or regular working hours as stipulated by law was tax-exempt).

Secondly, all severance pay and unemployment benefits received, including those exceeding the amount stipulated by labor law (previously, only the portion received at the level stipulated by labor law was tax-exempt).

Thirdly, the amount contributed by employers to supplementary retirement insurance under the Social Insurance Law, voluntary retirement insurance, and life insurance for employees shall not exceed 3 million VND/person/year (currently, the limit is 1 million VND/person/year).

According to the Ministry of Finance , implementing this regulation will contribute to reducing tax obligations for many groups, especially those paying taxes at lower brackets, where the reduction rate will be higher.

Source: https://vtv.vn/de-xuat-5-khoan-thu-nhap-duoc-mien-thue-100260331111803451.htm