Expected to increase family deduction level in October 2025

(QNgTV) - The National Assembly Standing Committee is expected to consider and approve a Resolution on adjusting family deduction levels at the October 2025 meeting.

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The cost of living is increasing, especially in big cities. The basic salary has also increased by 30%, but the Personal Income Tax Law is still slow to be amended and supplemented, causing more financial pressure and a sense of unfairness for people. The current family deduction level has been applied since 2020, with 11 million VND/month for the taxpayer and 4.4 million VND/dependent. However, after 5 years, this level is no longer suitable when the consumer price index and living standards have increased sharply.

In addition, the current Personal Income Tax Law divides taxable income into 7 levels, with tax rates ranging from 5% to 35%. However, the gap between tax levels is too short, causing many people to “jump up” and pay much higher taxes after just a small salary increase. Many opinions suggest that it is necessary to expand the tax levels and at the same time lower the tax rates to properly reflect the ability to contribute and not to dampen the motivation to increase income.

Obviously, the current family deductions and personal income tax brackets have not kept up with the changes in reality. It is time for the authorities to review and amend the tax policy to make it fair, reasonable, encourage labor and ensure social security.

Source: https://quangngaitv.vn/du-kien-nang-muc-giam-tru-gia-canh-vao-thang-10-2025-6504704.html