The Decree clearly states: Reduce value added tax (VAT) for groups of goods and services currently subject to a tax rate of 10%.

Sectors that continue to not receive this tax reduction include real estate, securities, banking services, telecommunications, information technology, coke, chemical products, goods and services subject to special consumption tax.

The reduction of value added tax for each type of goods and services is applied uniformly at the stages of import, production, processing, trading...

Corporations and economic groups that implement a closed process to sell are also subject to value-added tax reduction on coal products sold.

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Continuing to reduce VAT will help people save on spending and living expenses. Illustration: Nguyen Hue

In case goods and services are not subject to VAT or are subject to 5% VAT according to the provisions of the Law on Value Added Tax, the provisions of the Law on Value Added Tax shall apply and VAT shall not be reduced.

Business establishments calculating VAT by the deduction method are entitled to apply a VAT rate of 8% to goods and services eligible for VAT reduction.

Business establishments (including business households and individual businesses) calculating VAT according to the percentage method on revenue are entitled to a 20% reduction in the percentage rate for calculating VAT when issuing invoices for goods and services eligible for reduced VAT.

Previously, on June 29, the National Assembly voted to pass the Resolution of the 7th session. Accordingly, the National Assembly agreed to extend the application of the 8% VAT, a 2% reduction compared to the current rate, until the end of this year.

Reducing VAT by 2% will help people save money on spending and living expenses, creating a psychological impact, helping to stimulate demand and increase consumption.

Continue to reduce VAT by 2% until the end of 2024

Continue to reduce VAT by 2% until the end of 2024

The National Assembly agreed to continue reducing value-added tax (VAT) by 2% on groups of goods and services from July 1, 2024 to December 31, 2024.
5% VAT on fertilizer, each farmer pays an additional 38,000 VND/month

5% VAT on fertilizer, each farmer pays an additional 38,000 VND/month

Minister Ho Duc Phoc said that when levying a 5% VAT on fertilizers, if calculating the tax refund for businesses of 1,500 billion VND, the remaining 4,200 billion VND is assessed to impact 9.1 million people, then each farming household will pay an additional 461,000 VND per year, and an additional 38,000 VND per month.
Property tax should be imposed on high-income earners, not necessarily VAT increase

Property tax should be imposed on high-income earners, not necessarily VAT increase

National Assembly delegate Hoang Van Cuong said that tax reform is necessary but it is not necessary to increase VAT but should target policy groups that collect property tax, especially those with high incomes and large assets.