Business households under 3 billion VND are preparing for big changes when eliminating lump-sum tax and applying new books.

Many new points in the draft Circular guiding accounting for business households and individual businesses with annual revenue of over 200 million to 3 billion VND are being consulted by the Ministry of Finance.

Proposing many new regulations on accounting regime for individuals and business households from January 1, 2026. Photo: Vietnamnet

In order to complete the legal framework and encourage business households to convert into enterprises, the Ministry of Finance has developed and is seeking comments on a draft Circular guiding the accounting regime for business households and individuals, replacing Circular No. 88/2021.

Accordingly, individuals and business households with annual revenue of over 3 billion VND shall perform accounting according to the guidance in the circular or may apply the accounting regime for micro-enterprises.

Business representatives and individual business owners can keep their own accounting books or arrange for an accountant or hire an accounting service.

The representative can directly keep the books or arrange for an accountant/hire a service. According to the draft, the personnel arranged to be accountants can include parents (biological/adoptive), spouse, children (biological/adoptive), siblings or managers, warehouse keepers, treasurers, people who are regularly assigned to buy and sell assets and concurrently hold the position of accountant.

Business households and individual businesses can choose to store accounting documents electronically. Photo: Vietnamnet

For business households/individuals with annual revenue from over 200 million VND to 3 billion VND, based on the method of paying VAT and personal income tax, accounting shall be performed in one of the following two cases:

Case 1 : Business households and individuals pay VAT and personal income tax as a percentage of revenue. The accounting documents used are sales invoices. Regarding accounting books, business households and individuals use the detailed book of revenue from sales of goods and services (form No. S2a-HKD) issued with the attached document to record revenue from sales of goods and services.

Case 2 : Individuals and business households pay VAT by the deduction method and personal income tax as a percentage of revenue. Accounting documents are VAT invoices and sales invoices. Accounting books include books tracking VAT obligations to the state budget and detailed books on sales revenue of goods and services.

For business households/individuals with annual revenue of over 3 billion VND, accounting guidance is also provided in 2 cases: paying VAT as a percentage of revenue and personal income tax on taxable income and paying VAT by the deduction method and personal income tax on taxable income.

In case households/individuals have property leasing or e-commerce business activities, if VAT is paid as a percentage of revenue, the personal income tax payable is determined by multiplying the tax rate by revenue. These households/individuals use accounting books (form S2a-HKD) according to the instructions as a basis for determining tax obligations.

If the activity is subject to other special taxes, the household/individual will use a special tax obligation tracking book (form No. S5a-HKD) in addition to the above accounting books.

Business households and individual businesses can choose to store accounting documents electronically. The minimum document storage period is 5 years.

The new Circular is expected to take effect from January 1, 2026.

According to the Department of Taxation (Ministry of Finance), by October 2025, the country will have about 3.83 million business households. Of which, 1.7 million business households (accounting for 44.4%) with revenue under VND 200 million will continue to be exempt from tax; 883,000 business households (accounting for 23%) with revenue from over VND 200 million to VND 3 billion are the group mainly affected by the elimination of lump-sum tax and 39,000 business households (1%) with revenue over VND 3 billion.

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Source: https://baohaiphong.vn/ho-kinh-doanh-duoi-3-ty-dong-chuan-bi-thay-doi-lon-khi-bo-thue-khoan-ap-so-sach-moi-526603.html