Tax
In the flow of Vietnam's tax policy reform to respond to the rapid movement of Vietnam's economy, Decree 320/2025/ND-CP (Decree 320) was born as an important "link" to complete the legal architecture of corporate income tax. Not only stopping at the role of guiding the implementation of the Law on Corporate Income Tax 2025, this Decree also marks an important step in tax administration activities, when replacing the old guiding frameworks such as Decree 218/2013/ND-CP and other guiding documents. Decree 320 was issued and takes effect from December 15, 2025.
In the context of a thriving globalization economy and cross-border trade, digital transformation has become an inevitable trend in public governance in Vietnam. The Law on Tax Administration 2025 was approved by the National Assembly on December 10, 2025 and will take effect from July 1, 2026 in the spirit of comprehensively renovating tax administration activities. The new regulations are expected to help the State combat tax revenue loss, implement the requirements of transparent, modern, and international standard management. At the same time, these regulations can help businesses reduce compliance costs, optimize the time to declare and submit tax documents, and facilitate the expansion of production and business.
The adjustment of tax policies for business households and individuals is always a brainstorming problem for policymakers: it must ensure fairness, avoid creating a burden on vulnerable groups, and at the same time not erode sustainable revenue for the budget. In the context that Vietnam is promoting the process of tax transparency, modernizing management and encouraging digitalization, raising the tax exemption threshold for business households to 500 million VND/year is considered a concession step to reduce financial pressure, encourage the legalization of operations and create room for business households to reinvest . However, the "simplification" with a common number raises many practical issues that need to be discussed. Is the threshold of 500 million VND, if applied "mechanically", suitable for the characteristics of the industry, household structure and regional differences, or is it necessary to have complementary mechanisms for the policy to achieve the desired effect?
For FDI enterprises, determining corporate income tax obligations arising from the transfer of contributed capital is always a big challenge, especially when tax authorities and enterprises have different interpretations of tax bases, exchange rates, and regulations on administrative procedures.
In the context of tax policy reform becoming an urgent requirement to suit the reality of the digital economy and the trend of integration, the Draft Law on Tax Administration (amended) 2025 ("Draft") is expected to create a more appropriate transparent legal framework. However, in addition to the positive new points, the Draft also reveals many unreasonable regulations, potentially risky for taxpayers, especially enterprises and business households, who are directly affected by the current tax policies and laws.
Foreign workers working in Vietnam are foreign individuals who are obliged to pay and register taxes directly with tax authorities. These individuals are considered to have incomes subject to personal income tax or other individuals who have obligations to the state budget . Tax registration can be carried out through the following two forms: (1) foreign workers directly carry out tax registration; (2) The foreign worker through the income-paying agency/unit and authorizes this agency/unit to carry out tax registration.
Wishing to arouse the potential of businesses, support Vietnam's small and medium-sized enterprises to stabilize and develop in an increasingly fierce competitive environment, the National Assembly has promulgated the Law on Corporate Income Tax No. 67/2025/QH15 which will take effect from October 1, 2025, bringing a lot of benefits to businesses in the coming time with the aim of promoting development development of the private sector.
During the process of enterprise dissolution, tax finalization and the fulfillment of tax obligations are mandatory and decisive steps. The enterprise must prepare and submit the tax finalization dossier to the competent tax authority within the statutory deadline, while fully discharging its obligations relating to tax declarations, tax payments, invoices, and other relevant liabilities. Only upon confirmation from the tax authority that all tax obligations have been duly fulfilled may the enterprise proceed with the dissolution procedures at the business registration authority.
Dissolution of an enterprise is the last step to close the entire business operation process, and at the same time terminate the legal existence of the enterprise. In this process, the termination of the tax identification number and the completion of tax finalization are not only mandatory procedures but also a condition for completing the dissolution dossier at the business registration office. However, the practice of implementation at local tax authorities shows that there are still technical and procedural "bottlenecks" at the tax stage, causing the dissolution process to be prolonged and the plan to terminate the operation of the enterprise is significantly affected.
The current Law on Corporate Income Tax ("Law on CIT") is being considered and amended by the National Assembly to meet the actual requirements of the domestic tax system, and at the same time be in line with the trend of international integration. In particular, this amendment takes place in the context that Vietnam has passed a Resolution on the application of additional corporate income tax under the global tax base erosion prevention mechanism, effective from January 1, 2024. The changes in the revised Draft Law on CIT not only directly impact the operations of domestic and foreign enterprises but also reshape tax policies to be more suitable for the current digital economy context. In this article, we will mention some notable expected adjustments in the amended Draft Law on CIT to help businesses proactively grasp the changes, to make appropriate adjustments to their business strategies in the coming time.
The recent official announcement of tax policies by the United States for a series of countries importing into the United States has significantly affected the global supply chain, including Vietnam. As a country that imports the majority of pharmaceuticals from the United States, European countries, ... Vietnam is at risk of being impacted on both exports and imports as input prices are pushed up, while regulations on import duties, documents of origin and tariff preferences are increasingly tightly managed. Not outside the reference system, the pharmaceutical industry is also one of the industries strongly affected by the fluctuating tariff policies from countries. In that context, compliance with regulations related to pharmaceutical import taxes is a mandatory requirement for businesses to maintain stable operations, avoid tax arrears or supply chain disruptions. So what are the points that businesses need to pay special attention to when importing pharmaceuticals into Vietnam in the current volatile period?
In the context of promoting the private economic sector and promoting the reform of the tax system, the termination of the form of flat tax for business households is a key content, attracting attention from state management agencies as well as the business community. Presumptive tax according to the Law on Tax Administration 2019 (amended and supplemented in 2020) is a method of determining tax liabilities based on presumptive turnover fixed by tax authorities, applicable to small-scale business households that do not have an adequate accounting system. Practice shows that this method still has many limitations, affecting publicity, transparency and fairness in the business environment.
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