The current tax regulations play a vital role in financial governance and in promoting transparency in business operations. The law has stipulated numerous advantage regulations to facilitate business activities, particularly for small and medium-sized enterprises and individual business households.

I. Importance of the current tax regulations

The promulgation and implementation of new tax regulations are of significant importance. Such regulations not only enable the State to effectively manage revenue sources and ensure the stability of the national budget but also contribute to creating a transparent and equitable business environment. Timely adjustments to tax policies help enterprises better adapt to development trends, encourage investment, expand production, and promote international integration. These factors form a solid foundation for sustainable economic growth.

II. Legal provisions on new tax regulations

1. What are new tax regulations?

New tax regulations refer to policies, laws, or decrees issued by the State to amend, supplement, or replace the existing tax system. These regulations typically address tax rates, taxpayers, tax calculation methods, as well as procedures for declaration, payment, and finalization of taxes.

The promulgation of new tax regulations aims to ensure fairness, transparency, and alignment with socio-economic conditions, while also encouraging investment, supporting business development, and increasing State budget revenues. It is a crucial element for effective economic management. The Law on Value-Added Tax 2024, effective from 1 July 2025 is notable and widely.

2. What are the most significant changes in the current tax regulations?

From July 1st, 2025, several significant tax-related changes have officially taken effect, directly impacting enterprises, business households, and individuals, including:

  • Major change in tax code: Pursuant to Clause 2, Article 38 of Circular No. 86/2024/TT-BTC, tax code (tax identification numbers) issued to individuals, households, and business households are valid only until June 30th, 2025. From July 1st, 2025, tax administration will use personal identification numbers in place of tax codes in accordance with Article 35 of the Law on Tax Administration 2019.
  • Adjustment of non-VAT taxable subjects: The Law on VAT 2024 removes several previously non-taxable items such as fertilizers, agricultural machinery, offshore fishing vessels, securities depository services, and stock market operation services. At the same time, it supplements VAT exemptions for imported goods used for donations and support in disaster relief, epidemics, or war.
  • Amendment to VAT calculation for imported goods: Article 7 of the Law on VAT 2024 provides that the taxable value is the import dutiable value (as determined under the law on import-export duties), plus import duty, additional import duty (if any), excise tax (if any), and environmental protection tax (if any).
  • Guidance on correction of input VAT declaration errors: Where errors are identified, taxpayers may make supplementary declarations:
  • In the period in which the error arises, if the adjustment increases tax payable or decreases refundable tax;
  • In the period in which the error is discovered, if the adjustment decreases tax payable or only adjusts the deductible amount carried forward.
  • Additional VAT refund cases: Enterprises engaged solely in the production of goods and services subject to a 5% VAT rate are eligible for VAT refunds if the uncredited input VAT reaches 300 million VND or more after 12 months or four quarters.
  • Changes in input VAT deduction conditions: All transactions for goods and services must have non-cash payment documents, including those below 20 million VND (except certain specific cases). Additional documents such as packing lists, bills of lading, and insurance certificates are also recognized as valid grounds for VAT deduction for exported goods.
  • Adjustment of VAT rates:
  • Supplement of a 0% VAT rate for international transportation, construction works abroad or in non-tariff zones, goods sold at duty-free shops, and export services in aviation and maritime sectors;
  • Reclassification from non-taxable to 5% VAT for fertilizers and fishing vessels;
  • Reclassification from 5% to 10% VAT for unprocessed forestry products, sugar and its by-products, research equipment and tools, and activities in culture, sports, arts, and cinema.
  • Additional provisions for promotional goods: Promotional goods and services are subject to a VAT taxable value of zero, aligning with commercial law provisions.

These new regulations indicate a tightening of tax administration and expansion of the taxable base, while simultaneously providing incentives for social support activities, production, and exports.

III. Questions on new tax regulations

1. How do the new tax regulations affect small and medium-sized enterprises?

The new VAT regulations have significant impacts on small and medium-sized enterprises.

Firstly, reduced and maintained preferential tax rates for certain essential goods and services help small and medium-sized enterprises lower input costs and pricing pressure, thereby enhancing competitiveness. In addition, faster and more transparent VAT refund mechanisms improve cash flow and prevent capital from being tied up for extended periods.

Small and medium-sized enterprises operating in export or consumer goods sectors benefit significantly from tax incentives, as these industries typically have small profit margins and require timely financial support.

However, alongside these benefits, small and medium-sized enterprises face higher requirements in accounting and tax documentation management, necessitating greater transparency and professionalism in financial administration.

Overall, small and medium-sized enterprises are subject to benefits from cost reductions, improved cash flow, and expanded growth opportunities, while also needing to strengthen management capacity to comply with stricter tax requirements.

2. Are there any changes to tax payment deadlines?

Under the new regulations, tax payment deadlines remain unchanged, although extension mechanisms are available in certain cases: Unchanged tax periods: Pursuant to Clause 1, Article 55 and Article 44 of the Law on Tax Administration 2019, VAT must still be paid no later than the 20th day of the following month (for monthly declarations) or the last day of the first month of the following quarter (for quarterly declarations).

3. What should enterprises note to ensure compliance?

Enterprises should consider the following:

  • Timely updates of tax policies, especially the amended VAT Law effective from July 1st, 2025;
  • Proper classification of applicable sectors to determine eligibility for preferential rates;
  • Timely tax declaration in accordance with Article 44 of the Law on Tax Administration 2019;
  • Proper invoice and document management, including valid electronic invoices;
  • Compliance with non-cash payment requirements for VAT deduction;
  • Utilization of tax deferral incentives where eligible.

4. Are there specific regulations for individual business households?

New tax regulations provide several notable provisions:

  • E-commerce platforms declaring and paying taxes on behalf (from April 1st, 2025): Platforms with payment functions must withhold, declare, and pay VAT and personal income tax on behalf of business households or individuals.
  • Mandatory use of e-invoices generated from cash registers (from June 1st, 2025): Business households with annual revenue of 1 billion VND or more in certain sectors must use e-invoices connected directly to tax authorities.
  • Transition from presumptive taxation to declaration-based taxation: From June 1st, 2025 (fully applied from 1 January 2026), business households with revenue of 1 billion VND or more must declare tax based on actual revenue; the presumptive method will be abolished entirely from 2026.
  • Use of personal identification numbers instead of tax codes (from 1 July 2025): It enhances integration with national population databases and improves tax administration efficiency.

These policies represent a shift from presumptive taxation to revenue-based management using electronic invoices, enhancing transparency and tightening control, particularly in e-commerce activities.

5. Are there tax incentives for newly established enterprises?

Pursuant to Resolution No. 198/2025/QH15, newly established enterprises (especially small and medium-sized enterprises and startups) are entitled to corporate income tax (CIT) exemption for the first two years and a 50% reduction for the following four years.

The Law on Corporate Income Tax 2025 (effective from October 1st, 2025) states preferential tax rates of 15% for enterprises with annual revenue not exceeding 3 billion VND, and 17% for those with revenue from over 3 billion VND to 50 billion VND. Newly established enterprises are guided on revenue determination to qualify for these preferential rates.

IV. Legal advisory services on new tax regulations

Understanding and properly applying new tax regulations is essential for enterprises to optimize costs and mitigate legal risks. NPLaw provides comprehensive advisory services on tax policies, including updates on changes in VAT and CIT laws, assistance with tax declaration and documentation, utilization of tax incentives, and resolution of arising issues. With a team of experienced legal professionals, NPLaw supports enterprises in ensuring legal compliance and achieving sustainable development.