1. Adjusting subjects not subject to VAT
Pursuant to Article 5 of the Law on Value Added Tax 2024 (effective from July 1, 2025), the regulations on subjects not subject to VAT in Article 5 of the Law on Value Added Tax 2008 are adjusted as follows:
+ Remove some subjects not subject to value added tax according to the provisions of the Law on VAT 2008, including:
+ Fertilizer; specialized machinery and equipment for agricultural production; offshore fishing vessels;
+ Securities registration; market organization services of securities trading offices or securities trading centers; other securities trading activities...
- Exported products that are resources and minerals that have been processed into other products not subject to VAT must comply with the List prescribed by the Government.
- Supplement imported goods to support and finance the prevention of natural disasters, disasters, epidemics, and war according to Government regulations that are not subject to VAT.
2. Adjusting VAT rates for some goods and services
In Clause 2, Article 9 of the Law on VAT 2024, the VAT rate for non-taxable products will be adjusted to 5%:
+ Fertilizer
+ Seafood fishing vessels in coastal areas
+ Products subject to a tax rate of 5% to 10%:
+ Unprocessed forest products
+ Sugar; byproducts in sugar production, including sugar rust, sugarcane, and mud
+ Specialized equipment and tools for teaching, research, and scientific experimentation
+ Cultural, exhibition, physical education, sports activities; art performance; film production; import, release and screening films
3. Supplementing tax refund cases
Pursuant to Article 15 of the Law on VAT 2024, adding cases of VAT refund from July 1, 2025: Enterprises that only produce and supply goods and services subject to tax of 5%, if after 12 months (or 4 quarters) have an input VAT that has not been fully deducted of VND300 million or more, will be refunded.
4. Adding subjects subject to 0% tax rate
Pursuant to Clause 1, Article 9 of the Law on VAT 2024, additional subjects applying a tax rate of 0%, including:
+ International transportation
+ Construction works, installed abroad, in non-taxable areas
+ Goods sold in quarantine areas to individuals (foreigners or Vietnamese) who have completed exit procedures; goods sold at tax-free stores.
+ Export services include: transport vehicle rental services used outside of Vietnam; services of the aviation and maritime sectors directly provided to international transport or through agents
5. Supplementing regulations for promotional goods
Pursuant to Article 7 of the Law on VAT 2024, it is supplemented with the regulation: The taxable price for goods and services used for promotion according to the provisions of the law on trade, the taxable price is determined at 0.
6. Changes in conditions for deducting input VAT
According to Clause 2, Article 14 of the Law on VAT 2024, all purchased goods and services must have non-cash payment documents, except for some special cases as prescribed by the Government.
Also according to Clause 2, Article 14, documents such as packaging forms, receipts, and insurance documents (if any) are also added as a basis for deducting input tax for exported goods.
7. Change the tax code to a personal identification number
Pursuant to Clause 2, Article 38 of Circular 86/2024/TT-BTC, from July 1, 2025, taxpayers, tax management agencies, relevant agencies, organizations and individuals will use personal identification numbers instead of tax codes.
8. Enterprises must register an electronic identification account
Pursuant to Clause 4, Article 40 of Decree 69/2024/ND-CP, from July 1, 2025, accounts on the National DVC Portal and the administrative procedures at all levels will expire. Enterprises and organizations are only allowed to use electronic identification accounts issued by the Ministry of Public Security to carry out electronic administrative procedures.
9. Amending taxable prices for imported goods
Pursuant to Article 7 of the Law on VAT 2024, the VAT calculation price for imported goods includes: import tax calculation price + import tax (including additional if any) + special consumption tax (if any) + environmental protection tax (if any).
10. Changes in VAT rates
Decree 180/2024/ND-CP will expire on June 30, 2025. Therefore, groups of goods and services that are applying a reduced tax rate of 10% will return to a rate of 10% according to the Law on VAT 2024.
In case after June 30, 2025, the competent authority issues a document regulating VAT reduction, the VAT reduction policy will continue to be applied from July 1, 2025.
