80% of business households with revenue below 1 billion VND/year are not subject to tax

Xuyên Đông |

Answering voters, the Ministry of Finance said that currently 80% of business households have revenue of less than 1 billion VND/year, so they are not subject to tax payment.

According to feedback from voters in Ho Chi Minh City, the current tax policy for business households is still inappropriate, causing difficulties for small businesses in applying information technology to carry out tax declaration and reporting and generating anxiety about the risk of being penalized when errors occur.

Answering this content, the Ministry of Finance said that, implementing the Party's policy in Resolution No. 68-NQ/TW of the Politburo on private economic development and Resolution No. 198/2025/QH15 of the National Assembly on a number of special mechanisms and policies for private economic development, from January 1, 2026, business households and individuals will implement the method of self-declaration and self-payment of taxes.

To ensure that the transformation process is suitable for the operating conditions of households and individual businesses, the Ministry of Finance has synchronously implemented solutions on perfecting institutional policies, organizing implementation, administrative procedure reform and promoting digital transformation in tax management.

Regarding perfecting institutions and legal policies, the Ministry of Finance has advised the Government to submit to the National Assembly for promulgation the Law on Value Added Tax No. 48/2024/QH15, Law on Personal Income Tax No. 109/2025/QH15, Law No. 09/2026/QH16 amending and supplementing a number of laws on taxes, Law on Tax Administration No. 108/2025/QH15, and at the same time submit to the Government for promulgation decrees and promulgation according to their authority circulars guiding implementation.

Tax policies for households and individual businesses are designed in the direction of classifying management in accordance with the scale of operations.

The revenue threshold not subject to value-added tax and not subject to personal income tax has been gradually increased from 100 million VND/year to 200 million VND/year, continuing to 500 million VND/year and currently 1 billion VND/year.

Through monitoring taxpayer declaration data in the first 6 months of 2026, currently, about 80% of households and individuals doing business with revenue of 1 billion VND/year or less are not subject to value-added tax and personal income tax; only about 20% of households and individuals doing business with revenue over 1 billion VND/year fulfill the obligation to declare and pay taxes according to regulations.

This clearly shows the State's orientation to focus on managing large-scale business households, while continuing to reduce tax obligations and compliance costs for small-scale business households.

Regarding administrative procedure reform and strengthening support and application of digital transformation, tax administrative procedures for households and individual businesses continue to be simplified.

All declaration forms and dossier components are reviewed, streamlined, and 100% of tax administrative procedures are provided electronically.

For about 80% of households and individual businesses with revenue of 1 billion VND/year or less. Because they do not have to pay value-added tax and personal income tax, these households and individual businesses only notify revenue once for the whole year of operation.

For about 20% of households and individuals doing business with revenue over 01 billion VND/year: Tax authorities coordinate with solution providers and commercial banks to deploy support packages on electronic invoices, accounting software and electronic payments at appropriate costs, helping to support automatic revenue recognition, bookkeeping and summary of suggested declarations.

In addition, the Ministry of Finance has directed tax authorities to promote propaganda and guidance according to the motto "holding hands and guiding"; develop diverse programs and guidance materials for each group of taxpayers (scale, age, occupation); assign civil servants to directly accompany and promptly remove difficulties and obstacles.

Electronic Tax applications continue to be upgraded in a friendly and easy-to-use direction, integrating functions to support declaration, automatic information filling, AI chatbots and expanding connections and data sharing with national databases to reduce manual operations, limit errors, save time and compliance costs.

The Ministry of Finance assessed that the above comprehensive solutions have brought positive results. In the first 6 months of the year, the rate of electronic tax declaration of households and individual businesses reached 99.6% and the rate of timely filing of tax declaration dossiers reached 98.1%.

In the coming time, the Ministry of Finance will continue to review and improve policies, innovate management methods and improve the quality of service to taxpayers, ensuring the implementation of tax obligations is increasingly convenient and transparent.

Xuyên Đông
RELATED NEWS

Removing obstacles for business households to properly implement tax policies

|

Many problems arising in the process of implementing tax policies are being clarified by experts and management agencies, helping business households grasp and implement regulations correctly.

Answering tax deductions for business households with revenue over 1 billion VND

|

On the National Legal Portal, the agency under the Ministry of Finance answers citizens about tax deductions for business households.

Business households with revenue below 1 billion VND question the use of electronic invoices

|

The tax authority has just explained to citizens the regulations on registering and using electronic invoices for business households with revenue under 1 billion VND.

Live Football Malaysia vs Laos at ASEAN Cup 2026

|

Live football match Malaysia vs Laos in Group B ASEAN Cup 2026 at 8:00 PM on July 28.

Vietnam national team tickets have not cooled down, ticket scalpers double prices

|

The "black market" ticket price for the Vietnam - Singapore match is offered for sale 1.5 - 2 times the original ticket price.

Ministry of Education and Training informs about the roadmap for organizing high school graduation exams on computers

|

The Ministry of Education and Training has just submitted to the Prime Minister for consideration and approval the Project on Organizing High School Graduation Exams on Computers for the period 2026-2036.

Trick of "transforming" imported jewelry, showing signs of counterfeiting into domestic products

|

Many imported jewelry products with signs of counterfeiting major brands are turned into domestically crafted goods by sophisticated tricks.

Removing obstacles for business households to properly implement tax policies

Lục Giang |

Many problems arising in the process of implementing tax policies are being clarified by experts and management agencies, helping business households grasp and implement regulations correctly.

Answering tax deductions for business households with revenue over 1 billion VND

Xuyên Đông |

On the National Legal Portal, the agency under the Ministry of Finance answers citizens about tax deductions for business households.

Business households with revenue below 1 billion VND question the use of electronic invoices

Xuyên Đông |

The tax authority has just explained to citizens the regulations on registering and using electronic invoices for business households with revenue under 1 billion VND.