Supplementing many subjects not subject to VAT
Article 1, Article 2 of Decree 144/2026/ND-CP supplements products and services not subject to value-added tax (VAT) in Clause 3a of Article 4 of Decree 181/2025/ND-CP, including:
- Life insurance, health insurance, student insurance, other insurance services related to people; livestock insurance, crop insurance, other agricultural insurance services.
- Insurance for ships, boats, equipment and other necessary tools directly serving fishing.
- Reinsurance according to the provisions of law on insurance business; insurance for oil and gas works and equipment, oil tankers of foreign nationality leased by oil and gas contractors or foreign subcontractors to operate in Vietnamese waters, overlapping waters that Vietnam and coastal countries adjacent to or opposite have agreed to place under the common exploitation regime.
- Revenue from insurance service brokerage fees is not subject to value-added tax.
In addition, Appendix I and Appendix II issued together with Decree 144 also stipulate that export products are resources and minerals exploited that have not been processed into other products and export products are resources and minerals exploited that have been processed into other products according to the state's orientation of not encouraging exports and restricting exports of raw resources and minerals that are not subject to VAT.
Installment payments from 5 million VND that have not yet reached the payment deadline are still eligible for input VAT deduction.
Article 4 of Decree 144/2026/ND-CP supplements regulations on non-cash payment documents in cases of installment purchases at point g, clause 2, Article 26 of Decree 181/2025/ND-CP as follows:
For goods and services purchased in installments and deferred payments with a purchase value of 5 million VND or more, business establishments shall base on written purchase contracts for goods and services, value-added invoices and non-cash payment vouchers of goods and services purchased in installments and deferred payments to deduct input value-added tax.
In case there is no non-cash payment voucher because the payment time according to the contract or contract appendix has not yet arrived, the business establishment is still entitled to input value-added tax deduction.
At the time of payment according to the contract, contract appendix, if the business establishment does not have non-cash payment documents, the business establishment must declare and adjust to reduce the input value-added tax amount to be deducted for the value of goods and services without non-cash payment documents in the tax period incurring payment obligations according to the contract, contract appendix.
In case after adjustment, the business establishment has non-cash payment documents, the business establishment is allowed to declare and deduct input value-added tax for the value of goods and services with non-cash payment documents in the tax period with non-cash payment documents.
VAT deduction for installment and deferred payment goods
According to Article 4 of Decree 144/2026/ND-CP effective from June 20, 2026, the deduction of input value-added tax (VAT) for goods and services purchased in installments and deferred payments from 5 million VND or more must be based on contracts, VAT invoices and non-cash payment documents.
In case the payment deadline according to the agreement has not yet arrived, so there is no non-cash payment voucher, the business establishment will still continue to be entitled to input VAT deduction.
However, when the payment deadline comes and the unit still does not have non-cash payment documents, the business establishment is required to declare an adjustment to reduce the input VAT amount that has been deducted. The adjustment to reduce is calculated on the value without valid documents and is implemented immediately in the tax period in which the obligation arises.
Extending the reduction of import tax on some gasoline and oil items to 0
The Government issued Decree 72/2026/ND-CP adjusting the preferential import tax rate for some types of gasoline, oil and raw materials for gasoline and oil production to 0%.
Accordingly, preferential import tax on some types of gasoline, oil and raw materials for gasoline and oil production continues to be subject to continuing to enjoy a 0% tax rate until the end of June 30, 2026 instead of until the end of April 30, 2026.
