On August 21, with the majority of delegates pressing the voting button, the National Assembly approved the addition of 3 important contents to the program of the First Extraordinary Session.
The contents include the draft Resolution on reducing personal income tax and corporate income tax; separating Ninh Thuan nuclear power projects into independent projects; mechanisms and policies for urban area construction projects encroaching on the sea to integrate into the Urban Development Law project.
Presenting the draft Resolution on reducing personal income tax and corporate income tax, Member of the Party Central Committee, Minister of Finance Ngo Van Tuan said that tax reduction contributes to removing difficulties and stabilizing production and business for households, individual businesses, and enterprises.
Accordingly, the resolution stipulates a 30% reduction in personal income tax payable for the tax period of 2026 and 2027 for income from business of resident individuals with annual revenue of 2026 and 2027 not exceeding 10 billion VND.
At the same time, reduce 30% of corporate income tax payable in the tax period of 2026 and 2027 for businesses and organizations with revenue in 2026 and 2027 not exceeding 10 billion VND per year.
The Government proposes a resolution that takes effect immediately in 2026 and applies to the tax periods of 2026 and 2027.
With this proposal, according to revenue in 2025, the total estimated budget revenue reduction in 2026 is about 3, 191 billion VND and in 2027 is about 3, 510 billion VND.
The government said that in the immediate future, it may reduce state budget revenue, but in the long term, when businesses and individuals develop, they will contribute back to the budget by paying taxes on consumption and income of these businesses and individuals.
In the thẩm tra report, Ms. Nguyen Thi Phu Ha - Deputy Chairwoman of the National Assembly's Economic and Finance Committee said that the majority of opinions agreed with the Government's proposal.
However, it should be noted that the Government directs solutions to ensure effective control and prevent acts of dividing, separating, and transferring revenue.
The thẩm tra agency also said that many opinions suggested clarifying the basis for unified application of the 10 billion VND threshold and reducing 30% of personal income tax and corporate income tax for all sectors.
In addition, there is concern that the application does not really ensure the principle of fairness. For example, households, individual businesses, and businesses with revenue of up to 10 billion VND are entitled to tax reduction policies.
Meanwhile, households, individual businesses, and businesses with revenue just over 10 billion VND, very small, do not enjoy incentives.
Therefore, it is proposed that the Government study a reasonable transition mechanism instead of households, individual businesses, and businesses losing all incentives when exceeding the revenue threshold of 10 billion VND.
