From January 1, 2026, according to the policy of eliminating contract tax, the Ministry of Finance proposes to apply a tax calculation method based on income instead of revenue. Accordingly, business individuals with revenue exceeding the threshold prescribed by the Government will have to pay tax by taking taxable income multiplied by a tax rate of 17%.
This calculation is similar to the provisions of the Law on Corporate Income Tax, currently applying 17% for small and medium enterprises with revenue of 3-15 billion VND per year. For business individuals with revenue below the taxable threshold, the current tax calculation method based on revenue rate is still maintained.
Mr. Pham Tuan Anh, a business owner in Dien Hong ward, shared: "We only do retail business, so input documents, price costs and accounting systems still face many difficulties. Therefore, accurately calculating profits to pay 17% tax is not simple. Hopefully, in the coming time, tax officials will directly guide and implement more so that small business households clearly understand the regulations".
Sharing the same view, Ms. Le Ha An, a business household in Cho Lon ward, said: Currently, profits are low because business is no longer as favorable as before, so the 17% tax rate is quite high. In addition, to comply with the regulations on issuing electronic invoices, we have had to invest large costs in machinery, accounting software, invoices, etc. Therefore, I hope the State will have a tax policy more suitable for each large, small and medium-sized business household".
These concerns also reflect the general sentiment of many small business households in the face of policy changes. Meanwhile, experts say that applying the new tax calculation method is not only to increase transparency but also to create a sustainable governance foundation for business households.
From an expert's perspective, Ms. Le Thi Thu Huong - Chairwoman of the Ho Chi Minh City Tax Consulting and Agency Association, acknowledged: "Prentets about arising costs, complexity in digital technology and access to capital are prominent issues. Many households are afraid that financial transparency will force them to bear higher taxes, while resources for investment in technology and management are still limited.
However, Ms. Huong affirmed that the long-term benefits are huge, applying accounting will help homeowners clearly grasp actual loss and interest, effectively manage cash flow and make more accurate business decisions. This is also an important foundation for accessing banking capital and favorable investment sources.
