Voters in Dong Thap province requested the Ministry of Finance to promptly study and consider adjusting the family deduction and the personal income tax calculation (PIT) because current regulations are no longer suitable for the price level, income and living standards of people.
Regarding this issue, the Ministry of Finance has the following opinion:
Clause 4, Article 1 of the Law on Personal Income Tax (PIT) No. 26/2012/QH13 stipulates: "In case the consumer price index (CPI) fluctuates over 20% compared to the time the Law takes effect or the time of adjusting the most recent family deduction level, the Government shall submit to the National Assembly Standing Committee to adjust the family deduction level prescribed in this clause in accordance with price fluctuations to apply for the next tax calculation period".
According to data from the Statistics Office, the CPI in 2020 increased by 3.23%, CPI in 2021 increased by 1.84%, CPI in 2022 increased by 3.15% and CPI in 2023 increased by 3.25%, CPI in 2024 increased by 3.63% and CPI in 2025 is expected to be 4.5-5%.
Accordingly, in the period from 2020 to the end of 2025, the accumulated CPI is expected to fluctuate over 20% (about 21.24%).
Based on the above provisions, based on the current price situation, income and living standards and according to Resolution No. 1326/NQ-UBTVQH15 dated December 23, 2024 of the National Assembly Standing Committee (NASC), it is expected that the UBTVQH will consider and approve the Resolution on adjusting the family deduction of personal income tax at the 50th Session (October 2025) of the UBTVQH.
Currently, the Ministry of Finance is drafting a Resolution of the Standing Committee of the National Assembly on adjusting the family deduction level of personal income tax according to the provisions of the Law on Promulgation of Legal Documents and guiding documents.
The Resolution project has been sent to the National Assembly Delegations, ministries, branches, localities, the Central Committee of the Vietnam Fatherland Front, the Vietnam Federation of Commerce and Industry, organizations and individuals on the Resolution project and sent for appraisal to the Ministry of Justice.
On September 11, 2025, the Appraisal Council of the Ministry of Justice assessed the Resolution project.
In addition, based on Plan No. 81/KH-UBTVQH15 dated November 5, 2021 of the Standing Committee of the Vietnam Fatherland Front to implement Conclusion No. 19-KL/TW of the Politburo and the Orientation Project on the Law Development Program for the 15th National Assembly term, the Ministry of Finance is developing a draft Law on personal income tax (amended) according to the process of developing legal documents (sending opinions to the National Assembly Delegations, ministries, branches, localities, the Central Committee of the Vietnam Fatherland Front, the Vietnam Federation of Commerce and Industry, organizations and individuals, based on the appraisal opinions of the Ministry of Justice, the Ministry of Finance has submitted to the Government (in Submission No. 570/TTr-BTC dated September 7, 2025).
In particular, for the content of adjusting the family deduction level, the draft Law also stipulates that the Government should prescribe it in accordance with the economic and social situation in each period to implement the decentralization and delegation of authority policy.
At the same time, in addition to the current family deduction, it is also necessary to study and supplement other specific deductions to suit the arising reality such as deductions related to the fields of health, education, etc.
