Has there been a Draft Decree amending Decree 10 2022 on registration fees in Vietnam?

Has there been a Draft Decree amending Decree 10 2022 on registration fees in Vietnam?

The Ministry of Finance has recently published a draft Decree to amend and supplement certain articles of Decree 10/2022/ND-CP dated January 15, 2022, of the Government of Vietnam regulating registration fees.

View the full Draft Decree amending Decree 10 2022 on registration fees...Download

To be specific, Article 1 of the Draft proposes amendments and supplements to Point c, Clause 5, Article 8 of Decree 10/2022/ND-CP regarding the registration fee rate for electric cars as follows:

Article 1. Amend and supplement Point c, Clause 5, Article 8 of Decree No. 10/2022/ND-CP dated January 15, 2022, of the Government of Vietnam on registration fees, as follows:

“c) Electric cars using batteries: From the effective date of this Decree until February 28, 2027: the initial registration fee rate is 0%."

Thus, the draft Decree proposes to continue exempting electric cars from registration fees until February 28, 2027.

Additionally, in the Proposal for the Draft Decree amending Decree 10 2022 on registration fees...Download the Ministry of Finance explains that extending the exemption period for registration fees for electric cars aims to promote the development of electric vehicles, thereby contributing to the reduction of greenhouse gas emissions and environmental pollution. Electric vehicles could help reduce 0.5 million tons of CO2 annually and have substantial growth potential.

Moreover, electric vehicles operate quietly without causing noise, providing a peaceful environment for urban areas. Although exempting registration fees reduces revenue, this policy is necessary to alleviate air pollution, particularly in major cities such as Hanoi and Ho Chi Minh City.

Has there been a Draft Decree amending Decree 10 2022 on registration fees in Vietnam? (Image from Internet)

What is the registration fee for electric cars using batteries in Vietnam as of March 2025?

According to Point c, Clause 5, Article 8 of Decree 10/2022/ND-CP, the registration fee rate for electric cars using batteries is specified as follows:

Registration fee rate (%):

…

5. Cars, trailers, or semi-trailers pulled by cars, vehicles similar to cars: The rate is 2%.

…

c) Electric cars using batteries:

- Within 3 years from the effective date of this Decree: the initial registration fee rate is 0%.

- In the following 2 years: the initial registration fee rate is 50% of the rate for gasoline and diesel cars with the same seating capacity.

d) Cars listed in Points a, b, c of this clause: subsequent registration fees are 2% and applied uniformly nationwide.

Based on the type of vehicle recorded in the Certificate of Technical Safety and Environmental Protection Quality issued by the Vietnam Registry, the tax authority determines the registration fee rate for cars, trailers, or semi-trailers pulled by cars, vehicles similar to cars according to this clause.

…

Referring to the above regulation, based on Clause 1, Article 14 of Decree 10/2022/ND-CP regarding the effective date of Decree 10/2022/ND-CP:

Implementation Clause

1. This Decree takes effect from March 1, 2022.

2. From the effective date of this Decree:

a) The registration fee for passenger cars with up to 9 seats and the base price for registration fees on houses, cars, and motorbikes shall continue to comply with current regulations of the provincial/central city People's Council and the Ministry of Finance until the provincial/central city People's Council issues new registration fees for passenger cars with up to 9 seats, the provincial/central city People's Committee issues new registration fee valuation tables for houses, and the Ministry of Finance issues new registration fee valuation tables for cars and motorbikes as regulated in this Decree.

...

Based on these regulations, from March 2025 (specifically, March 1, 2025), it will be exactly 3 years since the Decree 10/2022/ND-CP came into effect.

Therefore, the initial registration fee for electric cars using batteries will be 50% of the rate for gasoline and diesel cars with the same seating capacity for the subsequent 2 years.

What is the base price for registration fees for electric cars using batteries in Vietnam?

According to Clause 3, Article 7 of Decree 10/2022/ND-CP, the base price for registration fees for electric cars using batteries is the price in the base price Decision for registration fees issued by the Ministry of Finance...Download

- The base price for registration fees in the base price Table is determined based on principles ensuring it matches market asset transfer prices at the time of constructing the base price Table.

The asset transfer price on the market for each type of car, motorbike (for cars and motorbikes, it is by type of vehicle; for trucks, it is by country of manufacture, brand, permissible cargo weight; for passenger vehicles, it is by country of manufacture, brand, number of allowable passengers including the driver) is based on database resources as regulated in Clause 2, Article 7 of Decree 10/2022/ND-CP.

- When a new type of car emerges and is not yet in the base price Table at the time of filing the registration fee declaration, the tax authority bases its decision on the database resources as regulated in Clause 2, Article 7 of Decree 10/2022/ND-CP to determine the base price for registration fees for each new type of car, motorbike (for cars and motorbikes, it is by type of vehicle; for trucks, it is by country of manufacture, brand, permissible cargo weight; for passenger vehicles, it is by country of manufacture, brand, number of allowable passengers including the driver).

- If a new type of car emerges that is not yet in the base price Table or if a car, motorbike's market transfer price deviates by 5% or more from the base price Table, the Tax Department compiles and reports to the Ministry of Finance before the 5th of the last month of the quarter.