In 2025, What are cases where household businesses exempt are from licensing fees in Vietnam?

In 2025, What are cases where household businesses exempt are from licensing fees in Vietnam?

Based on Official Dispatch 8478/CTNDI-HKDCN on tax management for households and individual businesses in 2024, there are specific regulations regarding exemptions from licensing fees as follows:

Official Dispatch 8478/CTNDI-HKDCN... Download

Household businesses are obligated to pay licensing fees except in the following exempt cases:

- Household businesses with an annual revenue of 100 million VND or less, as per the guidance in Clause 1, Article 3 Decree 139/2016/ND-CP.

- Household businesses that are not regular and have no fixed business location as per the guidance in Clause 2, Article 3 Decree 139/2016/ND-CP.

- Individuals, groups of individuals, family households involved in salt production, aquaculture, fishing, and fisheries support services as regulated in Clauses 3 and 4, Article 3 Decree 139/2016/ND-CP.

- Household businesses commencing operations for the first time are exempt from the licensing fee in the first year of operation (calendar year) as regulated in Point c, Clause 1, Article 1 Decree 22/2020/ND-CP.

In 2025, What are cases where household businesses exempt are from licensing fees in Vietnam? (Image from Internet)

What is the licensing fee rate for household businesses in Vietnam in 2025?

Based on Official Dispatch 8478/CTNDI-HKDCN on tax management for households and individual businesses in 2024, there is a specific regulation on the licensing fee rate for household businesses in 2025 as follows:

Official Dispatch 8478/CTNDI-HKDCN... Download

- Revenue over 500 million VND/year: 1,000,000 VND/year.

- Revenue over 300 to 500 million VND/year: 500,000 VND/year.

- Revenue over 100 to 300 million VND/year: 300,000 VND/year.

+ For household businesses (excluding individuals leasing assets), the tax authority determines the total revenue for 2024 from various sources and business locations (excluding lease revenue) to calculate the payable licensing fee for 2025 and notifies the household business.

+ For asset leasing activities, the revenue for determining the payable licensing fee for 2025 is the total revenue from asset leasing contracts in 2025 (excluding other business income).

+ For household businesses dissolved or temporarily ceased and then resumed business without knowing the previous year's revenue, revenue is determined based on businesses with similar scale, location, and industry.

+ For household businesses dissolved or temporarily ceased and then resumed business, if business resumes within the first 6 months of the year, the annual fee is paid in full; if in the last 6 months, 50% of the annual fee is paid.

When is the deadline for paying the licensing fee in Vietnam for 2025?

Based on Official Dispatch 8478/CTNDI-HKDCN on tax management for households and individual businesses in 2024, there are specific regulations on the deadline for paying the licensing fee for 2025 as follows:

Official Dispatch 8478/CTNDI-HKDCN... Download

Based on the provisions in Point a, Point c, Clause 9, Article 18 of Decree 126/2020/ND-CP, the deadline for paying the licensing fee for stable households from the beginning of the year is no later than January 30, 2025; For households dissolved or temporarily ceased business and resumed, the deadline is no later than July 30, 2025 (if resumed in the first 6 months) or no later than January 30, 2026 (if resumed in the last 6 months).

Referring to Point a, Point c, Clause 9, Article 18 of Decree 126/2020/ND-CP, the specific regulations are as follows:

Deadline for paying taxes on state budget revenues from land, water resource exploitation rights, mineral resources, sea area usage fees, registration fees, and licensing fees

....

9. licensing fee:

a) The deadline for paying the licensing fee is no later than January 30 of each year.

b) For small and medium enterprises transitioning from household businesses (including subsidiary units, business locations of enterprises) when the period of licensing fee exemption ends (the fourth year from the establishment of the enterprise), the deadline for paying the licensing fee is as follows:

b.1) If the exemption period ends in the first 6 months, the deadline is no later than July 30 of the ending year.

b.2) If the exemption period ends in the last 6 months, the deadline is no later than January 30 of the year following the ending year.

c) For household businesses and individual businesses that have ceased production and subsequently resumed, the deadline for paying the licensing fee is as follows:

c.1) If resuming in the first 6 months of the year: No later than July 30 of the resumption year.

c.2) If resuming in the last 6 months: No later than January 30 of the following year.

Thus, the deadline for paying the licensing fee for 2024 for household businesses is:

- Household businesses stable from the beginning of the year: No later than January 30, 2025.

- Household businesses dissolved, temporarily ceased, and resumed:

+ No later than July 30, 2025 (resuming in the first 6 months of the year).

+ No later than January 30, 2026 (resuming in the last 6 months of the year).