The Government of Vietnam requests the submission of policies on reduction of taxes, fees, and charges in February 2025
The Government of Vietnam requests the submission of policies on reduction of taxes, fees, and charges in February 2025
On January 15, 2025, the Prime Minister of the Government of Vietnam issued Official Telegram 02/CD-TTg 2025 to continue promoting the development of the domestic market and stimulating consumption during Lunar New Year in 2025 .
In Section 3 of Official Telegram 02/CD-TTg 2025:
3. Minister of Finance
a) Implement a reasonable expansionary fiscal policy, focusing on key areas, and coordinate harmoniously and flexibly with monetary policy and other macroeconomic policies to stimulate growth, stabilize the macro-economy, control inflation, and ensure major economic balances. Continue to urgently research policies to reduce taxes, fees, and charges for citizens and businesses to be submitted to the competent authorities in February 2025.
b) Direct to speed up the disbursement procedures for funding the implementation of trade promotion programs, consumer stimulation by ministries, central authorities, and local authorities to promote the consumption of domestically produced goods.
c) Closely monitor price movements and market conditions, especially for essential goods and services and price-stabilized items, promptly direct, and take strict measures against violations of the law on prices according to authority and legal regulations.
The Government of Vietnam requests the Minister of Finance to urgently continue researching policies to reduce taxes, fees, and charges for citizens and businesses to be submitted to the competent authorities in February 2025.
Thus, the government requests the submission of tax, fee, and charge reduction policies in February 2025.
The Government of Vietnam requests the submission of policies on reduction of taxes, fees, and charges in February 2025 (Image from the Internet)
Which cases are eligible for tax exemption and reduction in Vietnam?
Based on Article 79 of the Law on Tax Administration 2019 on tax exemption and reduction:
Article 79. Tax Exemption, Reduction
- Tax exemption and reduction are implemented according to the provisions of tax law and Clause 2 of this Article.
- Tax exemption in the following cases:
a) Households and individuals liable for non-agricultural land use tax with an annual payable tax amount of 50,000 VND or less;
b) Individuals with an annual payable tax amount arising after the final settlement of personal income tax from salaries and wages of 50,000 VND or less.
Thus, cases eligible for tax exemption and reduction include:
- Households and individuals liable for non-agricultural land use tax with an annual payable tax amount of 50,000 VND or less
- Individuals with an annual payable tax amount arising after the final settlement of personal income tax from salaries and wages of 50,000 VND or less.
What documents are included in the tax exemption and reduction dossier in Vietnam?
Based on Article 80 of the Law on Tax Administration 2019 on the tax exemption and reduction dossier:
Article 80. Tax Exemption, Reduction Dossier
- The tax exemption and reduction dossier for cases where the taxpayer self-determines the exempt or reduced tax amount includes:
a) Tax declaration;
b) Documents related to the determination of the exempt or reduced tax amount.
- The tax exemption and reduction dossier for cases where the tax administration agency decides on tax exemption or reduction includes:
a) A written request for tax exemption or reduction stating clearly the type of tax requested for exemption or reduction; reasons for exemption or reduction; the amount of tax requested for exemption or reduction;
b) Documents related to the determination of the requested exempt or reduced tax amount.
- In the case of tax exemption stipulated in point a, Clause 2, Article 79 of this Law, the tax authority shall base on the tax book to notify the list of households and individuals eligible for tax exemption. In the case of tax exemption stipulated in point b, Clause 2, Article 79 of this Law, the taxpayer self-determines the exempt tax amount based on the individual income tax finalization declaration.
- The Minister of Finance details the tax exemption and reduction dossier prescribed in this Article; prescribes cases where the taxpayer self-determines the exempt or reduced tax amount and cases where the tax administration agency determines the exempt or reduced tax amount.
Thus, the tax exemption and reduction dossier includes the following documents:
[1] In cases where the taxpayer self-determines the exempt or reduced tax amount
- Tax declaration
- Documents related to the determination of the exempt or reduced tax amount
[2] In cases where the tax administration agency decides on tax exemption or reduction
- A written request for tax exemption or reduction stating clearly the type of tax requested for exemption or reduction; reasons for exemption or reduction; the amount of tax requested for exemption or reduction
- Documents related to the determination of the requested exempt or reduced tax amount.
[3] For households and individuals liable for non-agricultural land use tax with an annual payable tax amount of 50,000 VND or less, the tax authority bases on the tax book to notify the list of households and individuals eligible for tax exemption.
[4] For individuals with an annual payable tax amount arising after the final settlement of personal income tax from salaries and wages of 50,000 VND or less, the taxpayer self-determines the exempt tax amount based on the personal income tax finalization declaration.
