- VCCI proposed maintaining a zero VAT rate for exported services to maintain competitiveness
- Ministry of Finance drafting amendments to impose VAT on most exported services
- Only international transportation and vehicle rental outside Vietnam to be maintained at zero tax rates
- Difficulty in distinguishing revenues from exported services and domestically consumed
- Global export of services has been increasing, with telecommunications and IT services rising
- Vietnam’s export of services reached 20 billion USD in 2023 with an average annual growth rate of 11%
- Exported services do not require huge capital investment
- Internet-based services export helps promote the country’s image and increase “soft power”
- Most countries around the world impose zero VAT on exported services
- Major exporting services of Vietnam include manufacturing outsource, maintenance and repairing, tourism and transportation, insurance, financial services, IT and information services.
Source: en.vietnamplus.vn
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
