- The Ministry of Finance proposes to continue reducing the VAT by 2% from July 1, 2025 to December 31, 2026.
- The reduction applies to goods and services currently subject to a 10% VAT rate, except for telecommunications, financial activities, banking, securities, insurance, real estate, metal products, mining products (except coal), and goods and services subject to special consumption tax (except gasoline).
- The estimated reduction in state budget revenue is 121.74 trillion VND.
- The government will focus on implementing fiscal policies to overcome difficulties for businesses and people, promoting GDP growth in 2025 to at least 8%.
- The government will strengthen state budget revenue collection, enhance management, inspection, and audit, and promote digital transformation in tax management.
- The government will manage state budget spending tightly, increase spending savings, and proactively use reserves and other legal resources to prevent and combat natural disasters, epidemics, and urgent tasks.
- The VAT reduction will contribute to reducing the cost of goods and services, thereby stimulating production and business and creating more jobs for workers.
- The VAT reduction will directly benefit people by reducing their costs in consuming goods and services for their daily lives.
- The VAT reduction will help reduce production costs and lower product prices for businesses involved in the production and trading of goods.
Source: baochinhphu.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.
