Vietnam seeks to roll out more tax breaks for businesses

These include a 30% cut in corporate income tax, and a 30% value-added tax cut for businesses in sectors hit hard by the coronavirus pandemic.
By: | August 18, 2021
Topics: Compensation and Benefits | News | Vietnam

Vietnam’s government is seeking further approval from the National Assembly for a number of tax breaks to support businesses through the pandemic.

These include a 30% cut in corporate income tax, and a 30% value-added tax cut for businesses in sectors hit hard by the coronavirus pandemic, such as F&B, tourism, transport, accommodation and entertainment. 

Household businesses will also receive a 50% cut in income and value-added taxes in Q3′ 2021 and Q4′ 2021, while companies that have reported losses for three consecutive years from 2018 will have their fines waived for delayed payment of taxes since 2020. 

READ: Vietnam’s southern provinces seek to end stay-at-work arrangements

The Ministry of Finance has also proposed for a 30% cut in land-use fees, applicable businesses impacted by the pandemic, reports VnExpress. If approved, the cumulative tax breaks and fees are estimated to cost the treasure VND138 trillion (US$6.07 billion).