2025: Over VND200 Trillion in Tax and Fee Reductions to Support People and Businesses
According to the Ministry of Finance, in the first quarter of 2025, in the context of economic difficulties, the Ministry of Finance has advised the Government to deploy solutions to support taxes, fees, and charges from the beginning of the year. Specifically, a 2% reduction in VAT has been implemented for groups of goods and services currently subject to a 10% tax rate in the first 6 months of the year (a reduction of about VND26.1 trillion).
Continued reduction in environmental protection tax on gasoline, oil, and grease (a reduction of about VND44 trillion); Adjust import and export tax policies and extend tax incentives for the auto support industry until the end of 2027.
In addition, maintain a reduction in fees and charges from 10% to 50% for online public services until the end of 2025 and issue preferential registration fees for battery-powered electric cars (support of VND 2.4 trillion).
“For the solutions that have been and are being implemented, the total support level for businesses and people in 2025 is expected to reach about VND 204 trillion, higher than the support level in 2024, to promote economic recovery and development,” said the Ministry of Finance.
In addition, the Ministry of Finance has submitted to the Government for promulgation Decree No. 73/2025/ND-CP dated March 31, 2025 adjusting preferential import tax rates for many groups of goods (16 groups of goods) before the US announced its new tax policy; promote the signing of many cooperation agreements, speed up the progress of investment projects of US enterprises in Vietnam.
Regarding VAT reduction, the Ministry of Finance is drafting a 2% VAT reduction. In this draft, the Ministry of Finance proposes to adjust and expand the subjects eligible for a 2% VAT reduction compared to Resolution No. 43/2022/QH15. At the same time, it is proposed to apply a VAT reduction period of up to 18 months (from July 1, 2025 to December 31, 2026).
