• An Giang
  • Binh Duong
  • Binh Phuoc
  • Binh Thuan
  • Binh Dinh
  • Bac Lieu
  • Bac Giang
  • Bac Kan
  • Bac Ninh
  • Ben Tre
  • Cao Bang
  • Ca Mau
  • Can Tho
  • Dien Bien
  • Da Nang
  • Da Lat
  • Dak Lak
  • Dak Nong
  • Dong Nai
  • Dong Thap
  • Gia Lai
  • Ha Noi
  • Ho Chi Minh
  • Ha Giang
  • Ha Nam
  • Ha Tinh
  • Hoa Binh
  • Hung Yen
  • Hai Duong
  • Hai Phong
  • Hau Giang
  • Khanh Hoa
  • Kien Giang
  • Kon Tum
  • Lai Chau
  • Long An
  • Lao Cai
  • Lam Dong
  • Lang Son
  • Nam Dinh
  • Nghe An
  • Ninh Binh
  • Ninh Thuan
  • Phu Tho
  • Phu Yen
  • Quang Binh
  • Quang Nam
  • Quang Ngai
  • Quang Ninh
  • Quang Tri
  • Soc Trang
  • Son La
  • Thanh Hoa
  • Thai Binh
  • Thai Nguyen
  • Thua Thien Hue
  • Tien Giang
  • Tra Vinh
  • Tuyen Quang
  • Tay Ninh
  • Vinh Long
  • Vinh Phuc
  • Vung Tau
  • Yen Bai

Gov’t extends VAT cut until year end

VGP - The Government has decided to continue its value-added tax reduction until December 31, 2024 as part of measures to support economic growth.

July 01, 2024 11:45 AM GMT+7
Gov’t extends VAT cut until year end- Ảnh 1.

Illustration photo

The Government promulgated Decree No. 72/2024/ND-CP, dated June 30, 2024 on extending the ongoing value-added tax (VAT) reduction from 10 percent to 8 percent on specific groups of goods and services.

The following goods and services shall not be entitled to VAT reduction policy:

Telecommunications, financial-banking activities, securities, insurance, real estate business, metals and fabricated metal products, mining products (excluding coal mining), coke, refined oil, chemical products as prescribed in Appendix I issued with this Decree.

Products and services subject to special consumption tax as prescribed in in Appendix II issued with this Decree.

Information technology according to information technology legislation as prescribed in Appendix III issued with this Decree.

The new decree takes effect from July 1 to December 31, 2024.

With the 2 percent tax cut in the second half of the year, the State budget will be slashed by some VND24 trillion (nearly US$994.7 million), or around VND4 trillion per month, according to the Ministry of Finance.

The VAT cut has been put in place in Viet Nam since 2022, aiming to remove bottlenecks for enterprises and prop up their business activities./.