Vietnam: Reduced VAT rate for second half of 2024
Reduced 8% value added tax rate for most goods and services
Reduced 8% value added tax rate for most goods and services
A reduced 8% value added tax (VAT) rate for most goods and services currently subject to the tax rate of 10% will continue until the end of 2024.
The reduced VAT rate applies:
- For groups of goods and services currently subject to the VAT rate of 10% (with some exceptions)
- To all stages, including imports, manufacturing, processing, and trading
- To business establishments that adopt VAT credit method and business establishments that declare and pay VAT at a deemed rate (%) of revenue
The related decree is effective on July 1, 2024, until December 31, 2024.
Read a July 2024 report prepared by the KPMG member firm in Vietnam
The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 3712, 1801 K Street NW, Washington, DC 20006.