Vietnam: Updated VAT guidance
Including extension and expansion of 2% VAT reduction
The government on July 1, 2025, issued Decree 181/2025/ND-CP, and the Ministry of Finance on the same day released Circular 69/2025/TT-BTC, both of which introduce updates to the value added tax (VAT) law.
The new guidance, which is effective immediately, addresses application of the 0% VAT rate, non-cash payment requirements, and conditions for VAT credit and refunds.
Read a July 2025 report prepared by the KPMG member firm in Vietnam
The government also on the same day issued Decree 174/2025/ND-CP, extending the 2% VAT reduction effective from July 1, 2025, through December 31, 2026, and expanding the range of goods and services eligible for the reduction.
Read a July 2025 report prepared by the KPMG member firm in Vietnam