On the morning of January 6, the Office of the President held a press conference to announce the Presidential Order promulgating 12 laws passed by the 10th Session of the 15th National Assembly, featuring many important new provisions.
The promulgated laws include: the Personal Income Tax Law; the Law on Tax Administration; the Law amending and supplementing a number of articles of the Value-Added Tax Law; the Law on Thrift Practice and Waste Prevention; the Law on Planning; the Law on Investment; the Law on National Reserves; the Law amending and supplementing a number of articles of the Law on Public Debt Management; the Law amending and supplementing a number of articles of the Law on Statistics; the Law amending and supplementing a number of articles of the Law on Prices; the E-Commerce Law; and the Law amending and supplementing a number of articles of the Law on Insurance Business.
Taxpayer classification – a key highlight of the Personal Income Tax Law
The Personal Income Tax Law consists of four chapters and 29 articles, taking effect from July 1, 2026; provisions related to income from business activities, salaries, and wages of resident individuals will apply from the 2026 tax period. The law revises family-based deductions to better reflect current conditions: VND 15.5 million per month for the taxpayer and VND 6.2 million per month for each dependent. Notably, the Government is tasked with submitting adjustments to these deduction levels to the National Assembly Standing Committee based on changes in prices and incomes, removing the previous requirement that adjustments be made only when the consumer price index rises by more than 20%.
The law also introduces substantial revisions to personal income tax for business households and individuals. The annual revenue threshold exempt from tax is raised from VND 200 million to VND 500 million and is deductible before applying tax rates on revenue. Importantly, the law adds a method of calculating tax based on income (revenue minus expenses). Accordingly, business households and individuals with annual revenue exceeding VND 500 million up to VND 3 billion are subject to a 15% tax rate on income; those with revenue over VND 3 billion up to VND 50 billion are subject to a 17% rate; and those with revenue above VND 50 billion are subject to a 20% rate. Individuals with annual revenue from over VND 500 million to VND 3 billion may choose between taxation based on revenue or on income.
For individuals leasing real estate (excluding accommodation services), personal income tax is calculated as 5% of annual revenue exceeding VND 500 million. The law also raises the tax rate from 2% to 5% for certain income derived from providing digital content products and services such as entertainment and online games.
Tax administration by classification and refinement of indirect tax policy
The Law on Tax Administration consists of nine chapters and 53 articles and takes effect from July 1, 2026. Provisions on taxpayer classification (Article 13) and the use of electronic invoices by business households and individuals (Article 26) will take effect from January 1, 2026. For the first time, the law establishes the principle of tax administration based on taxpayer classification, laying the foundation for risk-based management, improved efficiency, and enhanced compliance.
The amended Value-Added Tax Law, effective from January 1, 2026, aims to remove bottlenecks in VAT refunds and refine tax policies for agricultural products and animal feed, thereby encouraging production, supporting businesses—especially in agriculture—and promoting economic development.
Strengthening decentralization and delegation in planning and investment
The Law on Planning, comprising six chapters and 58 articles, focuses on improving the planning system, clarifying relationships among different types of plans, and addressing inconsistencies. It strengthens decentralization and delegation of authority, simplifies procedures, and resolves difficulties in assessing investment projects’ conformity with planning. Under the new provisions, ministries are authorized to organize the preparation of national marine spatial plans, national land-use plans, and regional plans, while the Government determines regions requiring regional planning to shorten implementation timelines. Regarding approval authority, ministers may approve sectoral detailed plans within their management scope, and provincial People’s Committee chairpersons may approve provincial plans and sectoral detailed plans within their localities.
The Investment Law, consisting of seven chapters and 52 articles, adds provisions banning the business of electronic cigarettes and heated tobacco products, and sets out transitional arrangements for projects manufacturing electronic devices for e-cigarettes and heated tobacco products solely for export in accordance with Resolution No. 173/2024/QH15. Notably, the law removes 39 conditional business lines that no longer meet statutory criteria and revises the scope of 20 others, accelerating the shift from “pre-licensing” to “post-licensing” oversight, safeguarding freedom of investment and business, and improving the overall investment environment.
In the context of Viet Nam continuing to improve its legal framework and strengthen institutional reforms to support economic development and investment attraction, the promulgation of these laws marks an important step toward enhancing policy transparency, regulatory efficiency, and the overall business environment. SD Link plays a role as a consulting and investment connection partner, supporting enterprises and investors in accessing policy information, analyzing regulatory changes, and developing appropriate investment strategies. With practical experience and a comprehensive advisory approach, SD Link is committed to providing in-depth consulting solutions that help businesses effectively adapt to new regulations, seize emerging opportunities, and contribute to sustainable economic growth.
Thuy Dang compiled from VnEconomy