Hanoi proposes 2% VAT reduction on select goods


Timely reprieve: A shopper in a supermarket in Hanoi, Vietnam. The reduction in VAT is forecast to reduce state revenue by US$4.69bil over the time it is put in place. — AP

HANOI: The government has proposed a 2% reduction in the value-added tax (VAT) for goods and services currently taxed at 10%, lowering the rate to 8%.

The proposal, which recommends maintaining the VAT reduction until Dec 31, 2026, was presented by Finance Minister Nguyen Van Thang during the ongoing National Assembly session.

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