English translation of the 2025 Law on Tax Administration is newly published

Key notable contents of this Law include:

• Categorization of taxpayers for priority regimes: The Law supplements regulations on the categorization of taxpayers to determine priority regimes for taxpayers based on their tax law observance levels and their law observance history. (Article 3)
• Shortening the time limit for supplementary tax declaration dossiers: The time limit for making additional declarations in their tax declaration dossiers or dossiers for declaration of other revenues is reduced from 10 years to 05 years from the expiration of the submission deadline. Supplementary declarations must be made before tax offices or competent authorities announce tax examination or inspection decisions. (Article 12)
• Reform of tax administration for business households and business individuals:
  • Business households and business individuals have the right to determine by themselves their annual turnover for tax calculation instead of being completely subject to the presumptive tax as previously applied.
  • Business households and business individuals conducting business activities on e-commerce platforms or other digital platforms (domestic or foreign) are responsible for withholding, declaring, and paying on behalf of the withheld tax amounts of business households and business individuals. (Article 13)
• Automatic tax refund, exemption, and reduction mechanism: The Law officially supplements regulations on deploying automatic tax refund, automatic tax exemption and reduction based on databases and risk management criteria. (Clause 4, Article 18; Clause 3, Article 19)
• Temporary exit suspension: The Law provides more specific regulations on cases of required to fulfill the tax payment obligation before exit. The Government shall prescribe the threshold of tax arrears and period of debt for the application of the measure of suspension of exit in accordance with the law regulations on entry and exit. (Clause 5, Article 17)
• Flexibility in adjusting late-payment interest: The late-payment interest rate remains at 0.03% per day; the new Law empowers the Government to adjust the late-payment interest rates to suit the socio-economic situation in each period (Clause 2, Clause 6, Article 16)
• Extension of tax examination duration: The duration for a tax examination is increased to no more than 20 days (previously 10 days) and can be extended for a maximum of another 20 days in complicated cases. Particularly for enterprises having transfer pricing transactions, the examination duration may be extended up to 40 days. (Point d, Clause 3, Article 22)
• Handling of tax arrears arising before the effective date of the new Law: All tax arrears through June 30, 2026, shall be handled in accordance with the new Law on Tax Administration 2025 from July 01, 2026. (Article 53)

View the English translation of the 2025 Law on Tax Administration via the website LuatVietnam.vn at: Law on Tax Administration No. 108/2025/QH15