National Assembly adopts Resolution on 30% reduction of PIT and CIT for tax years 2026–2027

On 24 August 2026, the National Assembly adopted a Resolution on the reduction of personal income tax (PIT) and corporate income tax (CIT) payable for the 2026 and 2027 tax years. The Resolution takes effect from the date of its adoption.

Eligible taxpayers and conditions

- Resident individuals earning income from business activities;

- Enterprises and organisations established under the laws of Vietnam.

Condition: annual revenue in 2026 and 2027 not exceeding VND 10 billion.

Reduction rate

A 30% reduction of the PIT and CIT payable for the 2026 and 2027 tax years.

Key points to note

- The CIT reduction does not apply to enterprises formed through the division or separation of an enterprise after the effective date of the Resolution, where the aggregate revenue of the enterprises resulting from such division or separation exceeds VND 10 billion in 2026 or 2027.

- For enterprises currently enjoying tax incentives under the Law on Corporate Income Tax or other laws and resolutions of the National Assembly, the 30% reduction is calculated on the CIT payable after deducting such incentives.

Effective date

The Resolution takes effect from 24 August 2026 and applies to the 2026 and 2027 tax years.

This update is for general reference only and does not constitute professional advice. Please consult a professional advisor before taking any action.