On 4 September 2024, EuroCham Vietnam joined key stakeholders at the National Assembly Office in Hanoi for a Consultation Workshop on the amended Law on Corporate Income Tax (CIT). The workshop, co-organised by the National Assembly (NA) and the Ministry of Finance (MOF), focused on proposed changes to CIT regulations to better align with Vietnam’s evolving economic landscape and international standards.
The workshop was chaired by Mr. Le Quang Manh, Chairman of the NA’s Committee for Finance and Budget, and Mr. Cao Anh Tuan, Vice Minister of Finance, and attended by representatives from the Ministry of Planning and Investment (MPI), World Bank (WB), Vietnam Chamber of Commerce and Industry (VCCI), VINASME, foreign business associations, and experts. Representing EuroCham were Vice-Chair Minh Nguyen, Head of the Hanoi Office and External Relations Manager Van Nguyen, and Mr. Thomas McClelland, Chairman of the Tax and Transfer Pricing Sector Committee.
The amended Law on Corporate Income Tax aims to address Vietnam’s new phase of international economic integration, globalisation, shared economy, and digital economy. The draft law introduces amendments related to incentivised sectors and locations, the application of tax incentives, and adjustments according to the Global Minimum Tax (GMT) policy and the Global Anti-Base Erosion (GloBE) Rules. These changes are intended to make Vietnam more competitive in attracting foreign investment while ensuring fair taxation aligned with international practices.
In his opening remarks, Mr. Le Quang Manh emphasised the importance of the amendments, noting that while the current CIT Law has positively impacted Vietnam’s socio-economic development, the changing dynamics of the global economy necessitate updates to the tax policy framework. He highlighted the need for more targeted tax incentives to attract investment in key sectors and support the development of a robust digital economy.
During the workshop, EuroCham Vice-Chair Minh Nguyen, along with representatives from other foreign business associations and experts, provided valuable recommendations on optimising tax incentives to attract high-quality investments. Discussions also covered the potential impact of new tax policies on Vietnam’s business environment and the importance of a stable, transparent tax regime for foreign investors.
The feedback and recommendations gathered from the workshop will be crucial for the NA’s Committee for Finance and Budget in refining the draft law. The amended Law on Corporate Income Tax will be presented for discussion at the National Assembly’s 8th session in October 2024, with final approval anticipated at the 9th session in May 2025.
EuroCham Vietnam remains committed to working closely with Vietnamese authorities to ensure a fair and competitive tax environment that supports sustainable economic growth and benefits both local and international businesses.
