By interlink | 27/06/2025
Official: On-site Export Goods Are Subject to 0% VAT.
National Assembly Passes Amendment Laws – Towards Comprehensive Reform and Business Support
On June 25, 2025, the Vietnamese National Assembly officially passed amendments to several important laws, including:
- Customs Law
- VAT Law
- Export and Import Tax Law
- Bidding Law
- Investment Law (including PPP)
- Law on Public Investment
- Law on Management and Use of Public Assets
These laws will officially take effect on July 1, 2025, with the goal of promoting institutional reform, administrative modernization, and supporting socio-economic development, especially in the context of Vietnam’s accelerated integration and attraction of foreign investment.
Minister of Finance reports on the acceptance, explanation, and revision of the draft Law
Key new feature: On-the-spot export of goods is subject to a 0% VAT rate
A noteworthy point in this revised Law is the application of a 0% VAT rate for on-the-spot exports. Instead of applying it in the Customs Law as initially proposed, this policy is directly added to the VAT Law to ensure legal consistency and stability.
On-the-spot export is a form of export where the foreign buyer designates the delivery of goods to a Vietnamese enterprise. This method is becoming increasingly popular, especially in the following sectors:
- High technology
- Electronic component manufacturing
- Supporting industries and semiconductors
Officially applying a 0% VAT rate to this method brings many benefits to businesses:
- Avoiding double taxation and reducing the burden of input costs
- Optimizing cash flow and logistics costs
- Supporting more flexible global supply chain operations
- Increasing the attractiveness of the investment environment, especially for FDI enterprises
According to Minister of Finance Nguyen Van Thang, this policy will not affect state budget revenue, but will create significantly favorable conditions for import and export activities and on-site logistics.
New Direction – New Opportunities for Vietnamese and FDI Businesses
With the support of the new tax policy, the Vietnamese business community will have more opportunities to:
- Participate more deeply in the global supply chain
- Reduce cost pressure in production and logistics
- Enhance competitiveness when cooperating with multinational corporations
Especially in the context of high-tech industries, electronics, AI, and chip manufacturing being prioritized for strong development, the 0% VAT policy for on-site exports will be a strong catalyst helping Vietnam become a strategic manufacturing hub in Southeast Asia.
Contact Interlink for policy advice and service support.
Interlink – Your trusted partner in this period of transformation.
If your business is operating in the manufacturing, on-site import/export, or logistics sectors, let Interlink accompany you in optimizing the benefits from the new tax policy and preparing for accelerated growth.
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