We outline Vietnam’s tax and financial policies effective in May 2026, including tax relief for small businesses and updated compliance requirements.
Vietnam has introduced several new tax and financial policies in May 2026, combining tax relief measures for small businesses with tighter transaction monitoring and financial compliance requirements.
Alongside regulations that recently came into effect, the Vietnamese authorities are also discussing new draft measures targeting tax debt enforcement and operational standards for credit information services.
Higher tax exemption threshold and mandatory e-invoicing for larger household businesses
The Government issued Decree No. 141/2026/ND-CP on April 29, 2026, amending Decree No. 68/2026/ND-CP on tax policies for business households and small enterprises. The decree applies retrospectively from January 1, 2026.
Key changes include:
- Raises the annual revenue threshold eligible for tax exemption for business households and individual businesses from VND200 million (US$8,000) to VND1 billion (US$40,000);
- Introduces corporate income tax (CIT) exemptions for qualifying small enterprises;
- Requires business households and individuals with annual revenues above VND1 billion to use e-invoices authenticated by tax authorities;
- Expands the use of cash-register-generated e-invoices connected directly to the tax administration system.
Following the decree’s issuance, the General Department of Taxation also released Official Dispatch No. 11, requesting local authorities to immediately implement the updated exemption policies and e-invoicing requirements.
Banks stop automatic instant processing for transfers above VND500 million
From May 1, 2026, banks have stopped automatically splitting transactions exceeding VND500 million (US$20,000) for instant 24/7 transfer processing.
The adjustment follows Circular 40/2024/TT-NHNN issued by the State Bank of Vietnam regulating payment intermediary services.
Key changes include:
- Transfers above VND500 million must now be processed through standard banking channels;
- Banks can no longer automatically divide large transfers into smaller amounts for instant processing;
- Customers may still manually split transfers into smaller transactions below the threshold.
What is currently under discussion?
Proposed travel bans for tax debts and “ghost addresses”
The Ministry of Finance has submitted a draft decree guiding the implementation of the Law on Tax Administration, proposing stricter measures against tax debt violations.
Proposed measures include:
- Individuals with tax debts of VND1 million (approximately US$40) or more could face exit bans if they are no longer operating at their registered addresses;
- Existing cases already subject to travel restrictions would remain unchanged;
- The proposal targets businesses and individuals registered at so-called “ghost addresses”.
Credit information services may face stricter continuity requirements
The State Bank of Vietnam is also collecting feedback on a draft amendment to Decree 58/2021 on credit information services.
Proposed measures include:
- Credit information companies would be required to strengthen cybersecurity and data protection systems;
- Companies must maintain disaster recovery mechanisms;
- Service interruptions exceeding four working hours would not be permitted.
