Vietnam's National Assembly has adopted a resolution cutting personal income tax and corporate income tax by 30% for eligible individuals and enterprises during the 2026 and 2027 tax periods.
Vietnam’s National Assembly has adopted a resolution cutting personal income tax and corporate income tax by 30% for eligible individuals and enterprises during the 2026 and 2027 tax periods.
The 16th National Assembly passed Resolution No. 43/2026/QH16 at its First Extraordinary Session on 24 August 2026, and the measure took effect the same day.
Under the resolution, resident individuals earning business income will see a 30% reduction in personal income tax payable for the 2026 and 2027 tax periods, provided their annual revenue in those years does not exceed VND 10 billion. The same 30% reduction applies to corporate income tax payable by enterprises and organisations established under Vietnamese law whose annual revenue in 2026 and 2027 stays within the same VND 10 billion threshold.
The resolution carves out an exception for enterprises created through division or separation after its effective date: if the combined annual revenue of the resulting entities exceeds VND 10 billion in 2026 or 2027, they will not qualify for the reduction.
For enterprises already benefiting from corporate income tax incentives under the Law on Corporate Income Tax or other laws and resolutions, the new 30% reduction will be calculated on the tax payable after those existing incentives have been applied.
The National Assembly has directed the government to issue detailed implementing regulations. The reduction applies exclusively to the 2026 and 2027 tax periods.
