On 26 July 2023, the government of Vietnam has declared that it will implement the global minimum tax rules under Pillar Two in Vietnam in 2024. The rules will include the introduction of a qualified domestic minimum top-up tax and the income inclusion rule (IIR).
The implementation of the global minimum tax rules is expected to open new opportunities for Vietnam, including additional tax revenues, enhanced integration with the international community, and minimized tax evasion and profit shifting. However, Vietnam will also need to develop non-tax-based investment policies to retain and attract foreign investment.
The draft resolution proposing the implementation of the global minimum tax rules will be submitted to the National Assembly for approval in October 2023. Public comments are invited via the government electronic portal.
