Vietnam aligns corporate tax with global 15% minimum to attract investors

Vietnam has adopted a resolution to equalise its corporate income tax with the globally accepted minimum of 15% for multinational corporations. This move is aimed at countering the global trend of countries competing to attract investors by lowering their taxes.

The resolution was supported by a vast majority, approximately 94% of the National Assembly delegates, as per the legislative records.

Despite the current corporate income tax in Vietnam being 20%, a report from the Ministry of Finance on November 2 indicated that considering tax holidays and rebates, large international corporations may effectively pay as low as 10%. The ministry stated in another report to the legislature that the revised tax rule would bring the nation’s investment environment closer to international standards and signify the progress and transparency of Vietnam’s…