Vietnam raises the no-VAT revenue threshold for household businesses to VND 1 billion (Decree 141/2026/NĐ-CP)

What changed in detail

The Government of Vietnam issued Decree No. 141/2026/NĐ-CP on 29 April 2026. It amends Decree No. 68/2026/NĐ-CP of 5 March 2026, which sets the tax policy and tax administration rules for household businesses and individual businesses, and Decree No. 320/2025/NĐ-CP on corporate income tax.

Article 1(1) of Decree 141 replaces the phrase “500 triệu đồng” (VND 500 million) with “01 tỷ đồng” (VND 1 billion) at Article 3, Article 4, Article 8(1), Article 9, Article 10, Article 11(3), Article 12(1) and (2), Article 17(4) and Article 18(3) of Decree 68/2026/NĐ-CP. The effect is to raise to VND 1 billion the annual revenue threshold below which household and individual businesses pay no value-added tax and no personal income tax.

Under Article 3, the decree takes effect from 1 January 2026, so the higher threshold applies retroactively to the start of the year. Article 4(1) provides that household and individual businesses that determine their annual revenue to be VND 1 billion or less, and that have already declared and paid personal income tax or VAT under Decree 68/2026/NĐ-CP, have the tax paid handled under Article 12 of Decree 68/2026/NĐ-CP.

The signed copy published on the Government portal carries a digital signature dated 4 May 2026.

What it means

The threshold doubles, so a household business with annual revenue between VND 500 million and VND 1 billion moves out of VAT and personal income tax, with effect from 1 January 2026. Tax already paid for 2026 on revenue now under the line is dealt with through the Article 12 mechanism of Decree 68, so expect refund or offset claims. Platforms, marketplaces and payers that withhold or report tax for household sellers should update the revenue cut-off in their onboarding and withholding logic, and should keep the Decree 68 article references in mind: the change is a word substitution across those provisions, not a new standalone rule.