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Vietnam to Implement Automated VAT Collection for Express Import Goods

Strategic Insights

— 1 min read

As of August 1, 2025, Vietnam's Customs will officially begin collecting value-added tax (VAT) on express import goods worth less than 1 million Vietnamese dong, approximately RMB 300, as part of measures to improve tax collection efficiency, reduce administrative procedures, and strengthen tax supervision.

Key Takeaways:

  • The new regulation will affect all express delivery businesses, including air, road, and rail operations, as part of Vietnam's efforts to tighten tax supervision on cross-border e-commerce.
  • Sellers will need to adjust their pricing strategies, optimize their supply chains, and pay close attention to changes in tax withholding policies of e-commerce platforms to avoid increased operating costs and compliance pressure.
  • The policy aims to ensure fair competition between imported and domestic goods in terms of taxation, with the government exempting low-value imported goods from import tax according to Decision No. 01/2025/QD-TTg, but requiring them to pay VAT (10%).
  • Previously, the customs system relied mainly on manual declaration due to the lack of full updates, resulting in low tax collection efficiency.
  • The VAT collection will be implemented from July 9 to 31 as a pilot operation before being officially applied in August.
  • The Vietnamese government has chosen to automate the VAT collection process, which will increase efficiency, reduce administrative procedures, and strengthen tax supervision.
  • The implementation of this policy will mark Vietnam's further move in regulating cross-border e-commerce, ensuring that imported and domestic goods are on an equal footing in terms of taxation.

Statistics:

  • Vietnamese Customs will initiate an automated VAT collection process for express import goods with a value of less than 1 million Vietnamese dong (approximately RMB 300).
  • The new regulation will affect all express delivery businesses, including air, road, and rail operations.
  • Sellers will face increased operating costs and compliance pressure due to the implementation of this policy.
  • The policy will aim to ensure fair competition between imported and domestic goods in terms of taxation.

Sources:

  • Vietnam Customs - https://cccme.org.cn/news/details.aspx?id=AC21912E0F291754535D1BDFC1584A54&classid=8C92359A9456952E&xgid=F868932F64EB7AAF

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