Vietnam is witnessing a significant shift in its business landscape, with nearly 1,500 household businesses officially converting into registered enterprises during the first half of 2025. Of these, 910 made the transition in June alone, accounting for nearly two-thirds of the total conversions.
The data was disclosed by Mai Xuan Thanh, Director of the Department of Taxation under the Ministry of Finance, during a meeting held last Wednesday. This surge in formalisation reflects increasing momentum following the government’s issuance of Resolution 68 on 4 May 2025, which positions the private sector as a core pillar of the national economy.
As of 30 June, more than 47,000 household businesses had registered for e-invoicing, surpassing the government’s projection by 125%. Under Decree 70, only 37,000 registrations were expected by March 2025. This strong uptake highlights the growing compliance and digital transformation among small businesses.
The government’s revenue from eCommerce reached 98 trillion dong, marking a 58% year-on-year increase. Concurrently, tax debt management has shown signs of improvement, with total outstanding tax liabilities falling by 4.6% compared to the end of 2024. Tax collections also saw a notable rise, totalling over 43.1 trillion dong.
Administrative reforms in the tax sector continue to accelerate, with plans underway to reduce procedures by more than 44%, cut processing times by 40%, and lower compliance costs by 45%. In a further push to enhance transparency and efficiency, field teams have been deployed to tax offices to observe citizen interactions and identify areas for improvement.
As part of Project 06, 95% of tax identification numbers have now been standardised and synchronised with the national population database. From 1 July, companies have also been granted access to e-tax services via newly issued digital identity accounts.
Thanh emphasised the critical role of technology and data integration in modernising tax administration, enhancing procedural clarity, and fostering trust between the government and taxpayers.
-Viet Nam News
