Corporate Income Tax 2025 was approved by the National Assembly in the Corporate Income Tax Law No. 67/2025/QH15 on June 14, 2025, effective from October 1, 2025. This is an important step in perfecting the tax legal system, helping businesses operate more conveniently while ensuring fairness and transparency in tax collection.
This new law replaces the 2008 Corporate Income Tax Law and previous amendments and supplements. One of the highlights of the 2025 Corporate Income Tax is the adjustment of tax rates, expansion of the subjects of preferential application, detailed regulations on deductible expenses, and additional provisions on loss transfer as well as setting up of the Science and Technology Development Fund.
Overview of corporate income tax 2025
To understand clearly Corporate Income Tax 2025, businesses need to understand the important changes compared to previous regulations. The new law adjusts the basic and preferential tax rates, expands the beneficiaries of incentives, and provides detailed regulations on loss transfer and setting up of the Science and Technology Development Fund. Understanding these points helps businesses apply the new tax policy correctly, optimize tax obligations and ensure compliance with the law.
What is corporate income tax?
Corporate income tax (CIT) is a tax levied on taxable income of organizations and enterprises engaged in production and trading of goods and services with income in Vietnam. CIT is an important source of revenue for the state budget, and at the same time a tool for regulating the macro economy, encouraging or restricting certain fields and industries.
Characteristics of Corporate Income Tax 2025
To help businesses understand the important changes in Corporate Income Tax 2025, the table below summarizes the new highlights on tax rates, applicable subjects, regulations on loss transfer and the Science and Technology Development Fund. This table helps you easily refer to and apply the new policy accurately and transparently in business operations.
| New points of the Corporate Income Tax Law 2025 | Detail |
| Basic tax rate | 20% |
| Preferential tax rates | 15% and 17% apply to businesses with revenue lower than the prescribed thresholds. |
| Applicable objects | Expanding the scope of tax incentives to include businesses operating in high-tech, renewable energy, and other priority industries. |
| Regulations on loss transfer | Enterprises can carry forward losses to the following year for a period of no more than 5 years. |
| Regulations on Science and Technology Development Fund | Enterprises can set aside a maximum of 20% of annual taxable income to establish a Science and Technology Development Fund. |
Corporate Income Tax Law 2025 and important changes
The 2025 Corporate Income Tax Law is built on the legal basis of the 2008 Corporate Income Tax Law and its guiding decrees and circulars. This Law recognizes important changes to improve the tax law system, ensure transparency and fairness, and create a solid legal foundation for businesses to fulfill their tax obligations in accordance with current regulations.
Legal basis related to corporate income tax law 2025
The legal basis related to Corporate Income Tax 2025 is an important foundation for businesses and accountants to clearly understand the regulations on tax rates, incentives, loss carryover, Science and Technology Development Fund, as well as accounting records.
From the 2008 Corporate Income Tax Law to the 2025 Corporate Income Tax Law (Law No. 67/2025/QH15), along with guiding decrees and circulars such as Decree 126/2020/ND-CP, Decree 80/2021/ND-CP, Circular 80/2021/TT-BTC and Circular 96/2015/TT-BTC, help businesses grasp the legal basis and apply new tax policies accurately, transparently, and in accordance with current regulations.
| Text type | Document Name / Document Number | Main content / Meaning related to Corporate Income Tax Law 2025 |
| Law | Law on Corporate Income Tax 2025 (Law No. 67/2025/QH15) | Basic document regulating tax rates, tax incentives, loss carryover, Science and Technology Development Fund, accounting records, fund allocation. Effective from October 1, 2025. |
| Previous law | Law on Corporate Income Tax 2008 (Law No. 14/2008/QH12) | As the previous legal basis, the basic tax rate 22%, limited incentives, maximum loss transfer for 3 years, there were no detailed regulations on the Science and Technology Development Fund. |
| Decree guiding | Decree 126/2020/ND-CP | Detailing a number of articles of the Law on Corporate Income Tax, providing guidance on tax declaration, payment, loss transfer, and tax incentives for enterprises. |
| Decree guiding | Decree 80/2021/ND-CP | Guidance on the implementation of provisions on corporate income tax, especially regarding tax incentives and documents, accounting regime. |
| Guidance Circular | Circular 80/2021/TT-BTC | Guidance on the implementation of a number of articles of the Corporate Income Tax Law 2025 and related Decrees, specifically on tax declaration, payment and incentives. |
| Guidance Circular | Circular 96/2015/TT-BTC | Regulations on accounting records, vouchers, invoices; these regulations are still referenced in the Corporate Income Tax Law 2025 to ensure transparency and compliance. |
Important changes of the Corporate Income Tax Law 2025
The table below summarizes the comparison between previous regulations and new points under the 2025 Corporate Income Tax Law (Law No. 67/2025/QH15). The table shows the differences between the old regulations, including the 2008 Corporate Income Tax Law and guiding circulars, compared with the latest changes in tax rates, incentives, loss carryover regulations, Science and Technology Development Fund, as well as accounting records and documents under Circular 96/2015/TT-BTC. The information in the table is presented in a summary manner, making it easy to monitor and compare to apply correctly according to current legal regulations.
| Content | Previous regulations (Corporate Income Tax Law 2008) | Changes according to the Corporate Income Tax Law 2025 (Law No. 67/2025/QH15) |
| Basic tax rate | 22% | 20% |
| Preferential tax rates | 10% – 20% depending on the industry | 15% and 17% for businesses with revenue below the prescribed thresholds |
| Eligible subjects | Some preferential occupations | Expanding the scope to include high technology, renewable energy, and other priority industries |
| Loss carryover regulations | Loss carry forward up to 3 years | Loss carry forward up to 5 years |
| Science and Technology Development Fund | No detailed regulations | Enterprises are allowed to deduct a maximum of 20% of annual taxable income to establish the fund. |
| Accounting records and documents | According to Circular 96/2015/TT-BTC, enterprises must establish and store accounting books, original documents, invoices, electronic documents, and financial reports according to the guidance of the Ministry of Finance. Accounting records must truthfully and fully reflect the economic transactions that arise. | Require compliance with accounting, invoice and voucher regimes according to the new declaration method |
Who is subject to corporate income tax 2025?
The 2025 Corporate Income Tax Law clearly stipulates the subjects that must pay taxes as well as the cases that are exempted from taxes, in order to ensure fairness and transparency in the implementation of tax obligations. Determining the correct tax subjects helps businesses and organizations to properly apply the law, avoid errors in tax declaration, payment and financial management according to the 2025 Corporate Income Tax Law.
Corporate income tax payers 2025
Correctly identifying taxable entities is an important factor in helping businesses and organizations fulfill their financial obligations accurately and transparently. Corporate Income Tax 2025 provides specific guidance on taxable entities, thereby supporting tax declaration, payment and financial management in compliance with current laws. According to Article 2 of Corporate Income Tax Law No. 67/2025/QH15, corporate income tax subject include:
Enterprises established under Vietnamese law
Enterprises established and operating under the provisions of Vietnamese law are subject to corporate income tax. This is the most common group, including joint stock companies, limited liability companies, and other types of enterprises.
Enterprises established under foreign law
Foreign enterprises with or without a permanent establishment in Vietnam but with taxable income in Vietnam are also subject to tax. This regulation ensures that all organizations conducting business activities in Vietnam fulfill their tax obligations.
Cooperatives and cooperative unions
Cooperatives and cooperative unions established under the Law on Cooperatives are subject to corporate income tax if they have income-generating production and business activities. This helps the tax system apply fairly to all collective economic models.
Public service unit
Public service units established under the provisions of Vietnamese law must also pay taxes if they participate in production and business activities and generate income. This regulation ensures that public service units conducting business activities are responsible for their tax obligations.
Other organizations with production and business activities
In addition to the above groups, any other organization that has production and business activities and generates taxable income is subject to CIT 2025. This helps to expand the scope of tax liability, ensuring fairness and transparency.
Subjects not paying corporate income tax 2025
Some organizations and activities are exempted from paying corporate income tax under the 2025 corporate income tax to encourage the development of education, science and specific activities. Understanding the exempted subjects helps businesses and organizations apply the regulations correctly, avoiding incorrect declaration or overpayment of taxes.
Public science and technology organizations
Non-profit public scientific and technological organizations are exempt from corporate income tax. This provision aims to support research and technological development agencies that contribute to scientific and socio-economic progress.
Public higher education institutions
Public higher education institutions that operate on a non-profit basis are also exempt from taxation. This encourages educational development and ensures that public universities remain true to their non-profit objectives.
Income from activities subject to special consumption tax
Enterprises with income from production and trading of goods and services subject to special consumption tax under the provisions of the Law on Special Consumption Tax are exempt from corporate income tax, except for some specific projects such as the production and assembly of automobiles, airplanes, helicopters, gliders, yachts, and petrochemical refining. This provision ensures fairness and consistency in tax application to specific industries.
Corporate income tax rates 2025
Tax rates are an important factor in the 2025 Corporate Income Tax Law, directly affecting the tax obligations of enterprises. Understanding each type of tax rate, applicable subjects and legal basis helps enterprises determine the correct tax rate to be paid, ensuring accurate and transparent tax declaration and payment according to the provisions of the 2025 Corporate Income Tax Law. The table below summarizes the tax rates in detail, from basic, preferential to special cases.
| Tax rate type | Applicable objects | Tax rate 2025 | Legal basis |
| Basic tax rate | Regular taxable business | 20% | Clause 1, Article 10 of the Law on Corporate Income Tax 2025 (Law No. 67/2025/QH15) |
| Preferential tax rate 15% | Enterprises with total annual revenue ≤ 3 billion VND | 15% | Clause 2, Article 10 of the 2025 Corporate Income Tax Law |
| Preferential tax rate 17% | Enterprises with total annual revenue > 3 billion VND to ≤ 50 billion VND | 17% | Clause 3, Article 10 of the Law on Corporate Income Tax 2025 |
| Special tax rates – oil and gas | Oil and gas exploration and exploitation activities | 25% – 50%, specific decision according to contract and mine location | Clause 4a, Article 10 of the Law on Corporate Income Tax 2025 |
| Special tax rates – rare resources | Exploration and exploitation of platinum, gold, silver, tin, tungsten, antimony, precious stones, rare earths and other rare resources | 50%; mines with area ≥70% in areas with special socio-economic difficulties: 40% | Clause 4b, Article 10 of the 2025 Corporate Income Tax Law |
Detailed calculation of corporate income tax 2025
Understanding how to calculate corporate income tax 2025 is an important factor for businesses to correctly determine their tax obligations, avoid incorrect declaration or overpayment. This section will provide detailed instructions from tax calculation methods, applicable formulas to specific illustrative examples, helping businesses to declare and pay taxes accurately and comply with the provisions of the Corporate Income Tax Law 2025 (Law No. 67/2025/QH15).
Corporate income tax calculation method
According to the 2025 Corporate Income Tax Law (Law No. 67/2025/QH15), the amount of corporate income tax payable in the tax period is determined based on taxable income multiplied by the applicable tax rate, except for special cases prescribed by the Government. This is the basic method to help businesses and organizations determine tax obligations in a transparent and accurate manner.
In some special cases, the Government prescribes the amount of tax payable calculated as a percentage of revenue. The first case applies to enterprises specified in Point c, d, Clause 2, Article 2 of the Law on Corporate Income Tax 2025, including foreign enterprises with income arising in Vietnam, with guidance on the obligation to declare, pay taxes and determine taxable revenue.
The second case applies to enterprises with total annual revenue of no more than VND 3 billion, according to Clause 2, Article 10 of the Law. This method is used when the enterprise has determined revenue but cannot determine costs and income from production and business activities.
The third case applies to cooperatives, cooperative unions, public service units and other organizations specified in points c, d, dd, Clause 1, Article 2, if these units can account for revenue but cannot determine expenses and income from production and business activities. This method does not apply to income exempted from tax under Article 4 of the 2025 Corporate Income Tax Law.
The method of calculating tax based on taxable income or the % rate on revenue helps businesses and organizations fulfill their tax obligations even when data on expenses or income is incomplete, while ensuring compliance with current legal regulations.
Corporate income tax calculation formula
To determine the corporate income tax payable, enterprises need to base on the taxable income of the tax period and the applicable tax rate according to the provisions of the Corporate Income Tax Law 2025 (Law No. 67/2025/QH15). The basic formula is shown as follows:
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Corporate income tax payable = Taxable income x Applicable tax rate |
In which, taxable income is calculated by total revenue generated in the tax period minus legally deductible expenses and losses carried forward from previous years. Determining taxable income is an important step, because only the remaining income after deducting expenses is the basis for calculating corporate income tax, ensuring that businesses do not overpay taxes.
The applicable tax rate is specified according to the type of enterprise and business line. Specifically, the basic tax rate is 20%, which applies to most taxable enterprises. Small and medium enterprises with total annual revenue of no more than 3 billion VND or from 3 billion to 50 billion VND will be applied the preferential tax rate of 15% or 17%. For specific industries such as oil and gas exploitation or rare resources, the applicable tax rate ranges from 25% to 50%, depending on the exploitation conditions and type of resources according to the provisions of the Corporate Income Tax Law 2025.
This formula provides a basic foundation for businesses to calculate corporate income tax accurately. When applying the correct formula and determining the correct taxable income and tax rate, businesses will ensure that their tax obligations are fully implemented, avoid legal risks and help accountants and finance departments proactively plan their finances.
Example of how to calculate corporate income tax
Enterprise A is a company operating in the field of manufacturing and providing services in Vietnam. In 2025, the total revenue of the enterprise reached 10 billion VND. After calculating deductible legal expenses, including raw material costs, employee salaries, operating costs and depreciation, the total taxable income of the enterprise is 8 billion VND. According to the Law on Corporate Income Tax 2025 (Law No. 67/2025/QH15), this enterprise is subject to the basic tax rate of 20%.
To determine the amount of corporate income tax payable during the year, businesses apply the basic formula:
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Corporate income tax payable = Taxable income × Applicable tax rate |
In this case, the specific formula is:
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8,000,000,000 × 20% = 1,600,000,000 VND |
Accurately determining taxable income and applying the correct tax rate is an important factor in helping businesses avoid underpayment or overpayment of taxes. In addition, detailed calculations also help accountants and finance departments make accurate financial plans, estimate tax obligations for the year, and ensure compliance with current legal regulations.
This example also shows the importance of keeping and managing documents, invoices, and financial reports according to the provisions of Circular 96/2015/TT-BTC and related guiding documents. When fully implementing the steps of calculating and declaring taxes, businesses not only fulfill their tax obligations on time but also contribute to improving transparency and reputation in financial management.
Corporate income tax incentives 2025 businesses need to know
The Law on Corporate Income Tax 2025 (Law No. 67/2025/QH15) provides many preferential policies to support businesses in developing production, business and investment in priority areas. Understanding the types of incentives, applicable subjects and implementation conditions helps businesses identify the right benefits, optimize tax obligations and make accurate and transparent declarations in accordance with current laws.
| Type of offer | Applicable objects | Content and conditions |
| Preferential tax rates for small and medium enterprises | Enterprises with total annual revenue ≤ 3 billion VND or from 3 - 50 billion VND | Enterprises with total revenue ≤ 3 billion VND are subject to tax rate 15%, enterprises with total revenue from 3 - 50 billion VND are subject to tax rate 17% (Article 10, Law No. 67/2025/QH15). |
| Incentives for high-tech and renewable energy businesses | Enterprises operating in the fields of high technology, renewable energy, and priority industries | Preferential tax rates, tax exemption or reduction periods are applied depending on project type, implementation location and specific Government regulations. |
| Tax exemption/reduction incentives for special projects | Enterprises investing in industrial parks, economically disadvantaged areas, or priority areas | Tax exemption for the first 2-4 years from the year of taxable income, depending on the industry, project type and investment area. Tax reduction of 50% for the next 3-5 years, depending on the project and priority area at the prescribed rate. Applicable when the documents are complete and comply with legal regulations. |
| Incentives related to the Science and Technology Development Fund | Enterprises set up funds to research and develop new products or improve technology. | Enterprises are allowed to set aside a portion of taxable income (up to 20%) into the Fund. The set aside amount is included in deductible expenses when determining taxable income. |
Deadline for provisional payment and payment of corporate income tax 2025
Enterprises must make provisional quarterly corporate income tax payments based on the taxable income of the previous period or estimated revenue. The deadline for payment is before the 30th of the first month of the following quarter, helping enterprises manage cash flow and avoid late payment penalties.
In addition, the annual corporate income tax settlement must be completed within 90 days from the end of the fiscal year, summarizing taxable income, incentives and comparing with the provisional tax amount to determine the remaining amount to be paid or refunded. Compliance with the deadline for provisional payment and final settlement helps businesses declare transparently, ensure tax obligations and manage finances effectively.
Optimal solution for corporate income tax obligations in 2025 for businesses
To manage and optimize corporate income tax obligations in 2025, businesses need to clearly understand the provisions of the Corporate Income Tax Law 2025 (Law No. 67/2025/QH15) as well as guiding decrees and circulars. Understanding the law helps businesses identify the correct taxable entities, accurately apply tax rates and tax incentives. This is an important step to avoid overpayment or underpayment of taxes, while ensuring compliance with the law and transparency in financial management.
Grasp the legal regulations on corporate income tax 2025
Enterprises need to clearly understand the Law on Corporate Income Tax 2025 (Law No. 67/2025/QH15), related decrees and guiding circulars. Understanding the law helps to correctly identify taxable entities, accurately apply tax rates and incentives, avoid overpayment or underpayment of taxes and ensure transparent declaration.
Financial planning and tax forecasting
Estimating revenue, deductible expenses, tax incentives and provisional tax payments before the start of the fiscal year helps businesses allocate cash flow appropriately. This reduces financial pressure when provisional or final tax payments are due, and helps forecast tax obligations accurately.
Take advantage of legal tax incentives
Enterprises should monitor and apply tax incentives such as preferential tax rates for small and medium enterprises, tax exemptions for special projects, or setting up a Science and Technology Development Fund. Applying the right incentives will help reduce legal tax obligations, increase the ability to reinvest and improve competitiveness.
Use professional tax consulting and declaration services
Using a reputable tax consulting service, typically MAN – Master Accountant Network, helps businesses prepare complete documents, declare taxes accurately and apply incentives according to the Corporate Income Tax Law 2025. This solution not only minimizes the risk of errors and late payment penalties but also optimizes tax obligations, saves time, costs and increases transparency in financial management.
Conclude
Corporate Income Tax 2025 marks an important step forward in perfecting the tax system, helping businesses clearly identify tax obligations, apply legal incentives and transparent financial management. Mastering the regulations on taxable subjects, tax rates, incentives and tax payment deadlines will help businesses optimize tax obligations and avoid the risk of penalties for violations.
To maximize the benefits of new tax policies, businesses should plan their finances, estimate taxes and take advantage of incentives legally. At the same time, updating information from decrees and guiding circulars will help businesses always comply with the law and improve tax management efficiency.
Use professional tax consulting services, such as MAN – Master Accountant Network, is the optimal solution for businesses to declare taxes accurately, apply the right incentives and minimize risks. Contact MAN today for full support on CIT 2025, helping businesses save time, costs and improve financial management efficiency.
Service contact information at MAN – Master Accountant Network
- Address: No. 19A, Street 43, Tan Thuan Ward, Ho Chi Minh City
- Mobile/Zalo: 0903 963 163 – 0903 428 622
- Email: man@man.net.vn
