Vietnam reverses its cross - border tax policy, exempting small cross - border parcels from import duties.

       "Recently, the Vietnamese Ministry of Finance rejected the proposal put forward by the Ministry of Industry and Trade of Vietnam to levy a commodity tax on low - value goods purchased through e - commerce. Moreover, it also proposed that the total tax - free transaction volume of each organization or individual per year should not exceed 48 million Vietnamese dong. The Ministry of Finance explained that the regulations on exempting import taxes for goods imported through e - commerce are somewhat similar to the regulations on exempting import taxes for goods imported through express delivery services in Decree No. 418/2021. In addition, e - commerce goods are mainly small - value items for personal consumption, and it is 'impossible' to apply for licenses and check the business conditions of these small - value goods.
       The Vietnamese Ministry of Finance and the Ministry of Industry and Trade have been arguing over whether to levy import taxes on small - value imported parcels. Previously, the Vietnamese market stipulated that imported goods worth less than 1 million Vietnamese dong (approximately 288 RMB) were exempt from import taxes and value - added tax (VAT) to promote the development of import trade.
However, at the beginning of this year, the Prime Minister of Vietnam tightened the tax policy and announced that as of February 18, the VAT exemption for imported goods worth less than 1 million Vietnamese dong sent by express delivery has officially ended. From then on, a standard tax rate of up to 10% will be levied on all low - value goods imported into the Vietnamese market."