The Government has raised the tax-exempt revenue threshold for household businesses to VND1 billion (US$38,000) per year, from the current VND500 million, to support small businesses, according to a newly-issued policy.

The Ministry of Finance has proposed raising the annual revenue threshold for exemption of personal income tax for household businesses from VND100 million (US$3,790) currently to VND 500 million.

Nearly 1,500 household businesses officially transitioned into registered enterprises in the first half of 2025, with 910 making the switch in June alone, accounting for almost two-thirds of the total.

Ho Chi Minh City’s Tax Department has waived or reduced taxes worth VND123 billion (US$5.37 million) for 86,197 household businesses affected by the COVID-19 pandemic.