On June 19, 2020, the National Assembly passed Resolution No. 116/2020 / QH14 on reducing the payable corporate income tax of 2020 for businesses, cooperatives, non-business units and organizations. other.

Specifically, enterprises with a turnover of 200 billion dong or less in 2020 normally pay 20% of the corporate income tax, then it will be reduced by 30%, or 14% for 2020.

See details of Resolution 116/2020 / QH14 below

RESOLUTION
On reduction of enterprise income tax payable in 2020 incurred by enterprises,
cooperatives, non-business units and other organizations

THE NATIONAL ASSEMBLY

Pursuant to the Constitution of the Socialist Republic of Vietnam;
Pursuant to Law on Organization of the National Assembly No. 57/2014/QH13;
Pursuant to the Law on enterprise income tax (EIT) No. 14/2008/QH12 of which some articles
have been amended, supplemented according to Law No. 32/2013/QH13 and Law No.
71/2014/QH13;
After considering Report No. 279/TTr-CP dated May 5th, 2020 of the Government; Appraisal
Report No. 2018/BC-UBTCNS14 dated June 9th, 2020 of the National Assembly's Committee for
Finance and State Budget; Report on explanation, acquisition No. 569/BC-UBTVQH14 dated
June 18th, 2020 of the Standing Committee of the National Assembly and opinions of National
Assembly deputies.

HEREBY RESOLVES:

Article 1. Applicable entities
This Resolution applies to EIT payers that are goods and service production and business
organizations earning taxable incomes according to the regulations of the Law on EIT
(hereinafter referred to the enterprises), including:
1. Enterprises established under Vietnamese law;
2. Organizations established under the Law on cooperatives;
3. Non-business units established under Vietnamese law;
4. Other organizations established according to Vietnamese law that engage in business and
production activities earning incomes.
Article 2. Enterprise income tax reduction
1. EIT payable in 2020 shall be reduced 30% with regard to any enterprise whose total revenue
in 2020 is less than VND 200 billion.
2. Enterprises shall, based on the regulation at Clause 1 of this Article, determine tax amount to
be reduced when they temporarily pay EIT quarterly and make EIT accounting for the year 2020.
Article 3. Effect
1. This Resolution takes effect after 45 days of its signing and applies to the tax period of 2020.
2. The Government shall provide guidelines on implementation of this Resolution.
This Resolution is passed by the XIVth National Assembly of the Socialist Republic of Vietnam,
on June 19th, 2020 at its 9th session.