Package for individuals and households that need to register a household business in compliance with Decree 168/2025, select the optimal tax method, and be fully ready for the 2026 transition away from lump-sum taxation.
Individuals and families opening a shop, online store, or small service — seeking compliant HKD registration and readiness for the 2026 tax-regime change.
I. Tax benefits
I. HKD registration requirements
- Citizens aged 18+ with full legal capacity.
- Household members authorise one person to be HKD owner.
- Must not be a banned-business subject (public servants, officers).
- Each individual/household may register only 1 HKD.
- Registration is not required for small, irregular, location-less activities.
II. Additional benefits
II. Taxes HKDs must pay
1. Business-licence fee (2025): VND 1m/yr for revenue above VND 500m, VND 500k for VND 300–500m, VND 300k for VND 100–300m, waived below VND 100m. From 01/01/2026 this fee is abolished entirely (Resolution 198/2025).
2. VAT (on turnover): 1% goods distribution · 5% services / labour-only construction · 3% construction incl. materials · 5% asset lease · 3% transport / goods services.
3. PIT (on turnover): 0.5% distribution · 2% services & lease · 1.5% transport.
III. Tax-free thresholds
- From 01/01/2026 — Resolution 198/2025: revenue ≤ VND 200m/yr → no VAT, no PIT.
- Through 31/12/2025: revenue ≤ VND 100m/yr → no VAT/PIT/licence fee.
- From 01/01/2026: lump-sum taxation is abolished — all HKDs move to declared taxation.
III. Strategic advantage
IV. Taxation methods
Lump-sum (through 31/12/2025): tax authority assigns annual revenue and tax; no books required; single filing at year start (Form 01/CNKD).
Declared (mandatory from 01/01/2026): full bookkeeping and invoicing like a company; e-invoices with tax-authority code on every transaction; monthly/quarterly VAT and PIT filings; tax = rate × actual revenue.
IV. Eligibility
- Vietnamese citizens aged 18+ with full legal capacity.
- Household members may register jointly, authorising one person as owner.
- Not a public servant or officer banned from business activity.
- Each individual / household may register only one HKD.
- Registration is not required for small-scale, irregular activities without a fixed location.
- Business scope cannot include prohibited sectors.
V. How VIC accompanies you
V. How VIC accompanies you
- Draft and finalise the HKD registration dossier (Form 1 — Circular 68/2025).
- Submit online via the National Public Service Portal.
- Register the tax code and activate the electronic tax account.
- Advise on choosing the right tax method (lump-sum vs declared).
- Guide eTax filings.
- Advise on revenue thresholds and the right moment to upgrade to a company.
- Prepare for the 2026 end of lump-sum taxation.
- Advise on e-invoicing and POS integration with the tax authority.
Strategic note: once an HKD exceeds VND 10 billion/yr (trade/services) or VND 3 billion/yr (construction/industry), VIC advises upgrading to a company to optimise tax and unlock fundraising.
- Operating without registration: administrative fine of VND 5–10 million under Decree 122/2021.
- Failing to register for tax: back-assessed tax plus 0.03%/day late-payment penalty on the shortfall.
- Unprepared for the 2026 end of lump-sum tax: forced into declared filings with high error risk.
- No upgrade-threshold advisory: missed the right moment to become a company and unlock incentives.
I. Tax benefits
- Business-license fee exemption below VND 100m/yr (fully abolished from 01/01/2026)
- VAT & PIT exemption for revenue below VND 200m/yr from 2026
- Fully prepared for the 2026 end of lump-sum taxation
- Advisory on the right moment to upgrade to a company for tax optimisation