On June 19, 2020, the National Assembly passed Resolution 116/2020 / QH14 on reduction of corporate income tax (CIT) payable by 2020 for enterprises, cooperatives, non-business units and other organization.
Accordingly, a 30% reduction in corporate income tax payable in 2020 for enterprises whose total revenue in 2020 does not exceed VND 200 billion.
Businesses here include:
- Enterprises established under the provisions of Vietnamese law;
- Organizations established under the Cooperative Law;
- Non-business units established under the provisions of Vietnamese law;
- Other organizations established under the provisions of Vietnamese law with income-generating production and business activities.
Therefore, if the enterprise has a total turnover in 2020 greater than VND 200 billion, it is not eligible for a 30% reduction of the payable CIT amount in 2020.