Hoang Thu Huyen, General Director of Asia Business Consulting, was invited to be a panelist at the APEC seminar Fostering Greater SME Participation in Global Value Chains, as part of APEC SME Week in Phuket, Thailand this week. She has shared the usual pitfalls and problems which SMEs encounter when trying to make partnerships in Vietnam, and how Asia Business Consulting can help them to overcome them, do business successfully and find good partners in Vietnam.

Hoang Thu Huyen, General Director of Asia Business Consulting, was invited by the Export Council of Australia (ECA) to share her insights into the key opportunities in the Food & Beverage and cosmetics industry, and the entry strategies into the Vietnam market for Australian exporters in the export webinar last week.

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Because of the complicated development of COVID-19 in 2020 and 2021, the operation of businesses and people faces many challenges. To support businesses and people to overcome difficulties and promote production and business development, The National Assembly of the Socialist Republic of Vietnam approved the Resolution on fiscal and monetary policies to support the program of socio-economic recovery and development on January 11, 2022.

Whereby, the Value-Added Tax (VAT) rate for groups of goods and services currently subject to 10% VAT will be reduced to 8%. The application period is from January 12, 2021 to December 31, 2023.



However, the reduction of VAT will not apply to the following groups of goods and services:

- Telecommunications, information technology;
- Financial activities, banking, securities, insurance;
- Real estate business;
- Metal production and production of products from prefabricated metals;
- Mining industry (excluding coal mining), coking coal production, refined petroleum;
- The production of chemicals and chemical products;
- Products of goods and services subject to excise tax.

The resolution also allows calculating deductible expenses to be included when determining income subject to corporate income tax for expenditures supporting and funding of enterprises and organizations for COVID-19 prevention and control activities in Vietnam for the 2022 tax period.

In addition to the issue of VAT reduction of 2%, the Resolution also states the support of interest rates for enterprises, cooperatives, business households (2% per year) up to VND 40,000 billion through the system of commercial banks for some important sectors; enterprises, cooperatives, business households capable of repaying debts, recovery; loans for renovation of old apartments, construction of social housing, houses for workers to rent and rent buy.

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About Us

Asia Business Consulting is a boutique consulting firm specializing in corporate establishment, legal and business advisory, tax and payroll compliance, HR administration, market research to multinationals investing in Vietnam.

For further information or to contact the firm, please email This email address is being protected from spambots. You need JavaScript enabled to view it. or download the company brochure. You can stay up to date with the latest business and investment news in Vietnam by subscribing to our newsletters. 

Today, we are honored to welcome Mr. Austin Lindemulder, Head of Representative Office of Golden Peach Enterprises, LLC to the office, after his long trip and his family from the United States and the completion of the quarantine period in accordance with regulations. Thank you and your company for choosing us as a reliable partner to complete obtaining the license, support you and your family to make the entire trip to Vietnam in the most convenient and safest way, and accompany your company during its operation in Vietnam in the future. We would like to wish Golden Peach Enterprises, LLC more and more development, hope our cooperation will rise and continue to achieve more success. The support and trust of our customers is always our greatest achievement. 🥰💐

We are honored to accompany and support our customers in their successful business operation in Vietnam. Today, at Asia Business Consulting, we have awarded the Enterprise Registration Certificate and the Investment Registration Certificate to World Trippin Productions company, an enterprise with 100% capital of investors from Canada, engaging in software development and information technology. We hope that the company will have a head start and prosper in their new journey. The love and trust of our customers is our greatest pride and success!

A work permit is a document issued by a competent authority in Vietnam to a foreigner, allowing foreigners to work legally in Vietnam when they meet certain conditions as prescribed by law. Foreign workers who are granted a work permit are considered to work legally and are protected their legitimate rights and interests in labor relations.

1. Cases exempted from work permit in Vietnam

The Labor Code 2019 stipulates 20 exemption cases from work permit for a foreign employee:

1. Is the manager of a representative office, project or the person in charge of the operation of an international organizations or a foreign non-governmental organization in Vietnam.
2. Enters Vietnam for a period of less than 03 months to do marketing of a service.
3. Enters Vietnam for a period of less than 03 months to a resolve complicated technical or technological issue which (i) affects or threatens to affect business operation and (ii) cannot be resolved by Vietnamese experts or any other foreign experts currently in Vietnam.
4. Is a foreign lawyer who has been granted a lawyer’s practicing certificate in Vietnam in accordance with the Law on Lawyers.
5. In one of the cases specified in an international treaty to which the Socialist Republic of Vietnam is a signatory.
6. Gets married with a Vietnamese citizen and wishes to reside in Vietnam.
7. . He/she is the owner or capital contributor of a limited liability company with a capital contribution value of at least 3 billion dong.
8. He/she is the Chairperson or a member of the Board of Directors of a joint-stock company with a capital contribution value of at least 3 billion dong. <0}
9. He/she is an intra-company transferee within 11 sectors in the schedule of commitments in services between Vietnam and WTO, including: business services, communication services, construction services, distribution services, educational services, environmental services, financial services, health services, tourism services, recreational and cultural services, and transport services.
10. He/she enters Vietnam to provide professional and engineering consulting services or perform other tasks intended for research, formulation, appraisal, supervision, evaluation, management and execution of programs and projects using official development assistance (ODA) in accordance with regulations or agreement in international treaties on ODA signed between the competent authorities of Vietnam and foreign countries.
11. He/she is granted a communication and journalism practicing certificate in Vietnam by the Ministry of Foreign Affairs as per the law.
12. He/she is sent by a foreign competent authority or organization to Vietnam to teach and study at an international school under management of a foreign diplomatic mission or the United Nations; or of a facility established under an agreement to which Vietnam is a signatory.
13. He/she isan unpaid foreign worker who voluntarily works in Vietnam to implement an international treaty to which the Socialist Republic of Vietnam is a signatory with certification of a foreign diplomatic mission or international organization in Vietnam.
14. He/she enters Vietnam to hold the position of a manager, executive, expert or technical worker for a period of work of less than 30 days and up to 3 times a year.
15. He/she enters Vietnam to implement an international agreement to which a central or provincial authority is a signatory as per the law
16. He/she is a student studying at a foreign school or training institution which has a probation agreement with an agency, organization or enterprise in Vietnam; or a probationer or apprentice on a Vietnam sea-going ship.
17. He/she is a relative of a member of foreign representative body in Vietnam who are authorized to work in Vietnam under an international treaty to which the Socialist Republic of Vietnam is a signatory as their relatives.
18. He/she obtains an official passport to work for a regulatory agency, political organization, or socio-political organization.
19. He/she takes charge of establishing a commercial presence.
20. He/she is certified by the Ministry of Education and Training as a foreign worker entering Vietnam for teaching and research purpose.

2. Cases of being granted a work permit in Vietnam

Foreign workers who are granted work permits in Vietnam are foreign nationals who move to work in Vietnam and meet the following conditions:

• is at last 18 years of age and has full legal capacity;
• has qualifications, occupational skills, practical experience and adequate health as prescribed by the Minister of Health;
• is not serving a sentence; does not have an unspent conviction; is not undergoing criminal prosecution under his/her home country’s law or Vietnam’s law;
• Not in the cases exempted from work permit in Vietnam

3. Duration of a work permit

The maximum duration of a work permit is 02 years. A work permit may be extended once for up to 02 more years.

The duration of a work permit is granted according to the duration of one of the following cases:

- The duration of the labor contract expected to be signed;

- The duration of the foreign party sending foreign workers to work in Vietnam;

- The duration of the contract or agreement signed between the Vietnamese and foreign partners;

- The duration of the contract or service provision agreement signed between the Vietnamese and foreign partners;

- The duration stated in the document of the service provider sending foreign workers into Vietnam to negotiate service provision;

- The duration determined in the certificate of the foreign non-governmental organization or international organization permitted to operate in accordance with the provisions of Vietnamese law;

- The duration stated in the document of the service provider sending foreign workers into Vietnam to establish the commercial presence of that service provider;

- The duration in the document proving that the foreign worker is allowed to participate in the operation of a foreign enterprise that has established a commercial presence in Vietnam.

4. . Procedures for applying for work permit

Including 2 steps:

Step 1: Obtain the acceptance of demand for foreign workers

At least 30 days before the date on which foreign workers are expected to be employed, the employer (except contractor) shall determine the demand for foreign workers for every job position for which Vietnamese workers are underqualified and send a corresponding report to the Ministry of Labor, War Invalids and Social Affairs or the People’s Committee of province or central-affiliated city where the foreign workers are expected to work.

The application dossier includes:

1) A report explaining the demand for foreign workers

2) Copy of Business Registration Certificate

3) Letter of introduction / Power of attorney for the applicant.

Within 10 working days from the date of receipt of a valid report explaining demand for foreign workers, competent authority shall have issued a document specifying accepted job positions and non-accepted job positions.

Step 2: Apply for work permit.

At least 15 working days before the day on which a foreign worker starts to work, the applicant shall apply an application for work permit to the Ministry of Labor, War Invalids and Social Affairs or the Department of Labor, War Invalids and Social Affairs of the province where he/she is expected to work.

Application for a work permit:

1) An application form for certification of exemption from work permit No. 11/PLI Appendix I hereto appended.

2) A fitness to work certificate issued by a foreign or Vietnamese competent health facility issued within 12 months before the submission date of the application or the certificate as specified in regulations of the Minister of Health.

3) A judicial record or a document certifying that the foreign worker is not serving a sentence, has a criminal record expunged or is not facing a criminal prosecution issued by a foreign or Vietnamese authority. A judicial record or document certifying that the foreign worker is not serving a sentence, has a criminal record expunged or is not facing a criminal prosecution issued within 6 months before the submission date of the application.

4) Proofs as a manager, executive, expert, technical and certain jobs, work.

5) 02 color photos (4cm x 6cm size, white background, front view, bare head, no color glasses), taken within 6 months before the submission date of application.

6) An acceptance of demand for foreign workers unless it is not required.

7) A valid certified true copy of passport as per the law.

8) Documents relevant to the foreign worker: a document issued by the foreign company to send him/her to work at a commercial presence of that company in Vietnam’s territory; an agreement or arrangement concluded between Vietnamese and foreign partners is required, which specifies the arrangement about sending foreign workers to Vietnam;…

Within 5 working days after receiving a duly completed application, the Ministry of Labor, War Invalids and Social Affairs or Department of Labor, War Invalids and Social Affairs of province where the foreign worker is expected to work shall issue a work permit to the foreign worker. If the application is rejected, a written explanation is required.

5.Government fee

Fees for issuing work permits to foreigners working in Vietnam are collected when a competent state agency issues work permits to foreigners working at enterprises, agencies and organizations operating in Vietnam.

Government fees for issuing work permits will be decided by the Provincial People's Committee. Depending on the locality, the fee for a work permit will be ranging from VND400,000 to VND1,000,000. (i.e Hanoi city: VND 400,000; Ho Chi Minh City: 600.000 VND; Da Nang City: 600.000 VND; Hai Phong city: VND 600,000; Lam Dong province: VND 1,000,000)

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Please contact us for any further concerns related to the topic of this article.

About Us

Asia Business Consulting is a boutique consulting firm specializing in corporate establishment, legal and business advisory, tax and payroll compliance, HR administration, market research to multinationals investing in Vietnam.

For further information or to contact the firm, please email This email address is being protected from spambots. You need JavaScript enabled to view it. or download the company brochure. You can stay up to date with the latest business and investment news in Vietnam by subscribing to our newsletters.

Decree No.126/2020/NĐ-CP on the elaboration of the law on tax administration issued by The Government which has come into force since December 05th, 2020, has a lot of changes in comparison to the older regulations of the same problems. 

Most of the regulations are changed to facilitate the business process, helping corporates to conduct business more smoothly. 

Import and export activities in the period from the beginning of 2016 to the third quarter of 2020 achieved positive and encouraging results such as high and continuous growth of export; high efficient work of developing and expanding export markets, diversifying export products, controlling import and surplus restraint.

According to the Ministry of Industry and Trade, up to the end of 2019, the goals set out in the Strategy on exports and imports for 2011-2020, with visions to 2030 (hereinafter referred to as strategy) were basically achieved, namely:

- Export growth exceeded the plan.

Export growth in the period 2015-2019 averaged 12% per year, higher than the target of 10% set by the 12th National Congress.

In 2020, in the context that the world economy was heavily influenced by Covid-19, the export of other countries in region all decreased compared to the previous year, but our country's export still achieved a positive growth rate. Export turnover in the first nine months of the year reached 202.4 billion USD, up 4% as compared to the same period in 2019.

- Import was controlled, the average growth rate of import turnover was lower than that of export turnover.

Import turnover had an average growth rate in the 2015-2019 period at 11.2% per year. Thus, the average annual growth rate of import turnover in this period was lower than the average growth rate of export turnover (13%), reaching the target set out by the Strategy.

- Trade balance was in surplus for the whole period with the export surplus of the following year was higher than the previous year.

The strategy has identified the target of gradually reducing the trade deficit, controlling the import surplus of about 10% of export turnover by 2015 and advancing on the balance of the trade by 2020. In fact, from 2016 to now, the trade balance always reached a surplus with the increase in export surplus over the years, respectively 1.77 billion USD (2016), 2.11 billion USD (2017), 6.83 billion USD (2018), respectively. ), 10.87 billion USD (in 2019). In the first 9 months of 2020, the export surplus reached 16.5 billion USD.

- The export structure changed positively.

The structure of exports shifted positively. The group of processed industrial goods in the first 9 months of 2020 accounted for 84.8% of the total export turnover, higher than which is 78.9% in 2015; the group of fuels and minerals only accounted for about 1.1% of the country's total export turnover.

The number of items with export turnover of $ 1 billion or more had increased over the years. In 2019, there were 31 items reaching export turnover of over 1 billion USD.

- The target of exports per capita was achieved.

The exports per capita in 2019 was about 2,740 USD per person, which was 2.5 times as much as that in 2011. The target of exports per capita reached over 2000 USD according to the strategy achieved from 2017.

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Please contact us for any further concerns related to the topic of this article.

About Us

Asia Business Consulting is a boutique consulting firm specializing in corporate establishment, legal and business advisory, tax and payroll compliance, HR administration, market research to multinationals investing in Vietnam.

For further information or to contact the firm, please email This email address is being protected from spambots. You need JavaScript enabled to view it. or download the company brochure. You can stay up to date with the latest business and investment news in Vietnam by subscribing to our newsletters.