The Ministry of Finance has sent a document to the Ministry of Justice requesting an assessment of the National Assembly's Resolution on adjusting the environmental protection tax, value-added tax, and special consumption tax on gasoline and aviation fuel.
Accordingly, in the draft Resolution, the Ministry of Finance proposes extending the application period for tax reductions similar to Decision No. 482/QD-TTg from 00:00 on April 16, 2026 to June 30, 2026.
The Ministry of Finance stated that, with the proposed tax rates, it is expected to reduce state budget revenue by approximately 7,200 billion VND per month.
"Reducing gasoline and diesel taxes to zero will impact state budget revenue but will also stimulate production and promote business activities, thereby contributing to additional state budget revenue," the Ministry of Finance stated.
In addition, reducing taxes on gasoline and diesel to zero contributes to lowering logistics and production costs, thereby reducing product prices, increasing the competitiveness of the economy, and supporting inflation control, macroeconomic stability, and promoting economic growth in the short term.
For the people, reducing the tax on gasoline and diesel to zero will directly contribute to lowering their fuel consumption costs, and at the same time lead to lower prices of goods and services, especially transportation and living expenses. This contributes to improving purchasing power and stabilizing living standards, especially in the context of rising living costs. This is seen as financial support from the State to help people alleviate difficulties and boost production and business for enterprises.
For businesses, input costs are significantly reduced, especially in the areas of transportation, manufacturing, and logistics. This improves production and business efficiency, increases resilience, and facilitates expansion. Simultaneously, cost reductions enable businesses to adjust selling prices, enhancing their competitiveness in both domestic and international markets.
Currently, taxes on petroleum products are being applied according to Decision No. 482/QD-TTg on the application of environmental protection tax, value-added tax, and special consumption tax on gasoline, diesel, and aviation fuel when necessary for the national interest, issued by the Prime Minister on March 26th. Specifically, from 0:00 on March 27th to April 15th, the environmental protection tax on gasoline (excluding ethanol), diesel, and aviation fuel is 0 VND per liter. This is a reduction of 1,500-2,000 VND compared to the current rate, depending on the product. In addition, gasoline, diesel, and aviation fuel are exempt from value-added tax declaration and payment, but are still eligible for input tax deduction. The special consumption tax rate on all types of gasoline is also applied at 0%.
Economic experts believe that the Prime Minister's issuance of Decision No. 482 is a flexible and timely policy in the context of a volatile global energy market, not only helping to "cool down" domestic gasoline and oil prices but also acting as an important "shock absorber" for the economy.
Mr. Nguyen Quang Huy, CEO of the Finance and Banking Faculty at Nguyen Trai University, stated: "Reducing fuel taxes to 0% at necessary times is an appropriate step, clearly demonstrating a shift in management thinking from passively responding to to proactively adapting to external shocks."
According to Mr. Nguyen Quang Huy, in the composition of gasoline and diesel prices, taxes are a factor that can be adjusted quickly and directly. When used appropriately, this tool helps reduce pressure for domestic price increases, limit the spillover effects on inflation, and stabilize expectations of the market, people, and businesses.
In fact, after the policy was implemented, the prices of many petroleum products in the country decreased sharply, with some products falling by as much as 6,000 VND/liter. As a result, the increase in domestic energy prices was reduced from about 50% to 25%, making a significant contribution to controlling the overall price level.
