Vietnam Regulatory Update July 2026: A New Compliance Landscape for Investors

Vietnam’s regulatory update in July 2026 brings into effect more than 60 laws and decrees, many of which affect taxation, digital business, customs, investment, and corporate compliance.

Vietnam’s regulatory landscape underwent one of its most significant overhauls in recent years on July 1, 2026, as 29 laws, two ordinances, and 34 implementing decrees simultaneously entered into force.

The legislative package spans tax, digital transformation, e-commerce, construction, cybersecurity, anti-corruption, and administrative reforms, reflecting the government’s continued efforts to modernize its legal framework and strengthen regulatory oversight.

For foreign investors and multinational companies, the reforms introduce new compliance obligations while also creating opportunities in areas such as digital business, high technology, and investment facilitation.

Key reforms affecting foreign businesses

Although many of the newly effective laws focus on public administration, judicial procedures, and government operations, several carry direct implications for businesses operating in Vietnam.

Digital economy receives a comprehensive legal framework

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Among the most consequential reforms are the Law on E-commerce and the Law on Digital Transformation, which together establish a more comprehensive legal foundation for Vietnam’s rapidly expanding digital economy.

The Law on E-commerce introduces updated rules governing online marketplaces, cross-border digital trade, platform responsibilities, consumer protection, and digital transactions. Businesses operating e-commerce platforms or providing digital services should review their compliance frameworks to ensure alignment with the new requirements.

Complementing this, the Law on Digital Transformation provides Vietnam’s first overarching legal framework for digital infrastructure, data governance, artificial intelligence adoption, digital government initiatives, and the broader digital economy. The legislation is expected to provide greater regulatory certainty for technology companies while supporting Vietnam’s long-term digitalization strategy.

Tax and payroll reforms

The Law on Personal Income Tax (PIT) introduces several notable changes affecting employers and employees.

From July 1, the monthly personal deduction increases from VND11 million to VND15.5 million, reducing taxable income for many workers. Taxpayers continue to receive deductions for mandatory insurance contributions and approved charitable donations.

The law also introduces a 0.1 percent tax on transfers of digital assets, gold bars, carbon credits, and auctioned license plates, reflecting Vietnam’s efforts to expand taxation to emerging asset classes.

To encourage investment in strategic industries, Vietnam also exempts PIT for qualified professionals working in the semiconductor and artificial intelligence sectors.

Meanwhile, the revised Law on Tax Administration modernizes tax compliance through updated audit procedures, digital tax administration, electronic invoicing, and taxpayer reporting obligations. Foreign-invested enterprises should review internal tax governance and compliance procedures to ensure readiness under the updated framework.

Additional policy developments

Beyond the legislative package, several government policy measures also take effect on July 1.

Higher base salary and social security benefits

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Under Decree 161/2026/ND-CP, Vietnam will raise the statutory base salary for public-sector employees by 8 percent, from VND2.34 million to VND2.53 million per month.

While the increase primarily affects government employees, it also raises the maximum salary cap used to calculate certain social and health insurance contributions in both the public and private sectors, as these are capped at 20 times the statutory base salary.

Separately, Decree 162/2026/ND-CP increases pensions, social insurance benefits, and monthly allowances by 8 percent, including additional support for beneficiaries receiving lower payments.

Stronger asset declaration requirements

Decree 164/2026/ND-CP strengthens asset and income declaration requirements for public officials holding managerial positions. Required declarations now cover real estate, cash holdings, gold, securities, digital assets, overseas assets, liabilities, and other major property interests. Failure to provide accurate declarations may result in disciplinary measures ranging from warnings to removal from office.

Although the decree primarily applies to public officials, it reflects Vietnam’s broader emphasis on transparency and anti-corruption enforcement, particularly in government-related activities.

Streamlining conditional business sectors

Separately, the government adopted Resolution No. 66.17/2026/NQ-CP, reducing the number of conditional business lines under the Investment Law from 198 to 142.

The reform eliminates licensing requirements across numerous sectors, including insurance, securities, gold trading, petroleum distribution, aviation, telecommunications, real estate, higher education, healthcare, notarization, and judicial services. The move is expected to simplify market entry, reduce administrative burdens, and improve the investment environment for both domestic and foreign businesses.

Outlook

The July 1, 2026, legislative package represents one of Vietnam’s broadest regulatory updates in recent years. While many of the reforms target public administration and judicial procedures, the commercially significant measures underscore the government’s continued focus on digital transformation, tax modernization, trade facilitation, regulatory transparency, and investment competitiveness.

Foreign investors should prioritize reviewing the new requirements relating to taxation, digital operations, customs compliance, cybersecurity, construction, and anti-corruption while monitoring additional implementing guidance expected to follow in the coming months.

Setting up a business in Vietnam requires navigating company registration, local approvals, and work permit processes. We help FDI companies by preparing and submitting documentation, coordinating with authorities, and ensuring compliance, so they can start operations smoothly and focus on growth.

Tam Nguyen

Senior Manager

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