EU not to impose tax, non-tax defensive measures against Vietnam

Vietnam became the 107th signatory of the CbC MCAA.

The signing was done after Vietnamese Deputy Prime Minister Bui Thanh Son approved the decision, which aligns with the review conducted by the Secretariat of the Global Forum under the Organization for Economic Cooperation and Development (OECD).

The signing is an appropriate step to ensure the implementation of the global minimum tax according to the planned roadmap. It also reaffirms Vietnam's commitment to enhancing financial transparency and international economic integration, according to Vietnamese media outlet.

The CbCR is a crucial tool that helps tax authorities assess transfer pricing risks and tax avoidance issues by offering detailed data on revenue, profits, income taxes paid, tangible assets and business activities of multinational corporations in each country.

It also helps identify enterprises subject to global minimum tax regulations, thereby supporting the implementation of the Qualified Domestic Minimum Top-up Tax (QDMTT) and the Income Inclusion Rule (IIR).

Vietnam's exports to the EU recovered in 2024, reaching nearly $51.7 billion—a YoY rise of $8.08 billion.

ALCHEMPro News Desk (DS)