Vietnam enhances tax transparency in response to EU requirements

Vietnam is taking serious steps to improve tax transparency after being included in the European Union list of jurisdictions with insufficient tax cooperation. According to Jin10, this measure marks a turning point in the country’s tax policy and demonstrates Vietnam’s readiness to strengthen its international tax commitments.

Reasons for Blacklisting and Their Consequences

The European Union’s decision to add Vietnam to the list of non-cooperative tax jurisdictions is related to gaps in the country’s tax transparency system. This decision may lead to stricter tax monitoring by European partners and complicate tax procedures for Vietnamese companies operating in the European market.

National Action Plan and OECD Standards

In response to this pressure, Vietnam’s Ministry of Foreign Affairs announced the development and implementation of a national action plan aimed at complying with the recommendations of the Organization for Economic Co-operation and Development (OECD). Vietnam plans to expand cooperation with its international partners, including EU countries, to create a more reliable tax regulation system.

Prospects for Improving Tax Cooperation

This step reflects Vietnam’s efforts to raise tax transparency standards and strengthen trust in its financial system on the global stage. Successful implementation of the action plan will allow Vietnam to increase the transparency of its tax procedures and restore its reputation as a responsible tax partner in the international community.