On the morning of April 12, continuing the first session of the 16th National Assembly, lawmakers passed a resolution introducing several provisions on environmental protection tax, VAT, and special consumption tax applicable to petrol, oil, and aviation fuel.

Authorized by the Prime Minister, Minister of Finance Ngo Van Tuan presented a summary report on the reception, explanation, revision, and finalisation of the draft resolution. According to the minister, the draft received 30 rounds of comments across 16 discussion groups and seven speeches at the plenary session.

In general, both the appraisal bodies and National Assembly deputies agreed on the necessity of issuing the resolution and endorsed its core contents, while offering specific feedback on certain articles and clauses.

Based on the conclusions of the National Assembly Standing Committee, the appraisal opinions of the Economic and Financial Committee, and feedback from deputies, the Government conducted a comprehensive review, incorporated the majority of recommendations, provided detailed clarifications, and finalised the draft resolution for submission.

At the same time, the Government instructed the drafting agency to coordinate with the Ministry of Justice and relevant National Assembly committees to review and refine the draft on technical grounds in accordance with the Law on Promulgation of Legal Normative Documents before submitting it for approval.

Regarding its effective period, the Minister of Finance stated that the resolution will take effect from April 16, 2026, until the end of June 30, 2026.

On the authority to adjust the resolution, the Government revised Clause 2, Article 4 to ensure flexibility in managing the domestic fuel and aviation fuel market in line with global price fluctuations. Accordingly, the National Assembly authorises the Government to issue resolutions to adjust certain provisions, including shortening or extending the effective period, and, in urgent cases, modifying regulations on environmental protection tax, VAT, and special consumption tax, with a report to be submitted at the nearest National Assembly session.

Following the presentation of the report, the National Assembly proceeded to vote on the resolution.

With 460 out of 460 deputies present voting in favour, representing 100% approval, the legislature officially adopted the resolution on tax measures for petrol, oil, and aviation fuel.

Under the resolution, effective from April 16, the environmental protection tax on petrol (excluding ethanol), diesel, aviation fuel, kerosene, and mazut will be reduced to VND 0/litre.

These fuel products will not be subject to VAT declaration and payment, while input VAT remains creditable. The special consumption tax rate on all types of petrol will also be set at 0%.

The adoption of this resolution at the very first session of the 16th National Assembly underscores the legislature’s decisive coordination with the Government in controlling inflation, stabilising the macroeconomy, and supporting social welfare. With taxes reduced to zero, the domestic fuel market is expected to see positive shifts, providing momentum for growth in transport, production, and consumption in the second quarter of 2026.