Among the 18 laws newly promulgated under the State President's Order, which was announced by the Presidential Office at its press conference held on July 11, one of the most notable laws is the amended Law on Special Consumption Tax.

Addressing the press conference, Deputy Minister of Finance Le Tan Can outlined several key changes in the 2025 Law on Special Consumption Tax compared to the current legislation. The new law is scheduled to take effect on January 1, 2026.

The most significant updates include:

First, the law adds two new categories of goods that will be subject to the special consumption tax, including  beverages with a sugar content exceeding 5 grams per 100ml, and air conditioning units with a capacity ranging from over 24,000 BTU up to 90,000 BTU.

Second, the law introduces a new tax exemption for certain goods intended for export. This applies to goods that are directly exported by  individuals or organizations that manufactured, processed, or outsourced their processing; sold or consigned to another business entity for the purpose of export.

The law also clarifies and expands upon other categories that are exempt from the special consumption tax. These include airplanes, helicopters, gliders, and yachts are exempt when used for specific commercial or public service purposes, including: commercial transportation of goods and passengers, national security and defense, search and rescue operations, firefighting, pilot training, aerial photography and filming, cartography (map surveying), and agricultural production.

Third, the law also clarifies how the tax price is calculated, adding a rule that for goods and services used in promotions, the taxable value will be based on that of identical or equivalent products at the time of the promotion. Regulations for calculating the tax price on services like casinos will also be amended.

Fourth, the law adjusts tax rates and introduces a fixed tax for certain items. For tobacco, the current 75% tax rate will be maintained, but a new fixed tax amount will be added, phased in over a five-year roadmap from 2027 to 2031 for a standard 20-cigarette pack and 20-gram cigars.

As for alcohol and beer, the tax rate will be increased in phases, rising by 5 percentage points each year between 2027 and 2031.

The tax rate for spirits (20% alcohol or higher) will rise from 65% in 2026 to 90% by 2031, while the rate for alcoholic beverages under 20% will increase from 35% to 60%. The tax on beer will also climb from 65% in 2026 to 90% by 2031. Finally, sugary drinks with more than 5g of sugar per 100ml will be taxed at 8% starting in 2027, rising to 10% in 2028.