Vietnam Finance Ministry tightens tax monitoring and clears 1.1 million dormant firms

Effective 1 July, the Finance Ministry issued Circular 94/2026 outlining a heavy‑weight tax surveillance program. Taxpayers whose bank transactions raise anti‑money‑laundering concerns, who face tax‑related prosecutions, who are classified as high‑risk, or who fail to provide required information will be placed under intensive monitoring. The measures include more frequent audits, possible travel bans, public disclosure of tax arrears and restrictions on electronic invoice usage for high‑risk entities.

In parallel, the Ministry launched a campaign to eliminate about 1.1 million inactive business records that have remained on the tax system for years. Under Decree 438/2026 and the forthcoming Law on Tax Management No. 108/2025, authorities will verify dormant entities, accelerate liquidation or bankruptcy procedures for firms absent from their registered address for over three years, and cooperate with police to address fraudulent registrations. The effort aims to improve tax‑base integrity and streamline data for businesses seeking to start, suspend or close operations.