Policies to take effect in July, 2022

From July 1, 2022, the Ministry of Public Security will begin to issue new ordinary passports to citizens among other policies to take effect such as minimum wage increase and paper invoice elimination.

Raising the regional minimum wage

Photo: VNA

Accordingly, a new decree, coded 38/2022/ND-CP, on raising the regional minimum wage for labourers will come into effect on July 1.

The 6% increase is equivalent to a rise of VND 260,000 (US $11.20) in Region 1, and VND 240,000, VND 210,000, and VND 180,000 in Regions 2, 3, and 4, respectively. The document to this effect also specifies that the minimum hourly wage will range from VND 15,600 to 22,500, which also depends on the region.

Accordingly, the new minimum wages shall be VND 4,680,000/month in Region 1; VND 4,160,000/month in Region 2; VND 3,640,000/month in Region 3; VND 3,250,000/month in Region 4.

The geographical classification is determined based on the employer’s place of operation. In particular, the scope of application includes employees who work under labor contracts as prescribed in the Labor Code; eployers as prescribed by the Labor Code, including: Enterprises duly established, organized and operating under the Law on Enterprises; agencies, organizations, cooperatives, households, individuals that hire employees on the basis of labor contracts; other organizations and individuals subject to implementation of this Decree.

Region 1 covers Hanoi and Ho Chi Minh City's urban areas; Region 2 encompasses Hanoi and HCM City's rural areas, along with major urban areas in the country like Can Tho, Da Nang and Hai Phong; Region 3 covers provincial cities and the districts of Bac Ninh, Bac Giang and Hai Duong provinces; and Region 4 comprises the rest of the country.

The application of e-invoices

Photo: Getty Image

Meanwhile, per the Minister of Finance’s Circular 78/2021/TT-BTC, dated September 17, 2021, on guiding the implementation of a number of articles of the Law on Tax Administration and the Government’s Decree No. 123/2020/ND-CP on invoices and documents, businesses, households and individuals, except for some special cases, will not be allowed to use paper invoices and must switch to using digital ones as from the first day of July.

The current promotion of the application of e-invoices by the tax sector is also suitable for the "National Digital Transformation Program to 2025 with orientation to 2030" of the Prime Minister, in accordance with the direction of Minister of Finance Ho Duc Phoc on the request to promote the application of information technology, especially in tax, customs, treasury...

For the General Department of Taxation, putting e-invoices into practice is one of the most important hightlights of the current process of digital transformation of the tax sector.

New ordinary passports issuance

Vietnam will use new passport form from July 1. Photo: Nhan Dan

Also from July 1, 2022, the Ministry of Public Security will begin to issue new ordinary passports to citizens. The new design sees many improvements and ensures security techniques, making it difficult to counterfeit.

July will mark the resumption of 37 fees to their normal level after being temporarily cut by 10-50% in the first half in aid of groups affected by the COVID-19 pandemic.

In particular, Vietnamese citizens can access http://dichvucong.gov.vn or http://dichvucong.bocongan.gov.vn to make an online declaration, pay the fee and receive their passports by post or collect them at immigration offices.

Previously-issued passports are still valid until the dates of expiration which are printed on the passports.