In a document submitted to the Government regarding the amendment of regulations on the organizational structure of the ministry, MOF proposed restructuring regional tax offices to ensure alignment with new provincial administrative units.

The current 20 regional tax offices will be restructured into 34 provincial and centrally governed city tax offices (an increase of 14 units).

Speaking to the press on the morning of June 25, Mai Son, Deputy Director of the Tax Department (MOF), stated that organizing tax authorities in line with the 34 newly established localities will create many advantages for the tax sector.

When meeting the press on June 25, Mai Son, Deputy Director of the Tax Department, stated that organizing tax authorities in line with the 34 newly established localities will create many advantages for the taxation sector.

According to Son, organizing tax authorities in a vertical system aligns with international practices, as it clearly defines the jurisdiction of taxation in international transactions, tax treaties, and cross-border activities. 

Additionally, this model allows tax authorities to manage revenue sources, reinforcing the central budget's dominant role while increasing autonomy for local budgets.

Thanks to this, the tax policy system, administrative reforms, and operational processes will be seamlessly implemented across the entire tax system.

However, in Vietnam’s specific context, tax authorities are tied to local governments because tax management and collection are based on the socio-economic conditions of the country and individual localities. 

The scope of tax management is broad, covering various taxes related to individuals, non-agricultural households, businesses, corporations, and economic sectors.

“For this reason, organizing 34 tax units will bring many advantages for tax management, tax authority development, and help citizens and businesses,” Son said.

He noted that the regional tax office model also has its strengths but needs streamlining to enhance operational efficiency. He acknowledged that the initial transition may face challenges due to system changes, particularly as the majority of the tax sector’s workforce is female.

“The development of a large database is underway and is nearing its final stages. This system will support the streamlining of operations, modernize tax management, and minimize the need for tax officials to travel,” Son said.

He said that reorganizing from 20 regional tax offices to 34 provincial and centrally governed city tax offices will generally not affect businesses and taxpayers.

When new ward or commune-level administrative units are established, taxpayers will be put under new jurisdictions, ensuring minimal disruption in tax management. Even without changes to administrative boundaries, the tax sector will still implement major reforms, such as modernizing systems and updating personal tax identification numbers.

He said the tax sector will provide full and timely information to ensure taxpayers are aware of their new managing units, avoiding any interruptions.

“Tax officials will move to new jurisdictions, so taxpayers will not feel any changes or disruptions in fulfilling their tax obligations,” he explained.

On March 1, 2025, the General Department of Taxation (Ministry of Finance) officially became the Tax Department, operating on a three-tier structure: a central agency with 12 functional divisions, 20 local tax offices, and 350 district-level tax teams. 

This model aims to streamline operations, enhance management efficiency, and align with the direction of reorganizing provincial administrative units and the two-tier local government model.

However, according to MOF, shortly after the reorganization, about 4,500 tax officers applied for voluntary redundancy in accordance with Decree No 178/2024 (amended and supplemented by Decree 67/2025/ND-CP). This figure represents over 10 percent of the total tax sector workforce, with more than 37,000 positions allocated to the tax office level.

The highest resignation rates were seen in mountainous provinces such as Cao Bang, Bac Kan, Yen Bai, Lao Cai, Son La, Lai Chau, and Dien Bien, exceeding 30 percent.

The reason lies in the challenges people face in remote, mountainous, and border areas, including the Regional Tax Office VI (managing Bac Giang, Lang Son, Cao Bang, Bac Kan), Regional Tax Office VII (Thai Nguyen, Tuyen Quang, Ha Giang), and Regional Tax Office IX (Son La, Dien Bien, Lai Chau), where the distance from residences to tax office headquarters exceeds 100 km, with difficult transportation. Daily commuting takes 2-4 hours, primarily by personal vehicles.

Nguyen Le