Key Social Policy Reforms Effective from July 1, 2025: Social Insurance, Health Insurance, Land, Trade Union Finance & Tax Các cải cách chính sách xã hội quan trọng có hiệu lực từ ngày 1 tháng 7 năm 2025: Bảo hiểm xã hội, Bảo hiểm y tế, Đất đai, Tài chính công đoàn và Thuế

📝 Key Policies Effective 1 July 2025

📍 1. Social Insurance Law (No. 41/2024/QH15)

1. From 1 July 2025, new participants may no longer take a one‑off lump‑sum withdrawal, except in special cases: reaching statutory retirement age but with less than 15 years of contributions, emigration, serious illness (e.g. cancer, AIDS), or ≥ 81% reduction in working capacity
2. Those who joined before 1 July 2025 with under 20 years of contributions can still request a lump sum after 12 months of unemployment
3. Processing time for lump-sum claims is reduced from up to 10 days to 7 working days after receiving compliant documentation
4. Eligibility for pension benefits now requires only 15 years of contributions (instead of 20). Retirement age is phased: 61 years + 3 months for men, 56 years + 8 months for women, reaching 62 and 60 by 2028 and 2035 respectively

📍 2. Health Insurance Law Amendments (Law No. 51/2024/QH15)

1. Effective 1 July, state-funded health insurance coverage is expanded to include individuals aged ≥ 75 without pension and those aged 70–75 from poor or near-poor households
2. Patients with 5 continuous years of BHYT and who have exceeded the defined coverage threshold can get 100% reimbursement, even when treated out-of-network for serious illnesses .
3. BHYT now covers services such as at-home care, telemedicine, rehabilitation, prenatal/postnatal care, and direct transfers to higher-level hospitals for serious cases

📍 3. Trade Union Law – Union Finance Use

1. From 1 July, trade union funds may support construction of social housing for union members, and investment in cultural, sports or recreational facilities for workers

📍 4. Land Use & Certificate Issuance (Decree 151/2025)

1. Starting 1 July, commune-level People’s Committees may issue land use certificates (sổ đỏ) and manage land-use conversions without needing district-level approval. This shift streamlines administrative procedures and reduces delays and costs.

📍 5. Tax & Personal Tax Code (VAT Law 2024 & Decree 122/2025)

1. From 1 July, Personal Tax Codes are assigned based on individuals’ national ID (CCCD). This aligns civil records with tax systems and simplifies tax administration.
2. New VAT regulations require non‑cash payments even for transactions under VND 20 million to qualify for input VAT deductions. Extensions under the amended VAT Law allow preferential rate retention until end‑2026

✅ Practical Impacts

1. Social Insurance reform retains over 18 million workers in the social safety net and reduces annual lump-sum withdrawals, previously around 800,000 cases/year
2. Lower contribution requirements and expanded health insurance support vulnerable groups and improve retirement security.
3. Land certificates issued at commune level accelerate legal procedures, reducing time and expense for residents.
4. Tax reforms—using national ID as tax code and promoting cashless payments—boost transparency and operational efficiency in the digital era.

according to VNexpress news