Raw agricultural and aquatic products are exempt from VAT.

Agricultural products, livestock, aquaculture products (both farmed and wild-caught) that have not been processed into other products or have only undergone basic processing are not subject to value-added tax (VAT).

Raw agricultural and aquatic products are exempt from VAT.

According to current regulations, exported agricultural and aquatic products are exempt from VAT, but businesses must pay the tax upfront and are only eligible for a refund after the agricultural products have been exported.

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According to agricultural businesses, exempting VAT entirely would save both businesses and the government a significant amount of time in the VAT payment and refund procedures. Furthermore, it would prevent businesses from exploiting policy loopholes and establishing "ghost" companies to profit from VAT refunds.

However, what currently concerns businesses is the rather vague definition of raw agricultural products.

According to VTV