There are some notable points relating PIT in Viet Nam and the foreigners should study and consider whether you are payer or not.
- Foreigners are residents:
Living in Viet Nam for at least 183 days or 12 months from the first day of the presence in Viet Nam.
Having a regular residence in Viet Nam.
- Foreigners are not residents.
2. Taxable Income:
- Residents: income earned within and beyond Vietnam’s territory regardless of the place where income is paid.
- Non-residents: income earned in Viet Nam, regardless of the place where income is paid and received.
3. Tax rates:
- Residents: from 1~35% per income.
- Non-residents: 20% per income
4. PIT settlements:
The payers have to declare and settle tax according to the Law of Viet Nam.
The deadline of PIT settlements in 2021 is May 02 2022.
You are now living in Viet Nam for more than one year, you are then the taxpayer (PIT) in Viet Nam athough your income is from the oversea company.
5. Penalty for late tax delaration/payment:
According to Degree (125/2020/NĐ-CP) of Regulationg Administrative penalties for tax or invoice-related violations.
Penalty for payment late: 0,03%/day
Penalty for late tax delaration:
From 1-5 days (First time): Form of Cautions
From 1-30 days: VND 2,000,000 (USD 87) to VND 5,000,000 (USD 218)
From 31-60 days: VND 5,000,000 (USD 218) to VND 8,000,000 (USD 348)
From 61-90 days: VND 8,000,000 (USD 348) to VND 15,000,000 (USD 652)
From 91 days: VND 15,000,000 (USD 652) to VND 25,000,000 (USD 1,087)
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