Some notable points relate to PIT in Viet Nam; foreigners should study and consider whether they are payers.
- 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 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 must declare and settle tax according to the Law of Viet Nam.
The deadline for PIT settlements in 2022 is May 04, 2023.
You are now living in Viet Nam for more than one year; you are then the taxpayer (PIT) in Viet Nam although your income is from an oversea company.
5. Penalty for late tax delaration/payment:
According to Degree (125/2020/NĐ-CP) of Regulation Administrative penalties for tax or invoice-related violations.
Penalty for payment late: 0,03%/day
Penalty for late tax declarations:
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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