Individuals who reside or expect to reside in Vietnam for 183 days or more in a given tax year, are treated as Vietnam tax residents for PIT purposes. As Vietnam tax residents, they are, thus, subject to Vietnamese PIT at progressive tax rates on worldwide income, irrespective of where such income was paid, earned or charged. Worldwide employment income is subject to tax at progressive tax rates. The applicable progressive tax rates to tax residents of Vietnam are from 5% to 35%.
Paying tax for residents (more than 183 days in a year):
For tax Non-residents (less than 183 days in a year):
Individuals who do not meet the criteria as tax residents of Vietnam are treated as non-tax residents of Vietnam and are subject to Vietnamese PIT at a flat rate of 20% on the Vietnam-sourced employment income.
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